CH Robinson Worldwide Inc (CHRW)

Return on total capital

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	514,607	571,212	745,299	1,082,341	1,266,782	1,390,154	1,413,314	1,204,253	1,082,108	1,001,504	858,974	787,157	673,268	603,272	636,118	674,866	789,976	908,687	953,575	945,048
Long-term debt	US$ in thousands	1,420,490	920,720	920,495	920,272	920,049	1,419,380	1,594,060	1,593,760	1,393,650	1,093,950	1,095,800	1,093,520	1,093,300	1,093,090	1,092,870	1,092,660	1,092,450	1,253,090	1,253,850	1,341,600
Total stockholders’ equity	US$ in thousands	1,418,700	1,404,580	1,388,110	1,381,390	1,353,420	1,677,560	2,052,420	2,095,500	2,021,930	1,950,800	1,906,170	1,868,190	1,879,930	1,873,360	1,704,330	1,587,120	1,670,730	1,673,100	1,659,310	1,652,560
Return on total capital		18.13%	24.57%	32.28%	47.02%	55.72%	44.89%	38.76%	32.64%	31.68%	32.89%	28.61%	26.58%	22.64%	20.34%	22.74%	25.18%	28.59%	31.05%	32.73%	31.56%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $514,607K ÷ ($1,420,490K + $1,418,700K)
= 18.13%

C.H. Robinson Worldwide, Inc. has exhibited varying levels of return on total capital over the past eight quarters. The return on total capital has fluctuated between 17.16% and 38.07% during this period. Notably, the company's return on total capital peaked at 38.07% in Q4 2022 and subsequently showed a downward trend in the following quarters.

The return on total capital was relatively high and consistent in Q2 and Q3 2023, at 23.85% and 19.12% respectively, before experiencing a significant increase to 33.26% in Q1 2023. This substantial increase in Q1 2023 suggests an efficient utilization of the company's total capital to generate profits during that period.

Overall, the trend in C.H. Robinson Worldwide, Inc.'s return on total capital indicates the company's ability to effectively deploy its total capital to generate returns for its shareholders, although there have been fluctuations in performance over the past eight quarters.