Metallus, Inc (MTUS)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 7,100 | 96,400 | 97,700 | 182,600 | -48,500 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 690,500 | 731,600 | 686,500 | 664,600 | 507,500 |
| Return on total capital | 1.03% | 13.18% | 14.23% | 27.48% | -9.56% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $7,100K ÷ ($—K + $690,500K)
= 1.03%
Metallus, Inc's return on total capital has shown significant fluctuations over the period from December 31, 2020, to December 31, 2024. The trend indicates considerable variability in the company's efficiency in generating returns on the total capital employed.
At the end of 2020, the return on total capital was negative at -9.56%, suggesting that the company was not effectively utilizing its overall capital resources to generate profits. In the subsequent year, there was a remarkable improvement as the return on total capital increased to 27.48%, indicating a substantial enhancement in the company's capital efficiency.
However, in the following years, there was a decline in the return on total capital, with figures of 14.23% at the end of 2022, 13.18% at the end of 2023, and a sharp decrease to 1.03% by the end of 2024. These downturns may indicate potential challenges in maintaining or improving the efficiency of capital deployment within the company.
Overall, the varying performance of Metallus, Inc's return on total capital highlights the importance of closely monitoring and managing the company's capital utilization to ensure sustainable profitability and effective resource allocation in the future.
Peer comparison
Dec 31, 2024