Tidewater Inc (TDW)
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 | 302,455 | 135,847 | 14,882 | -108,202 | -173,505 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,114,110 | 1,039,240 | 865,968 | 701,303 | 822,115 |
| Return on total capital | 27.15% | 13.07% | 1.72% | -15.43% | -21.10% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $302,455K ÷ ($—K + $1,114,110K)
= 27.15%
Based on the data provided, Tidewater Inc's return on total capital has shown a significant improvement over the years. In December 31, 2020, the company had a negative return on total capital of -21.10%, indicating that the company was not effectively generating returns on its total capital. However, by December 31, 2024, the return on total capital had increased to 27.15%, reflecting a substantial enhancement in the company's ability to generate profits relative to its total capital.
The trend in Tidewater Inc's return on total capital demonstrates a positive trajectory, transitioning from negative values to positive values over the years. This improvement suggests that the company has become more efficient in utilizing its total capital to generate returns for its investors. Additionally, the steady increase in return on total capital indicates that Tidewater Inc has been able to enhance its profitability and create more value for its stakeholders.
Overall, the data reveals a positive trend in Tidewater Inc's return on total capital, showcasing the company's progress in optimizing its capital structure and improving its financial performance.
Peer comparison
Dec 31, 2024