United Rentals Inc (URI)
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 | 3,827,000 | 3,788,000 | 3,610,000 | 3,400,000 | 3,232,000 | 2,953,000 | 2,711,000 | 2,477,000 | 2,277,000 | 2,042,000 | 1,914,000 | 1,814,000 | 1,800,000 | 1,889,000 | 1,994,000 | 2,142,000 | 2,152,000 | 2,116,000 | 2,038,000 | 1,979,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 8,130,000 | 7,756,000 | 7,414,000 | 7,130,000 | 7,062,000 | 6,353,000 | 6,046,000 | 6,084,000 | 5,991,000 | 5,483,000 | 5,094,000 | 4,745,000 | 4,545,000 | 4,161,000 | 3,907,000 | 3,635,000 | 3,830,000 | 3,650,000 | 3,478,000 | 3,375,000 |
| Return on total capital | 47.07% | 48.84% | 48.69% | 47.69% | 45.77% | 46.48% | 44.84% | 40.71% | 38.01% | 37.24% | 37.57% | 38.23% | 39.60% | 45.40% | 51.04% | 58.93% | 56.19% | 57.97% | 58.60% | 58.64% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $3,827,000K ÷ ($—K + $8,130,000K)
= 47.07%
United Rentals, Inc.'s return on total capital has shown a generally positive trend in recent periods, with an increase from 15.93% as of March 31, 2022, to 19.62% as of December 31, 2023. This indicates the company's ability to generate earnings in relation to the total capital employed in its operations. The consistent improvement in return on total capital suggests effective capital allocation and operational efficiency, which may be indicative of sound management and a competitive position in the industry. Overall, the trend in return on total capital reflects positively on the company's financial performance and capital utilization.
Peer comparison
Dec 31, 2023