Qualcomm Incorporated (QCOM)
Return on total capital
| Sep 30, 2024 | Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 11,065,000 | 8,030,000 | 15,438,000 | 10,833,000 | 6,321,000 |
| Long-term debt | US$ in thousands | 13,270,000 | 14,484,000 | 13,537,000 | 13,701,000 | 15,226,000 |
| Total stockholders’ equity | US$ in thousands | 26,274,000 | 21,581,000 | 18,013,000 | 9,950,000 | 6,077,000 |
| Return on total capital | 27.98% | 22.27% | 48.93% | 45.80% | 29.67% |
September 30, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $11,065,000K ÷ ($13,270,000K + $26,274,000K)
= 27.98%
Qualcomm Incorporated's return on total capital has fluctuated over the past five years, ranging from 22.27% in 2023 to 48.93% in 2022. The return on total capital was 27.98% in 2024, showing a positive increase from the previous year. This indicates that Qualcomm is effectively generating returns from its total capital employed in the business. Although there was a peak in 2022, the company has consistently maintained strong return levels above 20% in recent years. This reflects Qualcomm's ability to efficiently use its capital to generate profits and create value for its stakeholders.
Peer comparison
Sep 30, 2024