Hi DanVM -
Yes - it does that here too. One of my cameras - Sony RX10 Mkiii - can record in XAVC-S & that's what I generally use.
XAVC-S uses AVC H.264 for video & LPCM for audio, in an MP4 wrapper... so when PDR chooses AVC H.264 MP4 it's very close. Video quality would be almost identical. It's the LPCM audio that's sacrificed, because it will be produced with AAC audio.
In answer to your question, I'd say there'd be no loss of video quality but a compromise in audio.
This page has some useful information, if you're interested.
Cheers - Tony
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