Belden Inc (BDC)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 266,460 | 317,518 | 363,334 | 263,676 | 150,114 |
| Long-term debt | US$ in thousands | 1,130,100 | 1,204,210 | 1,161,180 | 1,459,990 | 1,573,730 |
| Total stockholders’ equity | US$ in thousands | 1,294,740 | 1,166,260 | 1,143,010 | 955,287 | 750,581 |
| Return on total capital | 10.99% | 13.39% | 15.77% | 10.92% | 6.46% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $266,460K ÷ ($1,130,100K + $1,294,740K)
= 10.99%
Based on the provided data, Belden Inc has shown a fluctuating trend in its return on total capital over the period from December 31, 2020, to December 31, 2024. The return on total capital increased from 6.46% in 2020 to 15.77% in 2022, indicating improvement in the company's efficiency in generating profits relative to its total capital employed.
However, there was a slight decrease in the return on total capital to 13.39% in 2023 and a further decline to 10.99% in 2024. These reductions may suggest that Belden Inc faced challenges or experienced changes in its operations that impacted its profitability relative to its total capital.
Overall, the trend in Belden Inc's return on total capital indicates that the company has been able to generate reasonable returns on the capital it has employed, though there have been fluctuations in performance over the years. Further analysis incorporating additional financial metrics and contextual information would provide a more comprehensive understanding of the company's financial health and operational efficiency.
Peer comparison
Dec 31, 2024