Kohls Corp (KSS)
Return on total capital
| Feb 3, 2024 | Jan 28, 2023 | Jan 29, 2022 | Jan 30, 2021 | Feb 1, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 717,000 | 246,000 | 1,680,000 | -262,000 | 1,099,000 |
| Long-term debt | US$ in thousands | 1,638,000 | 1,637,000 | 1,910,000 | 2,451,000 | 1,856,000 |
| Total stockholders’ equity | US$ in thousands | 3,893,000 | 3,763,000 | 4,661,000 | 5,196,000 | 5,450,000 |
| Return on total capital | 12.96% | 4.56% | 25.57% | -3.43% | 15.04% |
February 3, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $717,000K ÷ ($1,638,000K + $3,893,000K)
= 12.96%
Kohls Corp's return on total capital has fluctuated over the past five years. In 2024, the return on total capital was 12.96%, showing an improvement compared to the prior year when it was 4.56%. This indicates that Kohls Corp was able to generate a higher return on its total capital in the most recent year.
Looking further back, in 2022, the return on total capital was quite robust at 25.57%, demonstrating strong efficiency in utilizing its capital to generate profits. However, in 2021, the company experienced a negative return on total capital of -3.43%, indicating that Kohls Corp did not effectively generate profits compared to the capital invested.
Assessing the performance in 2020, the return on total capital was 15.04%, pointing towards a positive year for the company in terms of generating returns on its total capital.
Overall, Kohls Corp has shown varying levels of efficiency in utilizing its total capital to generate profits over the past five years, with fluctuations in performance. It is important for the company to maintain consistent and positive returns on total capital to ensure sustainable and profitable operations in the long run.
Peer comparison
Feb 3, 2024