Fastenal Company (FAST)
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 | 1,532,700 | 1,509,800 | 1,501,700 | 1,489,700 | 1,454,200 | 1,421,900 | 1,361,000 | 1,295,300 | 1,217,500 | 1,181,300 | 1,153,000 | 1,151,300 | 1,142,400 | 1,116,700 | 1,108,500 | 1,067,500 | 1,057,600 | 1,052,100 | 1,032,500 | 1,026,500 |
| Long-term debt | US$ in thousands | 200,000 | 200,000 | 200,000 | 200,000 | 353,200 | 404,700 | 310,000 | 330,000 | 330,000 | 330,000 | 365,000 | 365,000 | 365,000 | 365,000 | 405,000 | 450,100 | 342,000 | 442,000 | 497,000 | 484,600 |
| Total stockholders’ equity | US$ in thousands | 3,348,800 | 3,466,600 | 3,380,800 | 3,270,600 | 3,163,200 | 3,161,200 | 3,178,700 | 3,142,000 | 3,042,200 | 2,964,700 | 2,880,800 | 2,786,700 | 2,733,200 | 2,885,600 | 2,783,000 | 2,656,600 | 2,665,600 | 2,585,700 | 2,503,700 | 2,397,200 |
| Return on total capital | 43.19% | 41.18% | 41.94% | 42.92% | 41.35% | 39.87% | 39.01% | 37.31% | 36.10% | 35.85% | 35.52% | 36.53% | 36.87% | 34.35% | 34.77% | 34.36% | 35.16% | 34.75% | 34.41% | 35.62% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,532,700K ÷ ($200,000K + $3,348,800K)
= 43.19%
Fastenal Co.’s return on total capital has been showing a positive trend over the past eight quarters, increasing from 36.93% in Q1 2022 to 42.36% in Q4 2023. This indicates that the company is effectively generating returns from the capital invested in its operations. The consistent improvement in return on total capital reflects efficient utilization of resources to generate profits. The company's ability to maintain high returns on total capital suggests good financial health and effective management of assets and liabilities. Overall, Fastenal Co. is demonstrating strong performance in terms of generating returns on its total capital.
Peer comparison
Dec 31, 2023