ONEOK Inc (OKE)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 4,072,000 | 2,807,420 | 2,596,260 | 1,515,200 | 2,142,760 |
| Long-term debt | US$ in thousands | 21,183,000 | 12,696,000 | 12,747,600 | 14,228,400 | 12,479,800 |
| Total stockholders’ equity | US$ in thousands | 16,484,000 | 6,494,000 | 6,015,000 | 6,042,400 | 6,225,950 |
| Return on total capital | 10.81% | 14.63% | 13.84% | 7.47% | 11.46% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $4,072,000K ÷ ($21,183,000K + $16,484,000K)
= 10.81%
The Return on Total Capital (ROTC) for Oneok Inc. has fluctuated over the past five years. In 2023, the ROTC was 11.62%, a decrease from the previous year's 14.69%. However, it remained relatively higher compared to 2020 and 2019, which reported ROTC of 10.41% and 10.93%, respectively. Overall, Oneok Inc.'s ROTC has shown some variability but has generally been in the range of 10% to 15% over the past five years, indicating a moderate level of efficiency in generating returns from its total capital employed. Further analysis and comparison with industry benchmarks could provide more insights into the company's performance.
Peer comparison
Dec 31, 2023