AZZ Incorporated (AZZ)
Return on total capital
| Feb 29, 2024 | Nov 30, 2023 | Aug 31, 2023 | May 31, 2023 | Feb 28, 2023 | Nov 30, 2022 | Aug 31, 2022 | May 31, 2022 | Feb 28, 2022 | Nov 30, 2021 | Aug 31, 2021 | May 31, 2021 | Feb 28, 2021 | Nov 30, 2020 | Aug 31, 2020 | May 31, 2020 | Feb 29, 2020 | Nov 30, 2019 | Aug 31, 2019 | May 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 343,896 | 222,550 | 169,053 | 88,380 | 58,162 | 53,488 | 74,819 | 118,050 | 113,071 | 103,973 | 103,209 | 79,142 | 60,323 | 34,128 | 39,704 | 60,665 | 78,353 | 99,809 | 88,098 | 84,539 |
| Long-term debt | US$ in thousands | 952,742 | 980,004 | 1,002,360 | 1,040,840 | 1,058,120 | 1,010,650 | 1,238,170 | 1,594,780 | 226,484 | 191,468 | 182,451 | 185,435 | 178,419 | 181,978 | 46,945 | 93,911 | 77,878 | 254,845 | 255,812 | 296,779 |
| Total stockholders’ equity | US$ in thousands | 700,769 | 921,150 | 898,077 | 871,373 | 619,738 | 852,513 | 859,621 | 687,559 | 667,365 | 648,044 | 638,426 | 637,411 | 623,292 | 624,078 | 631,541 | 635,656 | 634,366 | 653,243 | 634,606 | 619,257 |
| Return on total capital | 20.80% | 11.71% | 8.90% | 4.62% | 3.47% | 2.87% | 3.57% | 5.17% | 12.65% | 12.38% | 12.57% | 9.62% | 7.52% | 4.23% | 5.85% | 8.32% | 11.00% | 10.99% | 9.89% | 9.23% |
February 29, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $343,896K ÷ ($952,742K + $700,769K)
= 20.80%
The return on total capital for AZZ Incorporated has shown fluctuations over the past several periods. In the most recent period ending February 29, 2024, the return on total capital was 20.80%, indicating a strong performance. This marked improvement from the previous period's return of 11.71% in November 30, 2023.
Looking further back, the return on total capital has generally shown an upward trend since August 31, 2022, where it was at 3.57%. This improvement peaked at 12.65% on February 28, 2022, before experiencing some fluctuations.
Despite these fluctuations, the return on total capital generally indicates that AZZ Incorporated has been able to generate positive returns on its total capital employed over the periods analyzed, with some periods showing stronger performance than others. It is essential for investors to continue monitoring this metric to assess the company's efficiency in generating returns relative to the capital it has invested.
Peer comparison
Feb 29, 2024