JB Hunt Transport Services Inc (JBHT)
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 | 1,000,820 | 1,332,620 | 1,046,020 | 713,605 | 735,579 |
| Long-term debt | US$ in thousands | 1,326,110 | 1,261,740 | 945,257 | 1,305,420 | 1,295,740 |
| Total stockholders’ equity | US$ in thousands | 4,103,760 | 3,666,770 | 3,117,820 | 2,600,140 | 2,267,030 |
| Return on total capital | 18.43% | 27.04% | 25.74% | 18.27% | 20.65% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $1,000,820K ÷ ($1,326,110K + $4,103,760K)
= 18.43%
The return on total capital for J.B. Hunt Transport Services, Inc. has shown some fluctuations over the past five years. In 2023, the return on total capital decreased to 17.49% from 27.02% in 2022. This decline could be indicative of changes in the company's operational efficiency or financial performance. Despite the decrease in 2023, the return on total capital remained relatively strong compared to previous years, with the highest return recorded in 2022 at 27.02%.
Overall, J.B. Hunt Transport Services, Inc. has maintained a consistently positive return on total capital over the past five years, indicating that the company has been able to generate profits from its total capital investment. However, the fluctuation in the return on total capital suggests that the company's financial performance may have been influenced by various factors such as economic conditions, industry trends, or internal operational changes. Further analysis of the company's financial statements and market conditions would be needed to fully understand the drivers behind these fluctuations in return on total capital.
Peer comparison
Dec 31, 2023