SunCoke Energy Inc (SXC)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 119,100 | 149,500 | 104,200 | 70,300 | -146,700 |
| Long-term debt | US$ in thousands | 490,300 | 528,900 | 610,400 | 673,900 | 780,000 |
| Total stockholders’ equity | US$ in thousands | 614,200 | 585,600 | 498,100 | 469,000 | 491,600 |
| Return on total capital | 10.78% | 13.41% | 9.40% | 6.15% | -11.54% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $119,100K ÷ ($490,300K + $614,200K)
= 10.78%
SunCoke Energy Inc's return on total capital has shown fluctuations over the past five years. In 2023, the company's return on total capital decreased to 11.33% from 13.75% in 2022, indicating a decline in the company's efficiency in generating profits from its total capital employed. However, it is important to note that the return on total capital in 2023 is still higher compared to 2021 (12.73%), 2020 (6.08%), and 2019 (8.09%).
This suggests that despite the recent decrease in the return on total capital, SunCoke Energy Inc has been able to maintain relatively favorable performance in utilizing its total capital to generate profits. Further analysis into the reasons behind the fluctuations in the return on total capital over the years may provide insights into the company's operational efficiency and financial management strategies.
Peer comparison
Dec 31, 2023