AeroVironment Inc (AVAV)
Return on total capital
| Apr 30, 2024 | Apr 30, 2023 | Apr 30, 2022 | Apr 30, 2021 | Apr 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 71,824 | -178,663 | -9,887 | 43,313 | 47,135 |
| Long-term debt | US$ in thousands | 17,092 | 125,904 | 177,840 | 187,512 | — |
| Total stockholders’ equity | US$ in thousands | 822,745 | 550,970 | 607,969 | 612,093 | 509,901 |
| Return on total capital | 8.55% | -26.40% | -1.26% | 5.42% | 9.24% |
April 30, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $71,824K ÷ ($17,092K + $822,745K)
= 8.55%
AeroVironment Inc's return on total capital has displayed significant fluctuations over the past five years. In 2024, the return on total capital stood at 8.55%, indicating an improvement from the previous year's negative return of -26.40%. Despite the positive trend, the return remained below the levels observed in 2020 and 2021 when it stood at 9.24% and 5.42%, respectively. In 2022, the return on total capital was negative at -1.26%, reflecting a challenging year for the company. The inconsistent performance in return on total capital suggests varying levels of efficiency in generating profits relative to the total capital employed by AeroVironment Inc.
Peer comparison
Apr 30, 2024