PepsiCo Inc (PEP)
Return on total capital
| Dec 31, 2024 | Sep 7, 2024 | Jun 15, 2024 | Mar 23, 2024 | Dec 31, 2023 | Sep 9, 2023 | Jun 17, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 3, 2022 | Jun 11, 2022 | Mar 19, 2022 | Dec 31, 2021 | Sep 4, 2021 | Jun 12, 2021 | Mar 20, 2021 | Dec 31, 2020 | Sep 5, 2020 | Jun 13, 2020 | Mar 21, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 12,817,000 | 12,483,000 | 12,638,000 | 12,241,000 | 12,155,000 | 11,189,000 | 10,503,000 | 8,865,000 | 11,576,000 | 13,515,000 | 13,406,000 | 14,589,000 | 11,623,000 | 11,604,000 | 11,427,000 | 10,577,000 | 10,142,000 | 9,940,000 | 9,742,000 | 9,477,000 |
| Long-term debt | US$ in thousands | 37,224,000 | — | — | — | 37,595,000 | — | — | — | 35,657,000 | — | — | — | 36,026,000 | — | — | — | 40,370,000 | — | — | — |
| Total stockholders’ equity | US$ in thousands | 18,041,000 | 19,453,000 | 19,446,000 | 19,047,000 | 18,503,000 | 18,806,000 | 17,685,000 | 17,042,000 | 17,149,000 | 18,977,000 | 18,553,000 | 18,202,000 | 16,043,000 | 15,872,000 | 15,299,000 | 13,947,000 | 13,454,000 | 13,483,000 | 12,491,000 | 13,465,000 |
| Return on total capital | 23.19% | 64.17% | 64.99% | 64.27% | 21.67% | 59.50% | 59.39% | 52.02% | 21.92% | 71.22% | 72.26% | 80.15% | 22.32% | 73.11% | 74.69% | 75.84% | 18.84% | 73.72% | 77.99% | 70.38% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $12,817,000K ÷ ($37,224,000K + $18,041,000K)
= 23.19%
The return on total capital for PepsiCo Inc has shown fluctuations over the period of analysis. From March 2020 to June 2020, there was a significant increase in return on total capital, reaching a high of 77.99%. However, by the end of December 2020, there was a notable decrease to 18.84%.
The return on total capital gradually improved in the following quarters, with percentages ranging from 73.11% to 80.15% by March 2022. However, there was a slight decline in the return on total capital by June 2022 to 72.26%, which remained relatively stable in the subsequent quarters.
There was a notable drop in return on total capital by the end of December 2023 to 21.67%, followed by a slight increase in March 2024 to 64.27%. This was followed by a gradual improvement reaching 64.99% by June 2024.
Overall, the return on total capital for PepsiCo Inc has experienced fluctuations, with periods of both growth and decline. It is important for stakeholders to carefully monitor these trends to assess the company's efficiency in generating returns from its total capital.
Peer comparison
Dec 31, 2024