Huntington Ingalls Industries Inc (HII)
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 | 948,000 | 821,000 | 711,000 | 924,000 | 753,000 |
| Long-term debt | US$ in thousands | 2,214,000 | 2,506,000 | 3,298,000 | 1,686,000 | 1,286,000 |
| Total stockholders’ equity | US$ in thousands | 4,093,000 | 3,489,000 | 2,808,000 | 1,901,000 | 1,588,000 |
| Return on total capital | 15.03% | 13.69% | 11.64% | 25.76% | 26.20% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $948,000K ÷ ($2,214,000K + $4,093,000K)
= 15.03%
Huntington Ingalls Industries Inc's return on total capital has shown variability over the past five years, ranging from a high of 26.62% in 2019 to a low of 8.37% in 2021. The return on total capital was 10.11% in 2023, reflecting a slight improvement from the previous year. The significant drop in the return on total capital from 2019 to 2020 may indicate a decrease in efficiency in utilizing the company's capital. Overall, the return on total capital for Huntington Ingalls Industries Inc appears to have fluctuated, and further analysis is needed to understand the factors driving these changes over the years.
Peer comparison
Dec 31, 2023