Adient PLC (ADNT)
Return on total capital
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 237,000 | 337,000 | 166,000 | 1,586,000 | -287,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,134,000 | 2,228,000 | 2,073,000 | 2,376,000 | 1,213,000 |
| Return on total capital | 11.11% | 15.13% | 8.01% | 66.75% | -23.66% |
September 30, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $237,000K ÷ ($—K + $2,134,000K)
= 11.11%
Adient PLC's return on total capital has fluctuated over the past five years. In 2024, the return on total capital was 11.11%, representing a decrease from the previous year's 15.13%. This decrease may indicate a lower efficiency in generating profits relative to the total capital employed. The return on total capital in 2022 was 8.01%, which was lower compared to 2023. However, there was a significant increase in 2021, with a return of 66.75%, indicating a strong performance in utilizing the total capital to generate profits. The return on total capital was negative in 2020 at -23.66%, indicating that the company's capital was not efficiently utilized to generate profits that year. Overall, the trend in Adient PLC's return on total capital shows variability, with performance ranging from negative returns to high double-digit returns over the past five years.
Peer comparison
Sep 30, 2024