Kinder Morgan Inc (KMI)
Return on total capital
| Dec 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 4,384,000 | 4,377,000 | 4,300,000 | 4,292,000 | 4,263,000 | 4,266,000 | 4,259,000 | 4,235,000 | 4,065,000 | 3,911,000 | 3,824,000 | 2,054,000 | 2,916,000 | 2,946,000 | 2,921,000 | 3,403,000 | 1,560,000 | 2,511,000 | 2,643,000 | 3,898,000 |
| Long-term debt | US$ in thousands | 29,881,000 | 30,047,000 | 28,649,000 | 30,171,000 | 28,067,000 | 27,871,000 | 28,632,000 | 29,346,000 | 28,403,000 | 29,107,000 | 28,552,000 | 28,759,000 | 30,674,000 | 30,002,000 | 31,077,000 | 31,061,000 | 32,131,000 | 32,660,000 | 31,441,000 | 31,405,000 |
| Total stockholders’ equity | US$ in thousands | 30,531,000 | 30,406,000 | 30,338,000 | 30,372,000 | 30,306,000 | 30,258,000 | 30,569,000 | 30,757,000 | 30,742,000 | 30,756,000 | 30,545,000 | 30,618,000 | 30,823,000 | 30,552,000 | 30,711,000 | 32,187,000 | 31,436,000 | 31,559,000 | 31,753,000 | 33,106,000 |
| Return on total capital | 7.26% | 7.24% | 7.29% | 7.09% | 7.30% | 7.34% | 7.19% | 7.05% | 6.87% | 6.53% | 6.47% | 3.46% | 4.74% | 4.87% | 4.73% | 5.38% | 2.45% | 3.91% | 4.18% | 6.04% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $4,384,000K ÷ ($29,881,000K + $30,531,000K)
= 7.26%
Kinder Morgan Inc's return on total capital has fluctuated over the past years, ranging from a low of 2.45% in December 2020 to a high of 7.34% in September 2023. The trend shows a general increase in the return on total capital from 2020 to 2023, where it peaked before stabilizing around the 7% mark. This indicates an improvement in the company's efficiency in generating profits from its total invested capital. The consistency of the return on total capital above 7% in the later quarters of 2023 and throughout 2024 suggests that Kinder Morgan Inc has been successful in maintaining a healthy level of profitability relative to its total capital employed.
Peer comparison
Dec 31, 2024