Altair Engineering Inc (ALTR)
Return on total capital
| 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 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 34,828 | 18,735 | 1,150 | -16,579 | -33,680 | -23,836 | -31,883 | -6,830 | 13,046 | 11,777 | 13,413 | 12,822 | 17,509 | 13,630 | 11,240 | 3,962 | 5,877 | 9,759 | 1,738 | 14,507 |
| Long-term debt | US$ in thousands | 226,223 | 225,929 | 225,635 | 225,320 | 225,039 | 305,604 | 305,158 | 304,676 | — | — | — | — | — | 188,300 | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 762,928 | 711,331 | 634,118 | 620,215 | 606,905 | 569,736 | 535,529 | 558,172 | 618,425 | 613,197 | 602,262 | 399,345 | 399,029 | 378,586 | 359,455 | 354,950 | 356,145 | 354,707 | 343,341 | 359,841 |
| Return on total capital | 3.52% | 2.00% | 0.13% | -1.96% | -4.05% | -2.72% | -3.79% | -0.79% | 2.11% | 1.92% | 2.23% | 3.21% | 4.39% | 2.40% | 3.13% | 1.12% | 1.65% | 2.75% | 0.51% | 4.03% |
March 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $34,828K ÷ ($226,223K + $762,928K)
= 3.52%
Altair Engineering Inc's return on total capital has fluctuated over the past several quarters. The trend indicates that the company's performance in generating returns relative to its total capital has been somewhat volatile.
In the most recent quarter, Altair Engineering Inc recorded a return on total capital of 3.52%, representing an improvement from the previous quarter's 2.00%. The positive increase indicates that the company was able to generate a higher return on the total capital employed during the period.
Looking back over the past several quarters, Altair Engineering Inc's return on total capital has shown mixed results, with some quarters reporting positive returns while others have recorded negative returns. It is important for the company to closely monitor and manage its capital allocation and efficiency in order to consistently improve its return on total capital.
Overall, Altair Engineering Inc's return on total capital trend suggests that the company's ability to generate returns from its total capital has been variable and may benefit from further strategic and operational improvements to enhance financial performance.
Peer comparison
Mar 31, 2024