Keurig Dr Pepper Inc (KDP)
Return on total capital
| 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 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 3,192,000 | 2,922,000 | 2,420,000 | 2,223,000 | 2,605,000 | 2,657,000 | 3,058,000 | 3,220,000 | 2,894,000 | 2,869,000 | 2,827,000 | 2,654,000 | 2,480,000 | 2,487,000 | 2,305,000 | 2,330,000 | 2,348,000 | 2,179,000 | 1,975,000 | 1,528,000 |
| Long-term debt | US$ in thousands | 9,945,000 | 9,940,000 | 9,934,000 | 9,929,000 | 11,072,000 | 11,561,000 | 11,555,000 | 11,584,000 | 11,578,000 | 11,727,000 | 11,721,000 | 11,715,000 | 11,143,000 | 11,707,000 | 11,849,000 | 12,431,000 | 12,827,000 | 13,147,000 | 13,164,000 | 13,246,000 |
| Total stockholders’ equity | US$ in thousands | 25,676,000 | 25,364,000 | 25,268,000 | 25,103,000 | 25,126,000 | 25,102,000 | 25,391,000 | 25,511,000 | 24,972,000 | 24,405,000 | 24,242,000 | 24,070,000 | 23,829,000 | 23,296,000 | 22,923,000 | 22,640,000 | 23,257,000 | 22,914,000 | 22,883,000 | 22,674,000 |
| Return on total capital | 8.96% | 8.28% | 6.87% | 6.35% | 7.20% | 7.25% | 8.28% | 8.68% | 7.92% | 7.94% | 7.86% | 7.42% | 7.09% | 7.11% | 6.63% | 6.64% | 6.51% | 6.04% | 5.48% | 4.25% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $3,192,000K ÷ ($9,945,000K + $25,676,000K)
= 8.96%
Keurig Dr Pepper Inc's return on total capital has exhibited relative stability over the past eight quarters, ranging from 7.10% to 8.07%. The company's performance in generating returns from its total invested capital has been consistent, with fluctuations within a tight range. Notably, the return on total capital was at its highest in Q4 2023 at 8.07% and at its lowest in Q1 2023 at 7.10%.
Overall, based on the data provided, Keurig Dr Pepper Inc has managed to maintain a reasonable level of return on its total capital, showcasing efficiency in utilizing its resources to generate profits for its stakeholders over the studied periods. However, further analysis and comparison with industry benchmarks may be warranted to gain a deeper understanding of the company's performance in this aspect.
Peer comparison
Dec 31, 2023