Helix Energy Solutions Group Inc (HLX)
Return on total capital
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 28,892 | 51,794 | 15,727 | -22,795 | -55,065 | -91,808 | -98,472 | -84,973 | -47,039 | -10,868 | 40,874 | 62,998 | 34,011 | 41,182 | 46,372 | 61,789 | 96,964 | 75,774 | 68,979 | 67,327 |
| Long-term debt | US$ in thousands | 313,430 | 218,508 | 222,469 | 222,008 | 225,875 | 225,427 | 258,977 | 258,496 | 262,137 | 261,668 | 265,222 | 299,560 | 258,912 | 283,545 | 304,834 | 303,584 | 306,122 | 304,932 | 307,455 | 381,319 |
| Total stockholders’ equity | US$ in thousands | 1,501,000 | 1,530,520 | 1,531,930 | 1,515,720 | 1,516,710 | 1,481,850 | 1,531,790 | 1,592,750 | 1,647,470 | 1,669,660 | 1,700,060 | 1,707,460 | 1,740,500 | 1,705,490 | 1,654,700 | 1,649,060 | 1,699,590 | 1,679,020 | 1,648,400 | 1,629,840 |
| Return on total capital | 1.59% | 2.96% | 0.90% | -1.31% | -3.16% | -5.38% | -5.50% | -4.59% | -2.46% | -0.56% | 2.08% | 3.14% | 1.70% | 2.07% | 2.37% | 3.16% | 4.83% | 3.82% | 3.53% | 3.35% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $28,892K ÷ ($313,430K + $1,501,000K)
= 1.59%
Based on the data provided, Helix Energy Solutions Group Inc's return on total capital has shown a varying trend over the past eight quarters. The return on total capital has improved consistently from negative figures in the first and second quarters of 2022 to positive figures in the last four quarters of 2023. This indicates an overall positive performance in generating returns relative to the total capital employed.
The return on total capital ranged from a low of -4.30% in Q2 2022 to a high of 5.81% in Q4 2023. The steady improvement in the return on total capital demonstrates an increasing efficiency in utilizing the company's total capital to generate profits.
It is worth noting that while the return on total capital has been positive in the recent quarters, there is still room for further enhancement to ensure sustained profitability and value creation for the company and its stakeholders. Continued monitoring and analysis of this ratio will be essential to assess the company's financial performance and efficiency in capital allocation.
Peer comparison
Dec 31, 2023