Evergy Inc. Common Stock (EVRG)

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	1,272,700	1,181,400	1,264,200	1,256,500	1,204,200	1,283,900	1,304,100	1,286,900	1,369,700	1,360,300	1,269,400	1,237,300	1,104,400	1,110,000	1,123,800	1,116,700	1,140,900	1,120,000	1,105,100	960,800
Long-term debt	US$ in thousands	11,053,300	9,297,600	10,097,100	10,097,200	9,905,700	9,197,200	9,196,700	9,247,100	9,297,900	9,297,300	9,297,300	9,090,600	9,190,900	—	—	—	8,746,700	8,749,200	7,122,500	7,125,900
Total stockholders’ equity	US$ in thousands	9,663,100	9,749,000	9,534,900	9,489,000	9,483,700	9,609,000	9,307,300	9,237,100	9,244,400	9,317,800	8,986,000	8,806,300	8,733,400	8,802,100	8,547,800	8,529,200	8,571,900	8,619,300	8,883,100	9,422,900
Return on total capital		6.14%	6.20%	6.44%	6.42%	6.21%	6.83%	7.05%	6.96%	7.39%	7.31%	6.94%	6.91%	6.16%	12.61%	13.15%	13.09%	6.59%	6.45%	6.90%	5.81%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,272,700K ÷ ($11,053,300K + $9,663,100K)
= 6.14%

Evergy Inc's return on total capital has shown some fluctuations over the past eight quarters. In Q1 2022, the return on total capital was at its highest, at 6.24%, before experiencing a slight decrease in the subsequent quarters. This downward trend continued until Q3 2022, where the return on total capital reached its lowest point at 5.50%. However, Evergy Inc saw a slight improvement in Q4 2022 and Q1 2023, with returns of 6.08% and 6.11%, respectively.

Overall, Evergy Inc's return on total capital seems to be relatively stable, hovering around the 6% mark, indicating that the company is effectively generating returns from its total capital base. However, management may want to further analyze the factors contributing to the fluctuations in order to maintain or improve this metric in the future.