Expand Energy Corporation (EXE)
Return on total capital
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | -718,000 | 396,000 | 628,000 | 1,443,000 | 3,221,000 | 4,694,000 | 5,609,000 | 6,419,000 | 3,811,000 | 3,002,000 | 1,655,000 | -116,000 | 6,306,000 | 4,487,000 | 4,105,000 | 4,387,000 | -9,438,000 | -9,241,000 | -8,406,000 | -7,994,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 17,565,000 | 10,188,000 | 10,370,000 | 10,682,000 | 10,729,000 | 10,268,000 | 10,396,000 | 10,283,000 | 9,124,000 | 6,347,000 | 5,808,000 | 5,383,000 | 5,671,000 | 3,038,000 | 3,413,000 | 3,881,000 | -5,341,000 | -4,940,000 | -4,209,000 | -3,945,000 |
| Return on total capital | -4.09% | 3.89% | 6.06% | 13.51% | 30.02% | 45.71% | 53.95% | 62.42% | 41.77% | 47.30% | 28.50% | -2.15% | 111.20% | 147.70% | 120.28% | 113.04% | — | — | — | — |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-718,000K ÷ ($—K + $17,565,000K)
= -4.09%
Expand Energy Corporation's return on total capital has shown fluctuating performance over the past few years. The ratio was not available for the periods up to December 31, 2020, indicating insufficient data or potentially negative returns during those periods.
From March 31, 2021, to September 30, 2021, the return on total capital saw a significant improvement, reaching its peak at 147.70% in September 2021. This indicates that during this period, the company was generating significant returns relative to the total capital employed.
However, the return on total capital started declining from the end of 2021, dropping to -4.09% by December 31, 2024. This negative return suggests that the company may not have been efficiently utilizing its capital to generate profits during that period.
Overall, Expand Energy Corporation experienced periods of strong performance in terms of return on total capital, particularly in 2021. Still, the subsequent decline in the ratio towards the end of the period indicates a need for the company to focus on improving capital efficiency to enhance overall profitability.
Peer comparison
Dec 31, 2024