MasTec Inc (MTZ)
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 | 444,229 | 151,701 | 155,314 | 483,488 | 730,606,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,911,860 | 2,706,150 | 2,737,330 | 2,543,860 | 2,005,520 |
| Return on total capital | 15.26% | 5.61% | 5.67% | 19.01% | 36,429.75% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $444,229K ÷ ($—K + $2,911,860K)
= 15.26%
MasTec Inc's return on total capital has exhibited notable fluctuations over the years based on the provided data. The ratio stood exceptionally high at 36,429.75% on December 31, 2020, suggesting an extremely efficient utilization of its total capital during that period. However, there was a considerable decline in the return on total capital to 19.01% by December 31, 2021, indicating a decreased effectiveness in generating returns relative to the capital employed.
Subsequently, the return on total capital experienced a further decline to 5.67% by December 31, 2022, and then marginally dropped to 5.61% by December 31, 2023. These lower percentages could indicate potential challenges in efficiently utilizing the total capital to generate returns in the respective years.
Nevertheless, there was a rebound in the return on total capital to 15.26% by December 31, 2024, hinting at a potential improvement in the company's ability to generate returns relative to its total capital during that year. Overall, MasTec Inc's return on total capital has shown variable performance trends, with significant fluctuations observed over the years analyzed.
Peer comparison
Dec 31, 2024