Ralph Lauren Corp Class A (RL)

Return on total capital

		Mar 31, 2025	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
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	921,400	868,800	849,700	821,900	806,100	586,500	557,100	596,800	591,700	725,800	726,700	771,900	812,200	756,000	657,100	387,100	-3,400	-262,700	-208,800	57,300
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	2,588,500	2,539,200	2,442,300	2,367,000	2,450,300	2,571,900	2,369,200	2,441,000	2,430,500	2,467,800	2,255,600	2,364,100	2,536,000	2,722,900	2,862,800	2,717,700	2,604,400	2,692,000	2,544,100	2,555,500
Return on total capital		35.60%	34.22%	34.79%	34.72%	32.90%	22.80%	23.51%	24.45%	24.34%	29.41%	32.22%	32.65%	32.03%	27.76%	22.95%	14.24%	-0.13%	-9.76%	-8.21%	2.24%

March 31, 2025 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $921,400K ÷ ($—K + $2,588,500K)
= 35.60%

The return on total capital for Ralph Lauren Corp Class A has shown a fluctuating trend over the provided period, ranging from negative percentages to positive percentages. The metric increased steadily from June 30, 2021, to March 31, 2024, with significant gains observed in the latter part of this period. The highest return on total capital was recorded on March 31, 2025, at 35.60%, indicating improved efficiency in generating profits relative to the invested capital. The company's ability to deliver returns on total capital has generally strengthened over the analyzed timeframe, which may reflect better operational performance, effective capital allocation, and potential growth opportunities.