Deere & Company (DE)
Return on total capital
| Oct 27, 2024 | Oct 29, 2023 | Oct 30, 2022 | Oct 31, 2021 | Nov 1, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 12,542,000 | 15,490,000 | 10,200,000 | 8,614,000 | 5,080,000 |
| Long-term debt | US$ in thousands | — | — | — | 32,888,000 | 32,734,000 |
| Total stockholders’ equity | US$ in thousands | 22,836,000 | 21,785,000 | 20,262,000 | 18,431,000 | 12,937,000 |
| Return on total capital | 54.92% | 71.10% | 50.34% | 16.79% | 11.12% |
October 27, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $12,542,000K ÷ ($—K + $22,836,000K)
= 54.92%
The return on total capital for Deere & Company has exhibited fluctuations over the last five fiscal years.
In the most recent fiscal year ending on October 27, 2024, the return on total capital was 54.92%. This indicates that for every dollar of total capital invested in the company, Deere & Company generated a return of approximately 54.92 cents.
Comparing this to the previous year, the return on total capital was higher at 71.10% on October 29, 2023, demonstrating a more efficient utilization of capital during that period.
In the fiscal year ending on October 30, 2022, the return on total capital was 50.34%, showing a moderate decrease from the prior year but still reflecting a relatively strong performance.
Further back, on October 31, 2021, the return on total capital was 16.79%, indicating a dip in the company's ability to generate returns relative to the preceding years.
Lastly, on November 1, 2020, the return on total capital was 11.12%, showing a significant improvement over the prior year but still lower than the more recent years.
Overall, the return on total capital for Deere & Company has shown variability, with fluctuations in performance from year to year. It is important for stakeholders to closely monitor and understand these trends to assess the company's efficiency in generating returns relative to its total capital base.
Peer comparison
Oct 27, 2024