FirstEnergy Corporation (FE)
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 | 2,493,000 | 2,559,000 | 2,528,000 | 2,444,000 | 2,445,000 | 2,594,000 | 2,741,000 | 2,681,000 | 2,742,000 | 2,501,000 | 2,503,000 | 2,700,000 | 2,270,000 | 1,832,000 | 1,755,000 | 1,769,000 | 2,158,000 | 2,508,000 | 1,667,000 | 1,770,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 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 | 6,975,000 | 7,272,000 | 7,269,000 | 6,932,000 |
| Return on total capital | 23.89% | 24.43% | 24.05% | 23.84% | 24.05% | 24.08% | 25.24% | 30.62% | 31.61% | 33.44% | 33.69% | 36.68% | 31.37% | 25.49% | 24.57% | 25.96% | 30.94% | 34.49% | 22.93% | 25.53% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,493,000K ÷ ($—K + $10,437,000K)
= 23.89%
Firstenergy Corp.'s return on total capital has shown stability and a generally positive trend over the past eight quarters. The return on total capital has ranged from 5.42% to 6.91% during this period. In the most recent quarter, Q4 2023, the return on total capital was 6.91%, indicating an improvement from the previous quarter. This trend suggests that the company has been effectively utilizing its capital to generate returns for its investors. However, it is important to continue monitoring this ratio to ensure sustained performance and profitability.
Peer comparison
Dec 31, 2023