PG&E Corp (PCG)

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 2,671,000 1,837,000 1,883,000 1,755,000 -10,094,000
Long-term debt US$ in thousands 50,975,000 47,742,000 38,225,000 37,288,000 0
Total stockholders’ equity US$ in thousands 25,040,000 22,823,000 20,971,000 21,001,000 5,136,000
Return on total capital 3.51% 2.60% 3.18% 3.01% -196.53%

December 31, 2023 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $2,671,000K ÷ ($50,975,000K + $25,040,000K)
= 3.51%

PG&E Corp.'s return on total capital has shown fluctuations over the past five years. The return on total capital was 4.87% as of December 31, 2023, which represents an improvement compared to the prior year. However, it is worth noting that the return on total capital has not returned to the high levels seen in 2019, where it was 20.21%. This suggests that the company may be facing challenges in generating returns on its overall capital base. Further analysis of the company's financial performance and capital allocation strategies would be necessary to determine the factors influencing the return on total capital.


Peer comparison

Dec 31, 2023