Q1 2024 Financial Results for Progressive Corp (PGR)

Executive Summary

This report presents the financial results of Progressive Corp (ticker: PGR) for the first quarter of the calendar year 2024. PGR is listed on the New York Stock Exchange (NYSE) and is active within the Financial Services sector, specifically in the Insurance—Property & Casualty industry.

The quarter was marked by significant financial activity, detailed in this report based on data provided and filings with the SEC, with references available via links at the end of this document.

Financial Performance Overview

For the quarter ending March 31, 2024, Progressive Corp reported revenue of $17.24 billion with a corresponding gross profit, indicating no cost of revenue. The net income stood at $2.33 billion, resulting in both basic and diluted earnings per share (EPS) of $3.97.

The operating income amounted to $3.01 billion, supplemented by other income totaling $2.94 billion. An interest expense of $69.6 million was recorded along with an income tax expense of $608.5 million. The net income margin was reported at 13.53%, reflecting the percentage of net income derived from the total revenue.

Metrics assessing financial stability, such as the Altman Z-score and Piotroski Score, were noted at 2.24 and 5 respectively, indicating moderate financial health and stability.

Market and Financial Stability Indicators

Progressive Corp's current market capitalization is approximately $126.22 billion. The reported negative working capital of $14.31 billion reflects a higher amount of current liabilities than current assets.

Key liquidity ratios include a gross profit margin of 100% due to the absence of cost of revenue, an EBITDA margin of -0.5%, and an operating income margin of 17.46%. The net income margin for the quarter was maintained at 13.53%.

Comparison with Industry Peers

Versus industry peers, Progressive exhibits a gross profit margin of 98.76%, which is substantially higher than the industry average of 80.32%. However, its quick ratio of -18.65% significantly underperforms, suggesting potential liquidity risks. The debt-to-equity ratio is 31.59%, closely matching the industry's weakest performers, highlighting a greater reliance on debt financing relative to equity.

Documentation and Links

Detailed financial reports are accessible via Progressive's filings with the SEC. Please refer to the following links for comprehensive financial statements and related disclosures:

• SEC Archive Entry for Progressive Corp
• Detailed Quarterly Report - Q1 2024