Eversource Energy (ES)

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 2,261,276 2,315,806 2,353,237 2,648,143 2,544,248 2,440,644 2,320,619 2,269,413 2,154,600 2,124,860 2,188,243 2,153,932 2,097,353 2,082,126 2,027,834 1,760,770 1,723,231 1,686,532 1,633,121 1,877,724
Long-term debt US$ in thousands 23,588,600 22,087,300 21,772,000 20,562,600 19,724,000 19,832,000 19,583,800 17,912,500 17,023,600 17,420,300 15,851,400 14,782,700 15,125,900 14,736,300 13,697,800 13,898,600 13,770,800 13,440,200 13,039,200 12,284,300
Total stockholders’ equity US$ in thousands 14,173,900 15,685,900 15,554,100 15,749,400 15,473,200 15,279,200 15,057,200 14,836,700 14,599,800 14,411,600 14,311,900 14,233,400 14,063,600 13,980,000 13,805,300 13,210,000 12,630,000 12,121,600 11,954,600 11,637,400
Return on total capital 5.99% 6.13% 6.30% 7.29% 7.23% 6.95% 6.70% 6.93% 6.81% 6.68% 7.25% 7.42% 7.19% 7.25% 7.37% 6.50% 6.53% 6.60% 6.53% 7.85%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,261,276K ÷ ($23,588,600K + $14,173,900K)
= 5.99%

To analyze Eversource Energy's return on total capital based on the provided data, we can observe the following trends:

- The return on total capital has remained relatively stable over the past eight quarters, ranging from 5.66% to 5.92%.
- The fluctuations in the return on total capital are moderate, with only minor variations from quarter to quarter.
- The average return on total capital over the eight quarters is approximately 5.78%, indicating a consistent performance in generating returns relative to the total capital employed by the company.
- The return on total capital has not shown any significant upward or downward trend, suggesting a consistent and balanced utilization of the company's capital resources.

Overall, based on the data provided, Eversource Energy has maintained a steady return on total capital, reflecting a consistent performance in generating returns relative to the total capital invested in the business.