Rush Enterprises A Inc (RUSHA)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 469,022 | 514,749 | 528,387 | 316,110 | 161,450 |
| Long-term debt | US$ in thousands | 408,440 | 414,002 | 275,433 | 334,926 | 387,982 |
| Total stockholders’ equity | US$ in thousands | 2,141,550 | 1,870,880 | 1,744,490 | 1,466,750 | 1,268,040 |
| Return on total capital | 18.39% | 22.53% | 26.16% | 17.55% | 9.75% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $469,022K ÷ ($408,440K + $2,141,550K)
= 18.39%
Rush Enterprises A Inc's return on total capital has shown significant improvement over the past five years. The ratio increased from 9.75% on December 31, 2020, to 17.55% on December 31, 2021, indicating a positive trend. This improvement continued as the return on total capital further grew to 26.16% on December 31, 2022, demonstrating strong performance.
However, on December 31, 2023, there was a slight decrease in the return on total capital to 22.53%. This could be attributed to various factors affecting the company's capital utilization and profitability during that period.
By the end of December 31, 2024, Rush Enterprises A Inc's return on total capital decreased further to 18.39%, showing some volatility in the company's capital efficiency and overall financial performance.
Overall, the return on total capital for Rush Enterprises A Inc has displayed fluctuations over the five-year period, with notable improvements in some years and slight declines in others. This indicates the company's varying ability to generate profits from the capital invested in its operations.
Peer comparison
Dec 31, 2024