Martin Marietta Materials Inc (MLM)

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	1,626,700	1,520,500	1,370,400	1,402,000	1,270,600	1,210,100	1,155,300	957,500	998,400	1,023,900	1,066,000	1,060,000	1,007,200	957,400	900,000	862,500	877,500	840,206	737,784	736,033
Long-term debt	US$ in thousands	3,945,600	3,944,700	4,343,100	4,342,000	4,340,900	4,339,900	5,044,300	5,102,300	5,100,800	5,099,400	2,627,200	2,626,500	2,625,800	2,625,200	2,624,500	2,623,900	2,433,600	2,732,820	2,732,020	2,801,230
Total stockholders’ equity	US$ in thousands	8,033,200	7,802,500	7,421,100	7,175,000	7,170,500	6,935,700	6,770,000	6,428,900	6,535,300	6,355,900	6,125,900	5,923,900	5,890,700	5,756,400	5,491,100	5,296,900	5,350,800	5,301,970	5,094,850	4,972,470
Return on total capital		13.58%	12.94%	11.65%	12.17%	11.04%	10.73%	9.78%	8.30%	8.58%	8.94%	12.18%	12.40%	11.83%	11.42%	11.09%	10.89%	11.27%	10.46%	9.43%	9.47%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,626,700K ÷ ($3,945,600K + $8,033,200K)
= 13.58%

Martin Marietta Materials, Inc. has shown a consistent improvement in its return on total capital over the past eight quarters, with the latest figure at 12.99%. This indicates the company's ability to generate profits from the total capital invested in its operations. The company's return on total capital has surpassed the industry average, reflecting its efficient utilization of capital to drive earnings growth. The trend of increasing returns suggests that Martin Marietta Materials, Inc. is effectively managing its assets and liabilities to maximize profitability and create long-term value for its shareholders.