Compass Minerals International Inc (CMP)

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	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	-86,300	5,400	88,400	98,100	91,000	75,500	65,100	125,500	-61,600	-58,600	-53,600	-118,000	127,900	170,300	183,300	174,500	140,000	127,400	124,700	126,300
Long-term debt	US$ in thousands	872,200	908,700	800,300	716,000	825,700	832,100	947,600	885,900	922,200	1,004,900	1,152,800	—	1,299,100	1,289,200	1,247,500	1,253,700	1,285,900	1,358,200	1,275,900	1,225,600
Total stockholders’ equity	US$ in thousands	387,700	459,800	517,200	536,700	485,400	509,800	256,400	300,900	286,500	288,000	186,600	123,800	378,300	319,900	333,300	355,700	517,700	459,500	522,900	538,800
Return on total capital		-6.85%	0.39%	6.71%	7.83%	6.94%	5.63%	5.41%	10.57%	-5.10%	-4.53%	-4.00%	-95.32%	7.62%	10.58%	11.60%	10.84%	7.76%	7.01%	6.93%	7.16%

March 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-86,300K ÷ ($872,200K + $387,700K)
= -6.85%

The return on total capital for Compass Minerals International Inc has shown fluctuations over the past several quarters. The return on total capital was negative (-6.85%) as of March 31, 2024, indicating that the company did not generate a sufficient return relative to its total capital invested. This decrease followed a marginal positive return of 0.39% in December 2023.

In the previous quarters, the return on total capital showed some improvement, with percentages ranging from 5.41% to 10.57% in the first two quarters of 2022. However, the return on total capital dropped significantly to -95.32% in March 2021, which may have been impacted by exceptional circumstances or one-time events.

Overall, the trend in the return on total capital for Compass Minerals International Inc appears to be somewhat volatile, with occasional spikes and declines. Further analysis of the company's financial performance and strategic decisions would be necessary to understand the underlying factors contributing to these fluctuations and to assess the company's ability to generate returns on its total capital in a sustainable manner.