Cirrus Logic Inc (CRUS)
Return on total capital
| Mar 31, 2025 | Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Sep 23, 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 413,756 | 393,336 | 406,605 | 374,424 | 433,381 | 403,993 | 178,437 | 211,028 | 221,496 | 252,784 | 419,312 | 422,880 | 404,006 | 369,611 | 289,630 | 276,311 | 245,563 | 244,709 | 248,436 | 192,295 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,949,450 | 1,962,800 | 1,928,130 | 1,847,630 | 1,817,010 | 1,800,760 | 1,708,360 | 1,708,360 | 1,656,790 | 1,658,280 | 1,716,320 | 1,654,610 | 1,599,190 | 1,599,820 | 1,562,750 | 1,468,090 | 1,406,730 | 1,389,000 | 1,400,360 | 1,316,830 |
| Return on total capital | 21.22% | 20.04% | 21.09% | 20.27% | 23.85% | 22.43% | 10.44% | 12.35% | 13.37% | 15.24% | 24.43% | 25.56% | 25.26% | 23.10% | 18.53% | 18.82% | 17.46% | 17.62% | 17.74% | 14.60% |
March 31, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $413,756K ÷ ($—K + $1,949,450K)
= 21.22%
Cirrus Logic Inc's return on total capital has demonstrated fluctuations over the periods indicated. The return on total capital was 14.60% as of September 30, 2020, and gradually increased to 25.56% by September 30, 2022, showing an improving trend. The peak return on total capital was noted on June 30, 2022, at 25.26%.
However, a downward trend followed from that peak, with the return on total capital dropping to 10.44% by September 30, 2023, before rebounding to 22.43% by December 31, 2023. The return on total capital fluctuated around the 20% mark during the period from March 2024 to March 2025, indicating some stability in performance.
Overall, the return on total capital for Cirrus Logic Inc has shown variability but has generally been above 15%, reflecting the company's ability to generate returns relative to the total capital employed. The company's management may need to focus on sustaining higher returns in the future to ensure continued financial health and efficiency in capital utilization.
Peer comparison
Mar 31, 2025