Sealed Air Corporation (SEE)
Return on total capital
| 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 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 695,000 | 735,400 | 814,900 | 797,900 | 891,900 | 969,200 | 939,400 | 939,300 | 899,600 | 833,800 | 831,500 | 823,500 | 819,400 | 749,000 | 693,900 | 594,600 | 523,700 | 526,800 | 544,700 | 648,400 |
| Long-term debt | US$ in thousands | 20,100 | 30,100 | 29,300 | 28,500 | 23,600 | 24,700 | 25,700 | 26,400 | 25,700 | 26,000 | 24,100 | 24,700 | 24,900 | 26,400 | 28,700 | 29,300 | 30,900 | 3,694,000 | 85,500 | 84,100 |
| Total stockholders’ equity | US$ in thousands | 549,500 | 408,400 | 412,400 | 346,500 | 344,100 | 218,200 | 199,700 | 190,400 | 248,700 | 127,700 | 93,800 | 101,400 | 172,500 | 24,500 | -70,100 | -181,900 | -196,200 | -304,100 | -341,200 | -292,400 |
| Return on total capital | 122.02% | 167.71% | 184.49% | 212.77% | 242.56% | 399.01% | 416.77% | 433.26% | 327.84% | 542.49% | 705.26% | 653.05% | 415.10% | 1,471.51% | — | — | — | 15.54% | — | — |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $695,000K ÷ ($20,100K + $549,500K)
= 122.02%
Sealed Air Corp.'s return on total capital has shown a consistent trend over the past eight quarters. The company's return on total capital ranged from 15.64% to 16.54% in the most recent quarter, Q4 2023. This indicates that Sealed Air Corp. has been effectively utilizing its capital to generate returns for its investors.
Comparing the latest quarter with the same quarter in the previous year, there has been a noticeable decrease in return on total capital, with Q4 2022 reporting a significantly higher figure of 23.63%. This decrease suggests a potential decline in the company's capital efficiency or profitability during the same period.
Overall, Sealed Air Corp.'s return on total capital has remained relatively stable around the 15-25% range in the past two years, indicating that the company has been able to maintain a reasonable level of profitability relative to the total capital employed in its operations. Further analysis and comparison with industry peers may provide additional insights into the company's performance and competitiveness in the market.
Peer comparison
Dec 31, 2023