Amcor PLC (AMCR)
Return on total capital
| Jun 30, 2025 | Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,062,385 | 1,368,385 | 1,365,385 | 1,298,000 | 1,255,000 | 1,170,000 | 1,150,000 | 1,469,000 | 1,530,000 | 1,445,000 | 1,525,000 | 1,281,000 | 1,247,000 | 1,387,000 | 1,358,000 | 1,343,000 | 1,319,000 | 1,254,700 | 1,186,200 | 1,154,700 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 11,728,000 | 3,851,000 | 3,784,000 | 3,919,000 | 3,881,000 | 3,944,000 | 3,964,000 | 3,898,000 | 4,026,000 | 4,248,000 | 4,353,000 | 3,976,000 | 4,082,000 | 4,517,000 | 4,462,000 | 4,650,000 | 4,764,000 | 4,647,000 | 4,792,000 | 4,687,000 |
| Return on total capital | 9.06% | 35.53% | 36.08% | 33.12% | 32.34% | 29.67% | 29.01% | 37.69% | 38.00% | 34.02% | 35.03% | 32.22% | 30.55% | 30.71% | 30.43% | 28.88% | 27.69% | 27.00% | 24.75% | 24.64% |
June 30, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,062,385K ÷ ($—K + $11,728,000K)
= 9.06%
The analysis of Amcor PLC's return on total capital (ROTC) over the period from September 2020 to June 2025 indicates a generally positive trend, demonstrating improving operational efficiency and effective utilization of capital resources during this timeframe.
Between September 2020 and September 2021, the ROTC experienced a steady upward progression, rising from 24.64% to 28.88%. This reflects enhancement in the company's ability to generate profits relative to the total capital employed. The upward momentum continued through 2022, reaching a peak of 35.03% in December 2022, evidencing a sustained period of robust capital efficiency.
Throughout 2023, the ROTC remained relatively high, with values remaining above 34%, reaching 38.00% at mid-year before experiencing a slight decrease to 37.69% in September 2023. This suggests that the company's profitability relative to its total capital was sustained at elevated levels during this period.
However, a notable decline is observed in December 2023, where the ROTC dropped to 29.01%. Subsequently, the trend showed some recovery, with values rising again to 36.08% by December 2024 and maintaining a level above 35% in early 2025. Despite this, a significant drop occurred in June 2025, with the ROTC falling sharply to 9.06%, representing a substantial decrease from previous levels.
The overall trajectory indicates periods of strong capital efficiency interspersed with periods of fluctuation. The significant decline in June 2025 suggests potential challenges impacting profitability or the effective deployment of capital, which warrants further investigation into the underlying factors such as operational issues, strategic shifts, or market conditions affecting the company's performance during that period.
Peer comparison
Jun 30, 2025