Honeywell International Inc (HON)
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 | 7,895,000 | 8,150,000 | 8,202,000 | 8,316,000 | 8,337,000 | 7,580,000 | 7,479,000 | 7,061,000 | 6,697,000 | 7,237,000 | 7,114,000 | 7,374,000 | 7,737,000 | 7,669,000 | 6,969,000 | 6,311,000 | 6,356,000 | 6,410,000 | 7,181,000 | 7,898,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 26,674,000 | 17,406,000 | 16,947,000 | 16,454,000 | 15,856,000 | 17,775,000 | 17,299,000 | 17,515,000 | 17,319,000 | 17,707,000 | 17,541,000 | 18,365,000 | 19,242,000 | 17,842,000 | 18,202,000 | 18,252,000 | 17,790,000 | 18,313,000 | 18,147,000 | 17,644,000 |
| Return on total capital | 29.60% | 46.82% | 48.40% | 50.54% | 52.58% | 42.64% | 43.23% | 40.31% | 38.67% | 40.87% | 40.56% | 40.15% | 40.21% | 42.98% | 38.29% | 34.58% | 35.73% | 35.00% | 39.57% | 44.76% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $7,895,000K ÷ ($—K + $26,674,000K)
= 29.60%
Honeywell International Inc's return on total capital has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The return on total capital started at a high of 44.76% in March 2020 and gradually decreased to 34.58% by March 31, 2021. However, there was a rebound in the following quarters, with the return increasing to 42.98% by September 30, 2021.
Subsequently, the return on total capital remained relatively stable between 38% to 43% from March 31, 2022, to June 30, 2023. There was a significant increase in profitability by the end of December 31, 2023, reaching 52.58%. However, this was followed by a notable decline to 29.60% by December 31, 2024.
Overall, the trend in return on total capital for Honeywell International Inc indicates periods of both growth and decline, emphasizing the importance of monitoring and analyzing this metric to assess the company's efficiency in generating returns from its total capital base.
Peer comparison
Dec 31, 2024