Vital Energy Inc. (VTLE)

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	661,560	445,330	763,481	961,417	762,135	862,477	667,670	257,112	262,038	-125,038	-507,955	-925,398	-773,110	-864,978	-903,881	-187,427	-283,500	112,505	435,692	292,670
Long-term debt	US$ in thousands	1,609,420	1,926,970	1,619,600	1,163,810	1,113,020	1,181,580	1,291,240	1,421,820	1,425,860	1,349,900	1,306,110	1,145,370	1,179,270	1,218,950	1,258,160	1,257,380	1,170,420	979,972	1,029,530	1,064,080
Total stockholders’ equity	US$ in thousands	2,785,260	1,773,060	1,603,570	1,225,370	1,110,750	1,000,670	679,456	423,788	513,780	224,062	-154,282	-68,568	-21,443	141,512	376,020	919,221	841,874	1,079,250	1,344,320	1,171,430
Return on total capital		15.05%	12.04%	23.69%	40.24%	34.27%	39.52%	33.88%	13.93%	13.51%	-7.94%	-44.10%	-85.94%	-66.77%	-63.58%	-55.31%	-8.61%	-14.09%	5.46%	18.35%	13.09%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $661,560K ÷ ($1,609,420K + $2,785,260K)
= 15.05%

Based on the data provided, Vital Energy Inc.'s return on total capital has fluctuated over the past several quarters. The return on total capital ranged from a low of -85.94% in March 2021 to a high of 40.24% in March 2023.

The return on total capital for Vital Energy Inc. has shown significant improvement from negative figures to positive figures in recent quarters. This improvement suggests that the company has been more efficient in generating profits relative to the total capital employed in its operations.

It is worth noting that there are periods of both high and low returns on total capital, indicating potential variability in the company's profitability and efficiency in managing its capital resources. Further analysis of the company's financial performance and operational strategies may be needed to understand the factors contributing to these fluctuations in return on total capital.