Middleby Corp (MIDD)
Return on total capital
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 634,868 | 708,342 | 695,606 | 678,062 | 639,604 | 590,116 | 661,893 | 631,383 | 629,992 | 584,599 | 437,789 | 340,190 | 324,431 | 383,234 | 417,907 | 518,396 | 514,043 | 502,000 | 488,332 | 460,035 |
| Long-term debt | US$ in thousands | 2,380,370 | 2,535,900 | 2,687,540 | 2,688,420 | 2,676,740 | 2,693,320 | 2,647,310 | 2,570,130 | 2,387,000 | 1,866,020 | 1,795,590 | 1,801,040 | 1,706,650 | 1,808,970 | 2,372,940 | 2,177,150 | 1,870,250 | 1,955,900 | 1,991,980 | 1,889,290 |
| Total stockholders’ equity | US$ in thousands | 3,249,890 | 3,095,220 | 2,999,530 | 2,862,200 | 2,797,750 | 2,498,540 | 2,417,970 | 2,427,970 | 2,494,280 | 2,298,970 | 2,125,880 | 1,995,210 | 1,976,650 | 2,031,320 | 1,939,520 | 1,894,710 | 1,946,810 | 1,856,030 | 1,798,250 | 1,726,060 |
| Return on total capital | 11.28% | 12.58% | 12.23% | 12.22% | 11.68% | 11.37% | 13.07% | 12.63% | 12.91% | 14.04% | 11.16% | 8.96% | 8.81% | 9.98% | 9.69% | 12.73% | 13.47% | 13.17% | 12.88% | 12.72% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $634,868K ÷ ($2,380,370K + $3,249,890K)
= 11.28%
Middleby Corp's return on total capital has shown some fluctuations over the past five quarters, ranging from a low of 8.81% in March 2021 to a high of 14.04% in September 2021. Despite the variability, the return on total capital has generally remained within the range of 8.81% to 14.04% during this period.
The company's return on total capital appears to be trending slightly upwards in recent quarters, with increases in the most recent three quarters (Dec 2022 - Dec 2023). This could indicate improving efficiency in the utilization of both equity and debt to generate profits for the company.
Overall, Middleby Corp's return on total capital has been relatively healthy, consistently above 10%, which suggests the company is efficiently utilizing its capital resources to generate profits. Further analysis of the underlying factors driving these changes in return on total capital would provide more insights into the company's financial performance and efficiency.
Peer comparison
Dec 31, 2023