PG&E Corp (PCG)

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 4,459,000 4,574,000 3,946,000 3,318,000 2,671,000 1,666,000 1,991,000 1,930,000 1,837,000 2,348,000 2,058,000 2,379,000 2,276,000 2,055,000 1,987,000 -9,000 150,000 -4,613,000 -7,281,000 -9,691,000
Long-term debt US$ in thousands 53,569,000 54,748,000 52,664,000 53,415,000 50,975,000 50,343,000 50,230,000 48,508,000 47,742,000 47,854,000 44,174,000 39,123,000 38,225,000 35,959,000 35,955,000 37,801,000 37,288,000 36,311,000 34,920,000 22,176,000
Total stockholders’ equity US$ in thousands 30,149,000 26,834,000 26,253,000 25,731,000 25,040,000 24,132,000 23,763,000 23,334,000 22,823,000 22,234,000 21,767,000 21,392,000 20,971,000 20,475,000 21,547,000 21,127,000 21,001,000 20,812,000 3,549,000 5,507,000
Return on total capital 5.33% 5.61% 5.00% 4.19% 3.51% 2.24% 2.69% 2.69% 2.60% 3.35% 3.12% 3.93% 3.84% 3.64% 3.46% -0.02% 0.26% -8.08% -18.93% -35.01%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $4,459,000K ÷ ($53,569,000K + $30,149,000K)
= 5.33%

PG&E Corp's return on total capital has shown a gradual improvement over the past few quarters, starting from negative figures in March 2020 and gradually increasing to positive territory by December 2021. The return on total capital continued to improve, reaching a peak of 5.61% by September 30, 2024. This positive trend indicates that PG&E Corp is effectively utilizing its total capital to generate returns for its investors. However, the slight decrease in the return on total capital from September 2024 to December 2024 should be monitored to ensure sustained profitability and efficiency in capital allocation.