Pinnacle West Capital Corp (PNW)

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 1,012,063 1,001,905 971,182 840,715 824,640 787,011 688,321 728,136 731,911 745,177 756,977 812,268 805,310 786,141 811,776 795,264 788,152 769,301 717,583 652,298
Long-term debt US$ in thousands 8,058,650 8,056,320 8,056,220 7,541,870 7,540,620 8,164,370 8,164,320 7,916,550 7,741,290 7,344,200 7,241,300 7,226,620 6,913,740 6,763,150 6,315,930 6,465,040 6,314,270 6,316,420 5,922,160 4,833,320
Total stockholders’ equity US$ in thousands 6,754,310 6,616,580 6,211,140 6,199,030 6,177,660 6,374,680 5,966,920 6,048,920 6,048,650 6,244,560 5,908,280 5,930,570 5,906,200 6,064,880 5,717,620 5,682,520 5,633,500 5,841,390 5,489,560 5,469,420
Return on total capital 6.83% 6.83% 6.81% 6.12% 6.01% 5.41% 4.87% 5.21% 5.31% 5.48% 5.76% 6.17% 6.28% 6.13% 6.75% 6.55% 6.60% 6.33% 6.29% 6.33%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,012,063K ÷ ($8,058,650K + $6,754,310K)
= 6.83%

Pinnacle West Capital Corp's return on total capital has exhibited fluctuations over the reported periods. The ratio started at 6.33% in March 2020 and ranged between 5.48% and 6.75% until June 2022. However, it decreased to 4.87% by June 30, 2023, before recovering to 6.83% by December 31, 2024. Notably, the ratio showed some volatility, suggesting varying operational efficiency and capital utilization during the analyzed periods. Investors and stakeholders may want to further investigate the factors influencing these fluctuations to assess the company's overall financial performance and sustainability.