The Andersons Inc (ANDE)
Return on total capital
| 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 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 70,014 | -1,639 | 12,792 | 19,864 | 90,518 | 3,882,482 | 3,837,916 | 3,778,902 | 3,783,354 | 2,508,954 | 2,504,610 | 2,457,772 | 2,423,316 | -67,246 | -50,475 | 4,923 | 28,560 | 41,638 | 40,729 | 31,022 |
| Long-term debt | US$ in thousands | 562,960 | 569,730 | 576,489 | 486,892 | 492,518 | 497,988 | 563,447 | 571,181 | 600,487 | 542,821 | 837,609 | 877,583 | 886,453 | 717,198 | 975,973 | 987,526 | 1,016,250 | 968,117 | 1,007,010 | 982,025 |
| Total stockholders’ equity | US$ in thousands | 1,282,900 | 1,240,740 | 1,230,990 | 1,169,590 | 1,198,600 | 1,193,920 | 1,167,150 | 1,089,020 | 1,072,420 | 1,033,440 | 1,022,500 | 983,667 | 961,891 | 939,199 | 939,388 | 912,257 | 973,610 | 962,458 | 970,114 | 947,284 |
| Return on total capital | 3.79% | -0.09% | 0.71% | 1.20% | 5.35% | 229.47% | 221.77% | 227.62% | 226.15% | 159.17% | 134.65% | 132.05% | 131.11% | -4.06% | -2.64% | 0.26% | 1.44% | 2.16% | 2.06% | 1.61% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $70,014K ÷ ($562,960K + $1,282,900K)
= 3.79%
The return on total capital for Andersons Inc. has shown a somewhat fluctuating trend over the past eight quarters. In Q4 2023, the return on total capital was 13.14%, indicating the company generated a return of 13.14% on its total capital during that period. This was an improvement compared to the previous quarter (Q3 2023) where the return was 10.79%.
Looking further back, the return on total capital in Q4 2022 was 10.22%, which was slightly lower than Q4 2023. However, there was a notable increase in the return on total capital from Q2 2022 to Q3 2022, where it rose from 7.26% to 10.23%.
Overall, Andersons Inc.'s return on total capital has generally been positive, fluctuating within the range of approximately 5% to 13% over the past two years. It is important to continue monitoring this metric to assess the company's efficiency in generating returns relative to its total capital employed and to evaluate its financial performance over time.
Peer comparison
Dec 31, 2023