Dorman Products Inc (DORM)

Return on total capital

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 Dec 31, 2019 Sep 30, 2019 Jun 30, 2019 Mar 31, 2019
Earnings before interest and tax (EBIT) (ttm) US$ in thousands 216,564 172,255 149,474 143,458 171,783 183,550 185,804 176,987 171,927 172,798 173,331 150,193 133,519 109,404 91,548 101,148 105,828 128,565 145,335 160,892
Long-term debt US$ in thousands 467,239 473,389 476,414 479,439 482,464 — — — 0 — — — — — — — — — — —
Total stockholders’ equity US$ in thousands 1,168,200 1,128,090 1,086,070 1,049,140 1,042,630 1,021,040 990,957 959,400 932,736 904,524 892,985 883,811 853,559 831,365 807,132 791,375 773,584 772,592 750,332 741,707
Return on total capital 13.24% 10.76% 9.57% 9.39% 11.26% 17.98% 18.75% 18.45% 18.43% 19.10% 19.41% 16.99% 15.64% 13.16% 11.34% 12.78% 13.68% 16.64% 19.37% 21.69%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $216,564K ÷ ($467,239K + $1,168,200K)
= 13.24%

Dorman Products Inc's return on total capital has exhibited fluctuations over the past eight quarters. In Q4 2023, the return on total capital was 12.32%, showing an improvement from the previous quarter but lower compared to Q3 2022. The trend indicates a general decline in returns since Q2 2022 when the return was at its peak of 15.20%. Although the returns in Q2 and Q3 2022 were relatively high, the subsequent quarters have seen a gradual decrease in the return on total capital.

Overall, the company's return on total capital has shown some volatility, with fluctuations in performance from quarter to quarter. It is important for investors and stakeholders to monitor these fluctuations closely to understand the company's efficiency in generating profits relative to its total capital employed.