ESCO Technologies Inc (ESE)
Return on total capital
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 127,747 | 111,335 | 82,871 | 119,621 | 109,527 |
| Long-term debt | US$ in thousands | 82,000 | 133,000 | 134,000 | 40,000 | 265,000 |
| Total stockholders’ equity | US$ in thousands | 1,131,140 | 1,048,160 | 1,019,700 | 959,026 | 826,222 |
| Return on total capital | 10.53% | 9.43% | 7.18% | 11.97% | 10.04% |
September 30, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $127,747K ÷ ($82,000K + $1,131,140K)
= 10.53%
The return on total capital for Esco Technologies, Inc. has shown a generally positive trend over the past five years. In 2023, the return on total capital reached 10.51%, indicating an increase from the previous year's 9.24%. This suggests that the company has been able to generate more profit relative to its total capital investment. The 2023 figure also represents a significant improvement compared to the 6.99% return in 2021. However, it is worth noting that the return on total capital dipped slightly in 2022 and 2020, standing at 9.24% and 9.20%, respectively, after reaching a high of 10.14% in 2019.Overall, Esco Technologies, Inc.'s return on total capital demonstrates a positive performance, with the 2023 figure indicating a particularly strong performance in generating returns relative to its total capital.
Peer comparison
Sep 30, 2023