Xcel Energy Inc (XEL)
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 | 2,680,000 | 2,623,000 | 2,595,000 | 2,628,000 | 2,554,000 | 2,431,000 | 2,357,000 | 2,341,000 | 2,342,000 | 2,363,000 | 2,367,000 | 2,364,000 | 2,307,000 | 2,331,000 | 2,262,000 | 2,231,000 | 2,272,000 | 2,163,000 | 2,106,000 | 2,149,000 |
| Long-term debt | US$ in thousands | 22,927,000 | 21,484,000 | 21,855,000 | 21,167,000 | 20,897,000 | 20,560,000 | 22,076,000 | 22,807,000 | 25,232,000 | 24,657,000 | 24,686,000 | 23,654,000 | 24,412,000 | 24,396,000 | 24,327,000 | 19,864,000 | 20,227,000 | 20,064,000 | — | — |
| Total stockholders’ equity | US$ in thousands | 17,616,000 | 17,309,000 | 16,914,000 | 16,818,000 | 16,675,000 | 16,384,000 | 15,971,000 | 15,732,000 | 15,612,000 | 15,171,000 | 14,792,000 | 14,700,000 | 14,575,000 | 13,777,000 | 13,385,000 | 13,302,000 | 13,239,000 | 13,141,000 | 12,366,000 | 12,329,000 |
| Return on total capital | 6.61% | 6.76% | 6.69% | 6.92% | 6.80% | 6.58% | 6.19% | 6.07% | 5.73% | 5.93% | 6.00% | 6.16% | 5.92% | 6.11% | 6.00% | 6.73% | 6.79% | 6.51% | 17.03% | 17.43% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,680,000K ÷ ($22,927,000K + $17,616,000K)
= 6.61%
Xcel Energy, Inc.'s return on total capital has shown consistency in the range of 5.76% to 6.04% over the past eight quarters. This indicates that the company has been able to effectively generate returns from its total capital investments during this period.
The stable performance of return on total capital suggests that Xcel Energy is efficiently utilizing its total capital resources to generate profits. However, it is important to consider the industry benchmarks and compare the company's performance with its peers to get a better understanding of its competitiveness and efficiency in deploying capital.
Overall, the consistent return on total capital demonstrates Xcel Energy's financial stability and efficiency in generating returns for its investors. Tracking this ratio over time can provide insights into the company's capital allocation strategies and long-term financial performance.
Peer comparison
Dec 31, 2023