Lancaster Colony Corporation (LANC)
Return on total capital
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 199,363 | 141,508 | 111,911 | 185,852 | 175,948 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 925,772 | 862,267 | 844,687 | 843,147 | 783,300 |
| Return on total capital | 21.53% | 16.41% | 13.25% | 22.04% | 22.46% |
June 30, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $199,363K ÷ ($—K + $925,772K)
= 21.53%
Lancaster Colony Corporation's return on total capital has exhibited fluctuations over the past five years. The company's return on total capital was 21.53% as of June 30, 2024, showing an improvement from the previous year's 16.41%. However, compared to two years ago, the return on total capital was lower at 13.25%. Notably, in both June 30, 2021, and June 30, 2020, the return on total capital was relatively high at 22.04% and 22.46%, respectively.
Overall, the company has shown the ability to generate a satisfactory return on its total capital over the years, with certain years outperforming others. It is important for Lancaster Colony Corporation to continue monitoring and managing its capital effectively to ensure sustainable returns for its stakeholders.
Peer comparison
Jun 30, 2024