IDEX Corporation (IEX)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 683,800 | 732,500 | 790,100 | 617,500 | 521,107 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,794,700 | 3,541,400 | 3,039,300 | 2,803,100 | 2,540,200 |
| Return on total capital | 18.02% | 20.68% | 26.00% | 22.03% | 20.51% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $683,800K ÷ ($—K + $3,794,700K)
= 18.02%
The return on total capital for IDEX Corporation has shown some fluctuations over the past five years. In December 2020, the return on total capital was 20.51%, which increased to 22.03% by December 2021. Subsequently, there was a notable improvement to 26.00% by December 2022. However, in the following years, the return on total capital decreased to 20.68% by December 2023 and further dropped to 18.02% by December 2024. Overall, the trend shows some variability in the company's ability to generate returns relative to its total capital employed, with a peak in 2022 followed by a decline in the later years. Further analysis is needed to understand the factors contributing to these fluctuations and the company's overall capital efficiency.
Peer comparison
Dec 31, 2024