Foot Locker Inc (FL)
Return on total capital
Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 31, 2022 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 112,000 | 27,000 | -463,000 | -402,000 | -385,000 | -417,000 | 101,000 | 128,000 | 142,000 | 259,000 | 317,000 | 401,000 | 500,000 | 527,000 | 610,000 | 672,000 | 730,000 | 703,000 | 812,000 | 783,000 |
Long-term debt | US$ in thousands | — | — | — | — | 395,000 | — | — | 395,000 | — | 395,000 | — | 395,000 | — | 395,000 | — | 395,000 | — | 394,000 | — | — |
Total stockholders’ equity | US$ in thousands | 2,909,000 | 2,868,000 | 2,897,000 | 2,886,000 | 2,890,000 | 2,890,000 | 3,205,000 | 3,205,000 | 3,247,000 | 3,247,000 | 3,283,000 | 3,283,000 | 3,293,000 | 3,293,000 | 3,252,000 | 3,259,000 | 3,210,000 | 3,217,000 | 3,215,000 | 3,243,000 |
Return on total capital | 3.85% | 0.94% | -15.98% | -13.93% | -11.72% | -14.43% | 3.15% | 3.56% | 4.37% | 7.11% | 9.66% | 10.90% | 15.18% | 14.29% | 18.76% | 18.39% | 22.74% | 19.47% | 25.26% | 24.14% |
January 31, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $112,000K ÷ ($—K + $2,909,000K)
= 3.85%
The return on total capital for Foot Locker Inc has shown fluctuations over the given time period. It started at a healthy level of 24.14% in January 2022, showing an upward trend to reach 25.26% by April 2022. However, there was a decline in the return on total capital to 19.47% in July 2022, followed by a slight increase to 22.74% in July 31, 2022.
The return on total capital continued to trend downward, reaching its lowest point of 3.15% in October 31, 2023. There was a significant negative turn in January 2024, with the return on total capital falling to -14.43%, showing a declining trend until July 31, 2024.
In January 2025, the return on total capital showed signs of improvement, reaching 3.85%. It is essential for Foot Locker Inc to focus on strategies to improve its return on total capital to ensure sustainable growth and value creation for its stakeholders.
Peer comparison
Jan 31, 2025