Universal Corporation (UVV)
Return on total capital
Mar 31, 2025 | 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 | ||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 59,064 | 94,632 | 188,975 | 258,929 | 252,030 | 238,219 | 220,724 | 188,822 | 188,367 | 184,829 | 171,193 | 163,986 | 162,168 | 164,971 | 161,630 | 147,807 | 147,004 | 118,286 | 103,431 | 133,350 |
Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Total stockholders’ equity | US$ in thousands | 1,458,560 | 1,450,610 | 1,420,570 | 1,413,460 | 1,437,210 | 1,417,080 | 1,384,190 | 1,380,720 | 1,397,090 | 1,360,790 | 1,324,850 | 1,325,760 | 1,340,540 | 1,316,000 | 1,297,330 | 1,303,820 | 1,307,300 | 1,270,520 | 1,239,500 | 1,236,240 |
Return on total capital | 4.05% | 6.52% | 13.30% | 18.32% | 17.54% | 16.81% | 15.95% | 13.68% | 13.48% | 13.58% | 12.92% | 12.37% | 12.10% | 12.54% | 12.46% | 11.34% | 11.24% | 9.31% | 8.34% | 10.79% |
March 31, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $59,064K ÷ ($—K + $1,458,560K)
= 4.05%
The return on total capital for Universal Corporation has fluctuated over the analyzed period. It started at 10.79% on June 30, 2020, and gradually increased, reaching its peak at 18.32% on June 30, 2024. However, there was a significant drop to 4.05% by March 31, 2025.
Overall, the return on total capital exhibited volatility, with periods of growth followed by declines. It is essential for Universal Corporation to closely monitor and manage its capital allocation to sustain and improve its return on total capital over time. The decreasing trend towards the end of the period could signal potential inefficiencies or risks that require attention and strategic decision-making to enhance the company's financial performance.
Peer comparison
Mar 31, 2025