Edison International (EIX)
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 | 2,746,000 | 2,719,000 | 2,268,000 | 2,114,000 | 1,702,000 | 1,559,000 | 1,437,000 | 1,528,000 | 1,672,000 | 1,853,000 | 1,593,000 | 1,483,000 | 1,336,000 | 833,000 | 1,837,000 | 1,811,000 | 1,847,000 | -468,000 | -347,000 | -425,000 |
| Long-term debt | US$ in thousands | 30,316,000 | 29,532,000 | 29,430,000 | 29,442,000 | 27,025,000 | 25,145,000 | 25,143,000 | 24,967,000 | 24,170,000 | 23,342,000 | 22,891,000 | 20,165,000 | 19,632,000 | 18,958,000 | 19,238,000 | 19,125,000 | 17,864,000 | 17,066,000 | 15,883,000 | 15,683,000 |
| Total stockholders’ equity | US$ in thousands | 15,501,000 | 15,670,000 | 15,793,000 | 15,648,000 | 15,621,000 | 15,392,000 | 15,774,000 | 15,731,000 | 15,888,000 | 14,841,000 | 15,412,000 | 15,322,000 | 14,048,000 | 15,649,000 | 16,446,000 | 15,544,000 | 15,496,000 | 15,353,000 | 12,913,000 | 12,719,000 |
| Return on total capital | 5.99% | 6.02% | 5.02% | 4.69% | 3.99% | 3.85% | 3.51% | 3.75% | 4.17% | 4.85% | 4.16% | 4.18% | 3.97% | 2.41% | 5.15% | 5.22% | 5.54% | -1.44% | -1.21% | -1.50% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,746,000K ÷ ($30,316,000K + $15,501,000K)
= 5.99%
The return on total capital for Edison International has been relatively stable over the past eight quarters, ranging from 4.03% to 6.64%. In general, the company has shown a consistent ability to generate returns on the capital invested in its operations. The highest return on total capital was observed in Q4 2023 at 6.64%, while the lowest was in Q2 2022 at 4.03%. Overall, the trend indicates a gradual improvement in return on total capital over the period analyzed, with the most recent quarters showing stronger performance compared to the earlier quarters. This suggests that the company is becoming more efficient in utilizing its capital to generate profits.
Peer comparison
Dec 31, 2023