Dayforce Inc. (DAY)

Return on total capital

Dec 31, 2024 Sep 30, 2024 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
Earnings before interest and tax (EBIT) (ttm) US$ in thousands 78,700 99,600 93,900 111,000 117,700 70,100 39,100 -1,900 -58,900 -40,600 -50,400 -66,000 -54,400 -76,200 -57,200 -25,600 5,100 50,400 55,700 69,200
Long-term debt US$ in thousands — — — — — — — — — — — — — — — — — — — —
Total stockholders’ equity US$ in thousands 2,546,300 2,556,000 2,475,800 2,432,800 2,398,200 2,266,900 2,240,200 2,194,200 2,109,400 2,051,200 2,094,300 2,140,800 2,227,500 2,221,800 2,199,800 2,159,300 2,098,200 2,036,300 1,985,700 1,885,600
Return on total capital 3.09% 3.90% 3.79% 4.56% 4.91% 3.09% 1.75% -0.09% -2.79% -1.98% -2.41% -3.08% -2.44% -3.43% -2.60% -1.19% 0.24% 2.48% 2.81% 3.67%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $78,700K ÷ ($—K + $2,546,300K)
= 3.09%

Dayforce Inc.'s return on total capital has fluctuated over the periods analyzed. Starting at 3.67% on March 31, 2020, the return declined steadily to a low of -3.43% on September 30, 2021. From there, the return gradually improved, reaching 4.91% on December 31, 2023, before stabilizing around 3-4% until December 31, 2024. These fluctuations suggest variability in the company's efficiency in generating returns from its total capital during the period. It is important for Dayforce Inc. to monitor and manage its return on total capital to ensure sustainable growth and profitability over time.