FirstEnergy Corporation (FE)
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 | 2,620,000 | 2,537,000 | 2,414,000 | 2,575,000 | 2,535,000 | 2,609,000 | 2,538,000 | 2,445,000 | 2,473,000 | 2,609,000 | 2,715,000 | 2,649,000 | 2,672,000 | 2,384,000 | 2,416,000 | 2,600,000 | 2,108,000 | 1,642,000 | 1,580,000 | 1,636,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 12,455,000 | 12,427,000 | 12,474,000 | 12,397,000 | 10,437,000 | 10,474,000 | 10,510,000 | 10,253,000 | 10,166,000 | 10,774,000 | 10,858,000 | 8,755,000 | 8,675,000 | 7,479,000 | 7,430,000 | 7,360,000 | 7,237,000 | 7,188,000 | 7,143,000 | 6,814,000 |
| Return on total capital | 21.04% | 20.42% | 19.35% | 20.77% | 24.29% | 24.91% | 24.15% | 23.85% | 24.33% | 24.22% | 25.00% | 30.26% | 30.80% | 31.88% | 32.52% | 35.33% | 29.13% | 22.84% | 22.12% | 24.01% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,620,000K ÷ ($—K + $12,455,000K)
= 21.04%
FirstEnergy Corporation's return on total capital exhibited fluctuating trends over the periods provided. The return on total capital ranged from a high of 35.33% on March 31, 2021, to a low of 19.35% on June 30, 2024.
There was initially an increasing trend from March 31, 2020, to March 31, 2021, where the return on total capital consistently improved. However, from June 30, 2021, to June 30, 2022, there was a notable decline in the return on total capital, which stabilized at around 25% thereafter.
The return on total capital indicates the efficiency with which FirstEnergy utilized its capital to generate profits. While the company experienced fluctuations, it is essential to further analyze the factors contributing to these changes to assess the overall performance and efficiency of the company in utilizing its total capital resources.
Peer comparison
Dec 31, 2024