Mister Car Wash Inc (MCW)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | ||
|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 178,145 | 187,719 | -7,714 |
| Long-term debt | US$ in thousands | 897,424 | 895,830 | 896,336 |
| Total stockholders’ equity | US$ in thousands | 915,035 | 801,128 | 657,152 |
| Return on total capital | 9.83% | 11.06% | -0.50% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $178,145K ÷ ($897,424K + $915,035K)
= 9.83%
Mister Car Wash Inc's return on total capital has shown a declining trend over the past three years. In 2023, the return on total capital decreased to 9.76% from 10.91% in 2022, indicating a less favorable return on the company's invested capital. However, it is worth noting that the return on total capital was negative at -1.76% in 2021, highlighting a significant improvement in the company's capital efficiency from the previous year. Further analysis is advisable to understand the factors contributing to these fluctuations in return on total capital and to assess the company's overall financial performance and capital management strategies.
Peer comparison
Dec 31, 2023