Frontier Communications Parent Inc (FYBR)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 770,000 | 1,091,000 | -72,000 | 276,000 | -4,987,000 |
| Long-term debt | US$ in thousands | 11,246,000 | 9,110,000 | 7,968,000 | 10,949,000 | 16,308,000 |
| Total stockholders’ equity | US$ in thousands | 5,279,000 | 5,134,000 | 4,600,000 | -4,900,000 | -4,394,000 |
| Return on total capital | 4.66% | 7.66% | -0.57% | 4.56% | -41.86% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $770,000K ÷ ($11,246,000K + $5,279,000K)
= 4.66%
Frontier Communications Parent Inc's return on total capital has fluctuated over the past five years. The return on total capital was 4.66% in 2023, a decrease from 7.66% in 2022. The company experienced a negative return on total capital of -0.57% in 2021, which improved to 4.56% in 2020. However, in 2019, the return on total capital was significantly negative at -41.86%.
Overall, Frontier Communications Parent Inc's return on total capital has shown variability, with both positive and negative values in recent years. This indicates that the company's efficiency in generating returns from its total capital has been inconsistent and subject to fluctuations. It is important for the company to closely monitor and address the factors influencing its return on total capital to ensure sustained financial performance.
Peer comparison
Dec 31, 2023