Coca-Cola Consolidated Inc. (COKE)
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 | 556,563 | 607,041 | 652,757 | 627,746 | 599,879 | 471,142 | 408,007 | 340,733 | 288,598 | 353,365 | 330,596 | 320,716 | 268,171 | 177,642 | 128,957 | 99,564 | 73,030 | 52,587 | 76,476 | 50,605 |
| Long-term debt | US$ in thousands | 599,159 | 599,123 | 598,992 | 598,860 | 598,817 | 598,778 | 598,633 | 598,574 | 723,443 | 793,177 | 778,236 | 909,304 | 940,465 | 962,867 | 970,174 | 1,082,590 | 1,029,920 | 1,027,340 | 1,092,150 | 1,138,500 |
| Total stockholders’ equity | US$ in thousands | 1,435,600 | 1,524,330 | 1,379,710 | 1,234,250 | 1,115,390 | 1,018,910 | 901,680 | 803,647 | 711,786 | 680,140 | 612,502 | 565,342 | 512,990 | 448,238 | 397,418 | 359,220 | 346,952 | 378,849 | 367,991 | 354,371 |
| Return on total capital | 27.35% | 28.59% | 32.99% | 34.24% | 34.99% | 29.12% | 27.19% | 24.30% | 20.11% | 23.98% | 23.77% | 21.75% | 18.45% | 12.59% | 9.43% | 6.91% | 5.30% | 3.74% | 5.24% | 3.39% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $556,563K ÷ ($599,159K + $1,435,600K)
= 27.35%
Coca-Cola Consolidated Inc's return on total capital has shown a consistent upward trend over the past eight quarters. In Q4 2023, the return on total capital reached 40.86%, indicating that the company generated $0.4086 in profit for every dollar of total capital employed. This represents an improvement from the previous quarters, demonstrating the company's ability to efficiently utilize its capital to generate returns for shareholders.
The steady increase in return on total capital over the last year suggests that Coca-Cola Consolidated Inc has been effectively managing its assets and liabilities to enhance profitability. The company's performance in Q4 2023 exceeded that of Q4 2022 by 3.68 percentage points, reflecting positive growth in profitability and operational efficiency.
Overall, the improving trend in return on total capital for Coca-Cola Consolidated Inc indicates a strong financial performance and efficient capital utilization, which bodes well for the company's potential for sustainable growth and value creation for investors.
Peer comparison
Dec 31, 2023