LCI Industries (LCII)
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 | — | 123,428 | 553,028 | 398,410 | 222,934 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,386,890 | 1,355,040 | 1,381,010 | 1,092,880 | 908,326 |
| Return on total capital | 0.00% | 9.11% | 40.05% | 36.46% | 24.54% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $1,386,890K)
= 0.00%
The return on total capital for LCI Industries has fluctuated over the years:
- In December 31, 2020, the return on total capital was 24.54%, indicating that the company generated a return of 24.54% on its total capital employed.
- The return on total capital increased significantly to 36.46% by December 31, 2021, reflecting improved efficiency in generating returns on the total capital.
- By December 31, 2022, the return on total capital further rose to 40.05%, demonstrating the company's continued ability to generate higher returns on the total capital employed.
- However, there was a notable decline in the return on total capital to 9.11% by December 31, 2023, which could indicate a decrease in efficiency or profitability during that period.
- Finally, by December 31, 2024, the return on total capital dropped to 0.00%, which might raise concerns about the company's ability to generate returns on the total capital, possibly due to operational challenges or changes in the business environment.
Overall, the trend in LCI Industries' return on total capital shows both positive and negative fluctuations, highlighting the importance of monitoring the company's ability to effectively utilize its total capital to generate returns for its investors.
Peer comparison
Dec 31, 2024