Rockwell Automation Inc (ROK)
Return on total capital
| Sep 30, 2023 | Sep 30, 2022 | Sep 30, 2021 | Sep 30, 2020 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 1,853,200 | 1,209,900 | 1,634,600 | 1,239,800 | 999,200 |
| Long-term debt | US$ in thousands | 2,862,900 | 2,867,800 | 3,464,600 | 1,974,700 | 1,956,400 |
| Total stockholders’ equity | US$ in thousands | 3,561,600 | 2,725,600 | 2,389,600 | 1,027,800 | 404,200 |
| Return on total capital | 28.85% | 21.63% | 27.92% | 41.29% | 42.33% |
September 30, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $1,853,200K ÷ ($2,862,900K + $3,561,600K)
= 28.85%
The return on total capital for Rockwell Automation Inc has fluctuated over the past five years. In 2023, the return on total capital was 25.94%, marking an increase from the previous year's 20.35%. However, it is notable that the return on total capital was higher in 2019 at 51.17% and in 2020 at 36.85%. This downward trend in the return on total capital may indicate a decrease in the company's ability to generate profits from its invested capital. It would be advisable to further investigate the reasons behind this trend to assess the company's performance and financial health.
Peer comparison
Sep 30, 2023