NewJersey Resources Corporation (NJR)

Return on total capital

		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	Dec 31, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	482,263	412,519	417,729	402,443	437,013	453,312	481,064	453,741	436,947	358,581	207,811	273,059	229,735	286,377	387,328	287,642	277,663	264,524	276,750	250,547
Long-term debt	US$ in thousands	—	2,692,840	2,567,840	2,637,840	2,587,840	2,537,840	2,537,840	2,537,840	2,362,840	2,412,840	2,202,840	2,202,840	2,102,840	2,102,840	2,102,840	2,102,840	2,102,840	1,492,840	1,442,840	1,442,840
Total stockholders’ equity	US$ in thousands	2,200,440	2,143,020	2,179,220	2,066,200	1,990,740	1,995,240	2,000,840	1,922,800	1,817,210	1,768,680	1,784,290	1,716,980	1,630,860	1,682,070	1,821,830	1,698,210	1,643,900	1,612,480	1,654,740	1,608,090
Return on total capital		21.92%	8.53%	8.80%	8.56%	9.54%	10.00%	10.60%	10.17%	10.45%	8.58%	5.21%	6.97%	6.15%	7.57%	9.87%	7.57%	7.41%	8.52%	8.93%	8.21%

September 30, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $482,263K ÷ ($—K + $2,200,440K)
= 21.92%

NewJersey Resources Corporation's return on total capital has fluctuated over the past few quarters. The company's return on total capital was 21.92% as of September 30, 2024, which marked a significant increase compared to the previous quarter (8.53% as of June 30, 2024). However, looking at the trend over the past year, there appears to be some variability in the return on total capital, with values ranging from a low of 5.21% as of June 30, 2022, to a high of 21.92% as of September 30, 2024.

Overall, the return on total capital for NewJersey Resources Corporation has shown a general upward trend since the beginning of 2020, suggesting that the company has been able to generate more income relative to its total capital base in recent periods. However, it is important to monitor future performance to assess the sustainability of this trend and understand the factors driving the fluctuations in return on total capital.