Crowdstrike Holdings Inc (CRWD)
Return on total capital
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 27,339 | 98,237 | 144,938 | 100,316 | 104,675 | 36,310 | -45,867 | -102,598 | -134,564 | -119,153 | -119,300 | -128,884 | -134,792 | -128,058 | -112,371 | -94,846 | -86,310 | -99,119 | -110,201 | -132,032 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,279,490 | 3,057,930 | 2,852,920 | 2,535,540 | 2,303,950 | 2,028,950 | 1,838,210 | 1,605,300 | 1,463,640 | 1,314,290 | 1,225,420 | 1,102,540 | 1,025,760 | 948,182 | 904,268 | 849,264 | 870,574 | 813,485 | 790,965 | 752,153 |
| Return on total capital | 0.83% | 3.21% | 5.08% | 3.96% | 4.54% | 1.79% | -2.50% | -6.39% | -9.19% | -9.07% | -9.74% | -11.69% | -13.14% | -13.51% | -12.43% | -11.17% | -9.91% | -12.18% | -13.93% | -17.55% |
January 31, 2025 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $27,339K ÷ ($—K + $3,279,490K)
= 0.83%
Crowdstrike Holdings Inc's return on total capital has shown a declining trend over the past few years, starting with negative figures in the fiscal year 2020 and gradually improving towards positive values by January 31, 2024.
The company's return on total capital was notably negative during the April 2020 to October 2022 period, indicating that the company was not efficiently utilizing its total capital to generate profits for its shareholders. However, from January 2023 onwards, the return on total capital started to improve as the company managed to turn the negative figures into positive ones by October 31, 2023.
By January 31, 2024, Crowdstrike Holdings Inc achieved a return on total capital of 4.54%, indicating that the company was increasingly efficient in generating profits using its total capital. The subsequent quarters, up to January 31, 2025, also showed positive returns on total capital, albeit at a lower rate compared to the peak in January 2024.
Overall, the analysis suggests that Crowdstrike Holdings Inc made significant progress in optimizing its total capital investments to generate returns for its shareholders, transitioning from negative values to positive returns over the analyzed period.
Peer comparison
Jan 31, 2025