Appfolio Inc (APPF)
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 | 963 | -72,370 | -11,878 | 9,783 | 6,461 |
| Long-term debt | US$ in thousands | — | — | — | 0 | 47,375 |
| Total stockholders’ equity | US$ in thousands | 297,312 | 265,546 | 297,381 | 285,920 | 131,950 |
| Return on total capital | 0.32% | -27.25% | -3.99% | 3.42% | 3.60% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $963K ÷ ($—K + $297,312K)
= 0.32%
The return on total capital for Appfolio Inc has displayed significant fluctuations over the past five years. In 2023, the return on total capital was 0.32%, indicating a marginal profitability generated in relation to the total capital employed. This marks a positive improvement compared to the negative returns recorded in the previous year, 2022, where the return was -27.25%, suggesting a substantial loss relative to the total capital invested.
In 2021, the return on total capital stood at -3.99%, reflecting a continued underperformance in generating returns compared to the capital utilized. However, there was a slight recovery in 2020, with a return of 3.42%, indicating a modest profitability relative to the total capital employed.
The highest return on total capital over the analyzed period was observed in 2019 at 3.60%, suggesting a moderately positive performance in utilizing the total capital. Overall, the data highlights the fluctuating nature of Appfolio Inc's ability to generate returns in relation to the total capital employed, with an uneven trend observed over the years.
Peer comparison
Dec 31, 2023