ConAgra Foods Inc (CAG)

Return on total capital

Feb 28, 2025 Nov 30, 2024 Aug 31, 2024 May 31, 2024 May 26, 2024 Feb 29, 2024 Feb 25, 2024 Nov 30, 2023 Nov 26, 2023 Aug 31, 2023 Aug 27, 2023 May 31, 2023 May 28, 2023 Feb 28, 2023 Feb 26, 2023 Nov 30, 2022 Nov 27, 2022 Aug 31, 2022 Aug 28, 2022 May 31, 2022
Earnings before interest and tax (EBIT) (ttm) US$ in thousands 816,100 53,400 70,000 213,700 1,025,500 2,041,200 1,855,900 1,803,200 1,418,100 1,039,800 1,249,700 1,304,900 1,705,100 2,196,200 1,685,900 1,167,200 1,202,500 813,600 1,203,700 1,565,600
Long-term debt US$ in thousands 7,492,600 8,290,000 8,110,000 8,370,000 7,081,300 8,250,000 8,790,000 8,710,000
Total stockholders’ equity US$ in thousands 8,779,100 8,800,700 8,695,600 8,440,400 8,440,400 9,154,900 9,154,900 9,074,200 9,004,000 8,955,100 8,884,500 8,807,300 8,736,800 8,938,300 8,866,400 8,737,700 8,666,300 8,504,300 8,504,300 8,787,700
Return on total capital 9.30% 0.61% 0.81% 2.53% 6.44% 22.30% 10.64% 19.87% 8.29% 11.61% 7.24% 14.82% 10.78% 24.57% 9.85% 13.36% 6.89% 9.57% 6.99% 17.82%

February 28, 2025 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $816,100K ÷ ($—K + $8,779,100K)
= 9.30%

ConAgra Foods Inc's return on total capital has fluctuated over the given periods. The highest return was recorded on February 28, 2023, with a significant figure of 24.57%. This indicates that the company was able to generate a substantial return on its total capital during that period.

The return on total capital then decreased during the subsequent periods until reaching its lowest point on November 30, 2024, at 0.61%. This sharp decline suggests a decrease in the company's ability to generate returns relative to its total capital during that period.

Overall, ConAgra Foods Inc's return on total capital over the consecutive periods displayed some volatility, with varying levels of performance. It is essential for the company to analyze the factors contributing to these fluctuations in order to maintain or improve its profitability and efficiency in utilizing its total capital effectively.