Dana Inc (DAN)
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 | 313,000 | 380,000 | 262,000 | 196,000 | 170,000 | 172,000 | 296,000 | 339,000 | 400,000 | 430,000 | 430,000 | 221,000 | 165,000 | 172,000 | 220,000 | 242,000 | 316,000 | 334,000 | 337,000 | 566,000 |
| Long-term debt | US$ in thousands | 2,582,000 | 2,546,000 | 2,571,000 | 2,310,000 | 2,304,000 | 2,276,000 | 2,311,000 | 2,331,000 | 2,338,000 | 2,338,000 | 2,348,000 | 2,369,000 | 2,376,000 | 2,832,000 | 2,837,000 | 2,336,000 | 2,384,000 | 2,436,000 | 2,531,000 | 2,501,000 |
| Total stockholders’ equity | US$ in thousands | 1,575,000 | 1,589,000 | 1,623,000 | 1,603,000 | 1,551,000 | 1,622,000 | 1,849,000 | 1,932,000 | 1,922,000 | 1,856,000 | 1,871,000 | 1,795,000 | 1,758,000 | 1,703,000 | 1,644,000 | 1,783,000 | 1,873,000 | 1,791,000 | 1,716,000 | 1,434,000 |
| Return on total capital | 7.53% | 9.19% | 6.25% | 5.01% | 4.41% | 4.41% | 7.12% | 7.95% | 9.39% | 10.25% | 10.19% | 5.31% | 3.99% | 3.79% | 4.91% | 5.88% | 7.42% | 7.90% | 7.94% | 14.38% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $313,000K ÷ ($2,582,000K + $1,575,000K)
= 7.53%
From the data provided, we can observe Dana Inc's return on total capital fluctuating over the past eight quarters. The return on total capital has shown a general increasing trend from Q1 2022 to Q3 2023, indicating improved efficiency in utilizing both debt and equity capital to generate profits.
In Q4 2023, Dana Inc generated a return on total capital of 8.91%, slightly higher than the previous quarter's figure of 9.00%. This suggests that the company continues to effectively utilize its total capital resources to generate profits for its shareholders.
Comparing the latest figure to Q4 2022, we see a noticeable improvement from 6.52% to 8.91%, signifying a significant enhancement in the company's capital utilization efficiency over the past year.
Overall, Dana Inc's return on total capital has shown a positive trajectory, indicating that the company is effectively deploying its total capital to generate returns and create value for its stakeholders.
Peer comparison
Dec 31, 2023