Hawkins Inc (HWKN)
Return on total capital
| Mar 31, 2025 | Mar 31, 2024 | Mar 31, 2023 | Mar 31, 2022 | Mar 31, 2021 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | — | 105,427 | 87,816 | 71,383 | 57,318 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 460,292 | 406,026 | 350,016 | 302,601 | 265,246 |
| Return on total capital | 0.00% | 25.97% | 25.09% | 23.59% | 21.61% |
March 31, 2025 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $460,292K)
= 0.00%
Based on the data provided, Hawkins Inc's return on total capital has shown a positive trend over the years, increasing from 21.61% as of March 31, 2021, to 25.97% as of March 31, 2024. This indicates that the company has been able to generate higher returns relative to the total capital employed in its operations.
However, there seems to be a significant decline in the return on total capital to 0.00% as of March 31, 2025. This sudden drop may raise concerns about the company's ability to effectively utilize its capital to generate returns for its investors.
It is important for stakeholders to further investigate the reasons behind this drastic decrease in the return on total capital in the most recent period to assess the company's financial performance and efficiency in capital allocation.
Peer comparison
Mar 31, 2025