Northwest Natural Gas Co (NWN)

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	191,162	186,925	192,754	190,891	194,572	196,300	195,582	195,504	169,634	147,949	139,818	130,608	126,723	137,395	143,942	145,289	134,407	120,809	123,783	131,211
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	1,385,370	1,219,890	1,346,720	1,343,390	1,283,840	1,219,540	1,240,280	1,248,310	1,175,440	1,120,860	1,138,780	987,944	935,146	891,461	922,826	936,324	888,733	852,775	884,001	901,741
Return on total capital		13.80%	15.32%	14.31%	14.21%	15.16%	16.10%	15.77%	15.66%	14.43%	13.20%	12.28%	13.22%	13.55%	15.41%	15.60%	15.52%	15.12%	14.17%	14.00%	14.55%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $191,162K ÷ ($—K + $1,385,370K)
= 13.80%

Northwest Natural Gas Co's return on total capital has shown some fluctuations over the analyzed period. The company's return on total capital ranged from a low of 12.28% as of June 30, 2022, to a high of 16.10% as of September 30, 2023. The trend overall indicates some variability, with the return on total capital generally remaining above 14% during the period, demonstrating a relatively stable performance in generating returns compared to the invested capital. However, there was a slight decline in the return on total capital by the end of the analyzed period, dropping to 13.80% as of December 31, 2024, which warrants further investigation to understand the potential factors contributing to this decrease in performance.