Ross Stores Inc (ROST)
Return on total capital
| Jan 31, 2025 | Feb 3, 2024 | Jan 31, 2024 | Jan 31, 2023 | Jan 28, 2023 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 2,820,540 | 2,545,880 | 2,545,870 | 1,990,330 | 2,068,020 |
| Long-term debt | US$ in thousands | — | 2,211,020 | — | — | 2,456,510 |
| Total stockholders’ equity | US$ in thousands | 5,509,200 | 4,871,330 | 4,871,330 | 4,288,580 | 4,288,580 |
| Return on total capital | 51.20% | 35.95% | 52.26% | 46.41% | 30.66% |
January 31, 2025 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $2,820,540K ÷ ($—K + $5,509,200K)
= 51.20%
Ross Stores Inc has shown a steady improvement in its return on total capital over the past few years, with a notable increase from 30.66% in January 28, 2023, to 52.26% in January 31, 2024. This demonstrates the company's ability to generate profits relative to the total amount of capital invested in the business. Although there was a slight dip to 35.95% in February 3, 2024, the subsequent increase to 51.20% in January 31, 2025, indicates a strong financial performance and efficient capital utilization by Ross Stores Inc. Overall, these figures reflect positively on the company's financial management and operational efficiency.
Peer comparison
Jan 31, 2025