Werner Enterprises Inc (WERN)

Return on total capital

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Earnings before interest and tax (EBIT)	US$ in thousands	181,408	332,290	348,012	228,909	228,760
Long-term debt	US$ in thousands	646,250	687,500	422,500	175,000	225,000
Total stockholders’ equity	US$ in thousands	1,528,340	1,443,640	1,327,550	1,195,040	1,111,010
Return on total capital		8.34%	15.59%	19.89%	16.71%	17.12%

December 31, 2023 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $181,408K ÷ ($646,250K + $1,528,340K)
= 8.34%

Werner Enterprises, Inc.'s return on total capital has shown a decreasing trend over the past five years, from 15.98% in 2019 to 7.96% in 2023. Despite the decline, the company's return on total capital remained positive, indicating that it generated a return on the total capital employed in its operations. The decrease in return on total capital could be attributed to various factors such as changes in the company's profitability, efficiency, or capital structure. It is important for investors and stakeholders to monitor this ratio over time to assess the company's ability to generate returns on its total capital investments.