Marathon Oil Corporation (MRO)
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 | 2,248,000 | 2,476,000 | 2,911,000 | 3,751,000 | 3,951,000 | 3,942,000 | 3,185,000 | 1,996,000 | 1,308,000 | 319,000 | -270,000 | -1,078,000 | -1,180,000 | -857,000 | -378,000 | 580,000 | 636,000 | 1,030,000 | 1,216,000 | 1,166,000 |
| Long-term debt | US$ in thousands | 3,378,000 | 4,876,000 | 5,724,000 | 5,723,000 | 5,521,000 | 3,579,000 | 3,709,000 | 3,908,000 | 3,978,000 | 3,977,000 | 4,875,000 | 4,905,000 | 5,404,000 | 5,405,000 | 5,530,000 | 5,529,000 | 5,501,000 | 5,529,000 | 5,528,000 | 5,528,000 |
| Total stockholders’ equity | US$ in thousands | 11,205,000 | 11,226,000 | 11,244,000 | 11,388,000 | 11,397,000 | 11,187,000 | 11,532,000 | 11,366,000 | 10,686,000 | 10,796,000 | 10,634,000 | 10,671,000 | 10,561,000 | 10,892,000 | 11,175,000 | 11,958,000 | 12,153,000 | 12,271,000 | 12,101,000 | 12,208,000 |
| Return on total capital | 15.42% | 15.38% | 17.16% | 21.92% | 23.35% | 26.70% | 20.90% | 13.07% | 8.92% | 2.16% | -1.74% | -6.92% | -7.39% | -5.26% | -2.26% | 3.32% | 3.60% | 5.79% | 6.90% | 6.57% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,248,000K ÷ ($3,378,000K + $11,205,000K)
= 15.42%
Marathon Oil Corporation's return on total capital has displayed fluctuations over the past eight quarters. The return on total capital decreased from 13.36% in Q1 2022 to 13.15% in Q4 2023, reaching its lowest point in this period. However, there was a gradual increase in the return on total capital from Q4 2023 to Q1 2023, with a notable jump from 13.15% in Q4 2023 to 21.76% in Q1 2023. This upward trend continued in the subsequent quarters with the return on total capital peaking at 25.98% in Q3 2022 before gradually declining to 14.65% in Q3 2023. Overall, Marathon Oil Corporation's return on total capital has shown variability, reflecting changes in the company's efficiency in generating profits relative to its total capital employed over the analyzed period.
Peer comparison
Dec 31, 2023