Hub Group Inc (HUBG)

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 143,256 145,320 158,426 181,382 222,640 293,603 365,792 439,012 474,588 487,758 430,141 329,451 238,213 151,174 125,192 109,461 105,443 114,501 118,621 138,882
Long-term debt US$ in thousands 164,361 187,240 209,875 230,775 245,574 243,834 238,213 236,160 240,724 217,771 188,058 174,669 177,479 165,652 143,101 154,341 176,797 149,004 167,857 284,076
Total stockholders’ equity US$ in thousands 1,645,000 1,626,270 1,641,130 1,622,220 1,634,640 1,629,070 1,610,740 1,659,050 1,599,600 1,517,380 1,535,190 1,426,970 1,340,310 1,255,120 1,207,080 1,176,500 1,157,920 1,135,010 1,105,840 1,088,710
Return on total capital 7.92% 8.01% 8.56% 9.79% 11.84% 15.68% 19.78% 23.16% 25.79% 28.11% 24.96% 20.57% 15.69% 10.64% 9.27% 8.22% 7.90% 8.92% 9.31% 10.12%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $143,256K ÷ ($164,361K + $1,645,000K)
= 7.92%

Hub Group Inc's return on total capital has shown some fluctuations over the period from March 31, 2020, to December 31, 2024. The return on total capital started at 10.12% in March 2020 and decreased to 7.90% by December 2020. However, the trend reversed in the following quarters, with an upward trajectory observed until June 2022, reaching a peak of 24.96%.

After reaching the highest point in June 2022, the return on total capital started to decline gradually, with some fluctuations, but maintaining a mostly decreasing trend. As of December 31, 2024, the return on total capital stood at 7.92%. These figures suggest that while Hub Group Inc experienced significant improvements in return on total capital in the mid-years of the period under review, it faced challenges in sustaining those higher levels in the latter part of the period.

Overall, the return on total capital trend indicates the company's ability to generate profits relative to the total capital invested, reflecting fluctuations in efficiency and profitability over the period analyzed.