Buckle Inc (BKE)
Return on total capital
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 271,059 | 328,132 | 335,499 | 168,022 | 131,497 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 413,220 | 376,314 | 312,924 | 396,629 | 389,148 |
| Return on total capital | 65.60% | 87.20% | 107.21% | 42.36% | 33.79% |
February 3, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $271,059K ÷ ($—K + $413,220K)
= 65.60%
Analyzing Buckle Inc's return on total capital over the past five years reveals a fluctuating trend. In the most recent fiscal year ending on February 3, 2024, the return on total capital stood at 65.60%, indicating that for every dollar of total capital employed, the company generated a return of 65.60 cents. This represented a decrease compared to the prior fiscal year, where the return on total capital was significantly higher at 87.20%.
Looking further back, the trend shows that Buckle Inc's return on total capital reached its peak in the fiscal year ending on January 29, 2022, at 107.21%. This suggests that the company was more efficient in generating returns relative to its total capital during that period. However, in the subsequent year ending on January 30, 2021, the return on total capital dropped to 42.36%, marking a sharp decline compared to the prior year.
Going back even further to the fiscal year ending on February 1, 2020, Buckle Inc's return on total capital was 33.79%, indicating a somewhat lower efficiency in capital utilization compared to the most recent fiscal year.
Overall, the trend in return on total capital for Buckle Inc showcases fluctuations over the past five years, with varying levels of efficiency in generating returns relative to the total capital employed by the company. This analysis underscores the importance of closely monitoring and evaluating changes in return on total capital to assess the firm's capital efficiency and overall financial performance.
Peer comparison
Feb 3, 2024