Haverty Furniture Companies Inc (HVT)
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 | 67,126 | 117,839 | 118,250 | 111,504 | 27,774 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 308,366 | 289,399 | 255,970 | 252,967 | 260,503 |
| Return on total capital | 21.77% | 40.72% | 46.20% | 44.08% | 10.66% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $67,126K ÷ ($—K + $308,366K)
= 21.77%
Haverty Furniture Companies Inc's return on total capital has shown fluctuations over the past five years. The return on total capital was at its lowest in 2019 at 10.66% before experiencing a significant increase in 2020 to 44.08%. Subsequently, there was a slight decrease in 2021 to 46.20% before declining further in 2022 to 40.72%. However, in 2023, there was a notable increase to 21.77%. Overall, the company has demonstrated the ability to generate returns on its total capital, with varying performance levels in different years. It would be important for stakeholders to further analyze the factors influencing these fluctuations to gain insight into the company's financial stability and efficiency in utilizing its total capital.
Peer comparison
Dec 31, 2023