Matador Resources Company (MTDR)
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 | 1,372,660 | 1,360,296 | 1,304,251 | 1,217,711 | 1,153,620 | 1,157,059 | 1,310,832 | 1,624,801 | 1,680,727 | 1,636,703 | 1,384,110 | 943,134 | 734,365 | 355,913 | -90,339 | -664,475 | -562,112 | -436,863 | -129,909 | 382,711 |
| Long-term debt | US$ in thousands | 3,325,410 | 1,481,000 | 607,000 | 786,000 | 2,206,630 | 1,005,000 | 1,020,000 | 475,000 | 465,000 | 440,000 | 420,000 | 455,000 | 485,000 | 477,500 | 592,500 | 674,000 | 774,000 | 1,842,000 | 1,745,210 | 1,662,310 |
| Total stockholders’ equity | US$ in thousands | 5,089,150 | 4,870,630 | 4,631,630 | 4,418,250 | 3,910,860 | 3,662,720 | 3,402,860 | 3,252,850 | 3,110,800 | 2,858,810 | 2,529,170 | 2,118,600 | 1,907,210 | 1,688,010 | 1,479,760 | 1,359,400 | 1,286,530 | 1,371,930 | 1,643,830 | 1,991,350 |
| Return on total capital | 16.31% | 21.42% | 24.90% | 23.40% | 18.86% | 24.79% | 29.64% | 43.59% | 47.00% | 49.61% | 46.93% | 36.65% | 30.70% | 16.44% | -4.36% | -32.68% | -27.28% | -13.59% | -3.83% | 10.47% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,372,660K ÷ ($3,325,410K + $5,089,150K)
= 16.31%
Matador Resources Company exhibited fluctuations in its return on total capital over the specified time period. The return on total capital ranged from negative figures to positive percentages, indicating varying degrees of efficiency in generating profits from the company's total capital employed.
The return on total capital was particularly low in the latter part of 2020 and early 2021, with negative percentages reflecting potential challenges in capital utilization and profitability. However, there was a notable improvement in the return on total capital starting from the second quarter of 2021, with the percentage gradually increasing to reach its peak in the third quarter of 2022.
From the third quarter of 2022 onwards, the return on total capital remained relatively stable, albeit with slight fluctuations, indicating a more consistent performance in generating profits relative to the total capital employed. Overall, the trend suggests that Matador Resources Company experienced periods of improving efficiency in capital utilization, leading to higher returns on total capital, which is a positive indicator of the company's financial health and operational performance.
Peer comparison
Dec 31, 2024