International Seaways Inc (INSW)

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	465,343	615,333	446,960	-106,622	26,530
Long-term debt	US$ in thousands	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	1,856,050	1,716,760	1,487,750	1,133,690	972,042
Return on total capital		25.07%	35.84%	30.04%	-9.40%	2.73%

December 31, 2024 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $465,343K ÷ ($—K + $1,856,050K)
= 25.07%

Based on the provided data, International Seaways Inc's return on total capital has shown significant fluctuations over the years:

1. December 31, 2020: The return on total capital was 2.73%, indicating a relatively low return on the capital employed by the company.

2. December 31, 2021: The return on total capital decreased significantly to -9.40%, reflecting a negative return on the capital invested, which may raise concerns about the company's operational efficiency.

3. December 31, 2022: The return on total capital improved drastically to 30.04%, showing a strong performance and effective utilization of capital during this period.

4. December 31, 2023: The return on total capital continued to increase to 35.84%, demonstrating further growth and profitability for the company.

5. December 31, 2024: The return on total capital slightly decreased to 25.07%, but remained at a relatively high level compared to the initial years.

Overall, the trend indicates that International Seaways Inc has experienced fluctuations in its return on total capital, with significant improvements in recent years, suggesting better capital utilization and potentially improved profitability for the company. However, it is important for stakeholders to monitor these fluctuations closely to assess the company's overall financial performance and sustainability.