J & J Snack Foods Corp (JJSF)
Return on total capital
| Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 119,810 | 121,671 | 119,066 | 110,671 | 109,518 | 89,421 | 62,387 | 56,282 | 61,799 | 65,459 | 82,343 | 85,485 | 71,218 | 49,881 | -7,683 | -3,931 | 17,194 | 44,326 | 102,788 | 116,577 |
| Long-term debt | US$ in thousands | 0 | 12,000 | 17,000 | 7,000 | 27,000 | 83,000 | 92,000 | 92,000 | 55,000 | 125,000 | — | — | 0 | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 956,970 | 937,916 | 915,652 | 912,461 | 911,518 | 886,167 | 858,287 | 859,736 | 863,169 | 855,899 | 849,981 | 845,998 | 845,654 | 835,030 | 813,000 | 808,289 | 809,498 | 810,600 | 833,068 | 842,520 |
| Return on total capital | 12.52% | 12.81% | 12.77% | 12.04% | 11.67% | 9.23% | 6.57% | 5.91% | 6.73% | 6.67% | 9.69% | 10.10% | 8.42% | 5.97% | -0.95% | -0.49% | 2.12% | 5.47% | 12.34% | 13.84% |
September 30, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $119,810K ÷ ($0K + $956,970K)
= 12.52%
The return on total capital for J & J Snack Foods Corp has shown a stable trend over the past several quarters, ranging from -0.95% to 12.81%. The company has managed to maintain a double-digit return on total capital in most periods, indicating its ability to generate profits from the capital invested in the business.
The return on total capital peaked at 12.81% in the most recent quarter, which suggests that the company's capital utilization and profitability improved during that period. On the other hand, the lowest return of -0.95% in March 2021 indicates a temporary downturn in the company's profitability relative to its invested capital.
Overall, the consistent track record of achieving positive returns on total capital reflects J & J Snack Foods Corp's efficiency in utilizing its capital resources to generate earnings for its shareholders. It is essential for the company to continue monitoring and maintaining a healthy return on total capital to sustain long-term financial performance and value creation.