PBF Energy Inc (PBF)

Return on total capital

		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	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	2,928,100	3,908,800	4,145,300	4,183,700	3,707,600	3,007,300	1,868,500	581,200	560,600	102,700	-169,900	289,800	-1,132,100	-806,000	-563,600	-1,157,100	583,400	33,600	188,700	611,600
Long-term debt	US$ in thousands	1,245,900	1,243,000	1,441,500	1,438,000	1,434,900	1,447,700	2,012,700	4,248,700	4,295,800	4,318,000	4,624,400	4,652,300	4,653,600	4,411,100	4,092,800	3,546,100	2,064,900	2,064,300	2,029,400	2,188,500
Total stockholders’ equity	US$ in thousands	6,488,300	6,718,500	6,044,900	5,137,900	4,929,200	4,218,200	3,147,600	1,911,000	1,926,200	1,729,200	1,664,400	1,606,700	1,642,800	1,935,400	2,344,800	1,948,300	3,039,600	3,007,700	2,967,400	2,957,700
Return on total capital		37.86%	49.10%	55.37%	63.62%	58.26%	53.08%	36.21%	9.44%	9.01%	1.70%	-2.70%	4.63%	-17.98%	-12.70%	-8.75%	-21.06%	11.43%	0.66%	3.78%	11.88%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,928,100K ÷ ($1,245,900K + $6,488,300K)
= 37.86%

PBF Energy Inc's return on total capital has shown significant fluctuations over the past eight quarters. The company experienced a noticeable increase in Q1 2023 with a return of 68.88%, reflecting strong performance and efficient utilization of capital. This was followed by a slight decrease in Q2 2023 to 42.32%, still maintaining a relatively high return. However, in Q3 2023, there was a sharp increase to 36.62%, indicating improved capital productivity.

It's worth noting that PBF Energy Inc's return on total capital varied significantly during the preceding quarters, with Q4 2022 and Q3 2022 showing returns of 60.40% and 57.86%, respectively, which were notably higher compared to Q2 2022 and Q1 2022 with returns of 35.76% and 10.86%, respectively.

Overall, the company's return on total capital has displayed volatility but generally has shown strong performance in generating returns relative to the total capital employed. PBF Energy Inc should continue to monitor and assess its capital allocation strategies to sustain and potentially enhance its return on total capital in the future.