Adtalem Global Education Inc (ATGE)
Return on total capital
| Jun 30, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 226,660 | 199,356 | 196,095 | 175,722 | 166,101 | 175,721 | 490,968 | 451,402 | 429,921 | 412,700 | 74,545 | 100,793 | 133,512 | -186,098 | -60,945 | -73,446 | -80,763 | 274,710 | 162,284 | 178,281 |
| Long-term debt | US$ in thousands | 648,712 | 648,106 | 696,373 | 695,725 | 695,077 | 694,429 | 693,781 | 741,696 | 838,908 | 1,225,360 | 1,599,540 | 1,600,040 | 1,067,710 | 1,067,560 | 284,131 | 285,621 | 286,115 | 446,610 | 412,105 | 327,600 |
| Total stockholders’ equity | US$ in thousands | 1,369,140 | 1,320,960 | 1,369,400 | 1,378,660 | 1,457,340 | 1,510,380 | 1,509,220 | 1,496,020 | 1,491,390 | 1,478,950 | 1,276,990 | 1,265,180 | 1,293,520 | 1,306,220 | 1,313,780 | 1,330,970 | 1,309,750 | 1,294,560 | 1,294,910 | 1,327,190 |
| Return on total capital | 11.23% | 10.12% | 9.49% | 8.47% | 7.72% | 7.97% | 22.29% | 20.17% | 18.45% | 15.26% | 2.59% | 3.52% | 5.65% | -7.84% | -3.81% | -4.54% | -5.06% | 15.78% | 9.51% | 10.77% |
June 30, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $226,660K ÷ ($648,712K + $1,369,140K)
= 11.23%
The return on total capital for Adtalem Global Education Inc has shown fluctuation over the past few quarters.
- The return on total capital increased from 8.47% in September 2023 to 11.23% in June 2024, indicating an improvement in the company's ability to generate profits relative to the total capital employed.
- However, the return on total capital experienced a significant decline in the following quarter, dropping to 10.12% in March 2024.
- The return on total capital reached a peak of 22.29% in December 2022, reflecting a period of strong profitability for the company.
- In contrast, the return on total capital was negative in the first quarter of 2021 and the fourth quarter of 2020, at -7.84% and -3.81% respectively, suggesting that the company experienced losses relative to the capital invested during those periods.
Overall, the return on total capital for Adtalem Global Education Inc has shown variability, with periods of both strong profitability and financial challenges. It is essential for investors and stakeholders to closely monitor these fluctuations to assess the company's financial health and performance.
Peer comparison
Jun 30, 2024