Knowles Cor (KN)
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 | 51,800 | 51,100 | -414,800 | 115,800 | 29,200 |
| Long-term debt | US$ in thousands | 134,000 | 224,100 | 45,000 | 70,000 | 0 |
| Total stockholders’ equity | US$ in thousands | 756,000 | 1,034,100 | 992,900 | 1,459,500 | 1,303,500 |
| Return on total capital | 5.82% | 4.06% | -39.97% | 7.57% | 2.24% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $51,800K ÷ ($134,000K + $756,000K)
= 5.82%
Knowles Cor's return on total capital has experienced fluctuations over the past five years, ranging from -39.97% in December 2022 to 7.57% in December 2021. This metric indicates the company's ability to generate returns from its total invested capital and reflects a mixed performance during the period analyzed. In December 2020, the return on total capital was 2.24%, showing a modest increase in 2021 to 7.57%. However, there was a significant decline in December 2022 to -39.97%, which may indicate challenges in capital utilization or profitability. The subsequent years saw improvements with returns of 4.06% in December 2023 and 5.82% in December 2024, suggesting a potential recovery in the company's capital efficiency. Evaluating the trend in return on total capital can provide insights into Knowles Cor's financial performance and management of invested capital over time.
Peer comparison
Dec 31, 2024