Six Flags Entertainment Corporation (FUN)
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 | 323,267 | 323,564 | 370,435 | 348,271 | 356,561 | 386,930 | 437,444 | 499,024 | 531,621 | 519,467 | 489,374 | 324,226 | 307,817 | 159,143 | -223,828 | -307,345 | -302,095 | -171,774 | 227,615 | 472,418 |
| Long-term debt | US$ in thousands | 4,723,070 | 4,574,510 | 2,348,790 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,041,860 | 2,341,580 | 14,685 | -736,202 | -588,246 | -571,053 | 14,437 | 140,110 | 323,277 | 16,453 | 14,615 | 11,796 | 8,943 | 737,521 | 424,783 | 489,741 | 541,732 | 421,735 | 463,832 | 88,997 |
| Return on total capital | 4.78% | 4.68% | 15.67% | — | — | — | 3,030.02% | 356.17% | 164.45% | 3,157.28% | 3,348.44% | 2,748.61% | 3,441.99% | 21.58% | -52.69% | -62.76% | -55.76% | -40.73% | 49.07% | 530.82% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $323,267K ÷ ($4,723,070K + $2,041,860K)
= 4.78%
The return on total capital of Six Flags Entertainment Corporation has fluctuated significantly over the past few years.
In the first half of 2020, the company experienced a sharp decline in return on total capital, with negative values indicating that the company's capital was not being effectively utilized to generate profits. However, by the end of 2020 and into 2021, there was a substantial improvement, with the return on total capital bouncing back to positive values, albeit with some fluctuations.
From 2022 onwards, Six Flags Entertainment Corporation saw a remarkable surge in the return on total capital, reaching exceptionally high percentages, indicating a significant increase in profitability relative to the capital employed. This improvement suggests that the company was able to enhance its operational efficiency and profitability during this period.
Although there are missing data points for the latter part of 2023 and throughout 2024, the return on total capital remained positive, albeit at lower levels compared to the peak values observed in the earlier periods.
Overall, the trend in the return on total capital for Six Flags Entertainment Corporation showcases a mix of challenges and successes in capital allocation and profitability management over the years, with notable improvements in recent years.
Peer comparison
Dec 31, 2024