Agilent Technologies Inc (A)
Return on total capital
| Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | Apr 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 1,424,000 | 1,434,000 | 1,470,000 | 1,730,000 | 1,683,000 | 1,588,000 | 1,579,000 | 1,511,000 | 1,450,000 | 1,441,000 | 1,274,000 | 1,164,000 | 1,012,000 | 920,000 | 868,000 | 870,000 | 964,000 | 991,000 | 1,001,000 | 1,007,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | 2,730,000 | 2,730,000 | 2,729,000 | 2,728,000 | 2,727,000 | 2,185,000 | 2,284,000 | 2,283,000 | 1,788,000 | 1,787,000 | 1,791,000 | 1,294,000 | 1,798,000 |
| Total stockholders’ equity | US$ in thousands | 6,188,000 | 5,845,000 | 5,558,000 | 5,781,000 | 5,609,000 | 5,305,000 | 5,091,000 | 5,122,000 | 5,154,000 | 5,389,000 | 4,946,000 | 4,810,000 | 4,804,000 | 4,873,000 | 4,981,000 | 4,768,000 | 4,848,000 | 4,748,000 | 4,747,000 | 5,125,000 |
| Return on total capital | 23.01% | 24.53% | 26.45% | 29.93% | 30.01% | 29.93% | 31.02% | 19.24% | 18.39% | 17.75% | 16.60% | 15.44% | 14.48% | 12.85% | 11.95% | 13.27% | 14.53% | 15.16% | 16.57% | 14.55% |
January 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,424,000K ÷ ($—K + $6,188,000K)
= 23.01%
Agilent Technologies Inc.'s return on total capital has exhibited a decreasing trend over the past several quarters. The return on total capital decreased from 20.04% in Q4 2022 to 14.96% in Q1 2024. This indicates a decline in the company's ability to generate profits relative to its total capital employed in its operations. Despite this decline, the return on total capital remains above 10% in each of the quarters, suggesting that Agilent Technologies Inc. is still efficiently utilizing its capital to generate returns for its investors. Further analysis and comparison with industry peers may provide additional insights into the company's performance and competitiveness in the market.
Peer comparison
Jan 31, 2024