CommVault Systems Inc (CVLT)

Return on total capital

Mar 31, 2025 Mar 31, 2024 Mar 31, 2023 Mar 31, 2022 Mar 31, 2021
Earnings before interest and tax (EBIT) US$ in thousands 80,637 83,913 -14,890 43,523 -21,235
Long-term debt US$ in thousands
Total stockholders’ equity US$ in thousands 325,122 278,085 186,098 255,829 394,034
Return on total capital 24.80% 30.18% -8.00% 17.01% -5.39%

March 31, 2025 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $80,637K ÷ ($—K + $325,122K)
= 24.80%

CommVault Systems Inc's return on total capital has exhibited fluctuating trends over the past five years. In March 2021, the company reported a negative return of -5.39%, indicating that the capital employed was not yielding profitable returns at that time. However, there was a significant improvement in the following year, with the return on total capital increasing to 17.01% by March 2022.

In the subsequent period, there was a decline in the return on total capital to -8.00% by March 2023, suggesting that the company faced challenges in generating satisfactory returns relative to the total capital invested. Nevertheless, CommVault Systems Inc rebounded strongly in the following years, with the return on total capital reaching 30.18% by March 2024 and further improving to 24.80% by March 2025.

Overall, the recent positive performance in return on total capital indicates that the company has been able to effectively utilize its total capital to generate profitable returns. However, the fluctuations observed in the earlier years highlight the importance of consistently monitoring and managing capital allocation strategies to ensure sustainable financial performance.