Mondelez International Inc (MDLZ)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 5,502,000 | 3,534,000 | 4,653,000 | 3,853,000 | 3,843,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 28,332,000 | 26,883,000 | 28,269,000 | 27,578,000 | 27,241,000 |
| Return on total capital | 19.42% | 13.15% | 16.46% | 13.97% | 14.11% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $5,502,000K ÷ ($—K + $28,332,000K)
= 19.42%
Mondelez International Inc. has shown a fluctuating trend in its return on total capital over the past five years. The return on total capital stood at 12.09% in 2023, reflecting an increase from the previous year's 8.39%. This indicates an improvement in the company's efficiency in generating profits from its total capital employed.
In 2021, the return on total capital was recorded at 10.99%, showing a slight decrease from the preceding year's 9.61%. However, both these figures were higher than the 2019 return on total capital of 9.78%.
Overall, Mondelez International Inc. has demonstrated a varying but generally positive performance in terms of return on total capital over the past five years, with the latest data reflecting a notable improvement in efficiency and profitability. This indicates the company's ability to effectively utilize its capital to generate returns for its shareholders.
Peer comparison
Dec 31, 2023