Taylor Morn Home (TMHC)

Return on total capital

Dec 31, 2024 Sep 30, 2024 Jun 30, 2024 Mar 31, 2024 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
Earnings before interest and tax (EBIT) (ttm) US$ in thousands 1,155,747 1,074,738 971,133 1,019,961 1,020,341 1,164,068 1,335,814 1,409,265 1,391,488 1,355,127 1,175,251 948,202 844,306 628,487 555,333 474,670 316,177 253,769 196,475 224,276
Long-term debt US$ in thousands — — — — — — — — — — — — — — — — — — — —
Total stockholders’ equity US$ in thousands 5,866,540 5,723,460 5,526,540 5,426,170 5,314,940 5,175,110 5,095,310 4,846,550 4,630,330 4,403,470 4,193,900 4,094,800 3,925,850 3,745,900 3,668,850 3,655,560 3,504,540 3,542,140 3,424,740 3,423,040
Return on total capital 19.70% 18.78% 17.57% 18.80% 19.20% 22.49% 26.22% 29.08% 30.05% 30.77% 28.02% 23.16% 21.51% 16.78% 15.14% 12.98% 9.02% 7.16% 5.74% 6.55%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,155,747K ÷ ($—K + $5,866,540K)
= 19.70%

The return on total capital for Taylor Morn Home has shown a generally positive trend over the period from March 31, 2020, to December 31, 2024. Starting at 6.55% in March 2020, the return increased steadily, reaching its peak at 30.77% in September 2022. Subsequently, there was a slight decrease in the return, with fluctuations between 18.80% and 30.05% until December 31, 2024. Overall, the return on total capital reflects the company's ability to generate profits relative to the total capital employed in its operations, showing periods of strong performance and stability in profitability.