Dream Finders Homes Inc (DFH)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 3,648,040 | 422,289 | 344,204 | 149,260 |
| Long-term debt | US$ in thousands | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,244,920 | 924,584 | 800,693 | 556,383 |
| Return on total capital | 293.03% | 45.67% | 42.99% | 26.83% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $3,648,040K ÷ ($—K + $1,244,920K)
= 293.03%
Dream Finders Homes Inc's return on total capital has shown a significant upward trend over the years, starting at 26.83% on December 31, 2021, and consistently increasing to 42.99% by December 31, 2022, 45.67% by December 31, 2023, and surging to an exceptional 293.03% by December 31, 2024. This remarkable increase indicates that the company is efficiently utilizing its total capital to generate profits, which reflects positively on its financial performance and investment attractiveness. Such a high return on total capital suggests effective capital management and the potential for substantial returns for the company's investors.
Peer comparison
Dec 31, 2024