Motorola Solutions Inc (MSI)
Return on total capital
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 2,268,000 | 2,176,000 | 2,060,000 | 1,943,000 | 2,416,000 | 2,369,000 | 2,112,000 | 1,941,000 | 1,774,000 | 1,624,000 | 1,692,000 | 1,699,000 | 1,767,000 | 1,785,000 | 1,712,000 | 1,617,000 | 1,523,000 | 1,582,000 | 1,636,000 | 1,724,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,703,000 | 1,326,000 | 802,000 | 521,000 | 724,000 | 362,000 | 337,000 | 234,000 | 116,000 | -408,000 | -443,000 | -316,000 | -40,000 | -263,000 | -358,000 | -496,000 | -558,000 | -756,000 | -830,000 | -948,000 |
| Return on total capital | 133.18% | 164.10% | 256.86% | 372.94% | 333.70% | 654.42% | 626.71% | 829.49% | 1,529.31% | — | — | — | — | — | — | — | — | — | — | — |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,268,000K ÷ ($—K + $1,703,000K)
= 133.18%
Motorola Solutions Inc's return on total capital has shown a fluctuating trend over the past few years, as per the data provided. The ratio was not available for analysis for the periods up to September 30, 2022. From December 31, 2022, to March 31, 2024, the return on total capital increased significantly, reflecting a robust performance. This sharp increase could indicate efficient capital utilization or improved profitability during these periods.
However, starting from June 30, 2024, the return on total capital began to decrease, suggesting a potential decline in the company's ability to generate returns relative to the total capital employed. It is important to assess the underlying factors driving these changes in performance to understand whether they are sustainable or temporary in nature. Overall, the company's return on total capital has exhibited both strengths and areas of potential concern, highlighting the need for a deeper analysis of the company's financial and operational performance.
Peer comparison
Dec 31, 2024