Fox Corp Class B (FOX)

Return on total capital

		Jun 30, 2024	Jun 30, 2023	Jun 30, 2022	Jun 30, 2021	Jun 30, 2020
Earnings before interest and tax (EBIT)	US$ in thousands	389,000	2,071,000	2,043,000	3,262,000	1,770,000
Long-term debt	US$ in thousands	6,598,000	5,961,000	7,206,000	7,202,000	7,946,000
Total stockholders’ equity	US$ in thousands	10,714,000	10,378,000	11,339,000	11,123,000	10,094,000
Return on total capital		2.25%	12.68%	11.02%	17.80%	9.81%

June 30, 2024 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $389,000K ÷ ($6,598,000K + $10,714,000K)
= 2.25%

Fox Corp Class B's return on total capital has fluctuated over the past five years. In the most recent fiscal year ending June 30, 2024, the return on total capital was 2.25%. This represents a significant decline from the previous year's figure of 12.68% and is the lowest return on total capital in the provided dataset.

The company's return on total capital was relatively stable in the fiscal years ending June 30, 2022 and June 30, 2023, at 11.02% and 17.80% respectively. The highest return on total capital was observed in the fiscal year ending June 30, 2021, at 17.80%.

The decreasing trend in return on total capital from 2018 to 2024 may indicate challenges in efficiently utilizing the company's capital to generate profits. It is important for stakeholders to closely monitor this metric to ensure sustainable and profitable utilization of the company's total capital in the future.