DXC Technology Co (DXC)
Return on total capital
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 412,000 | -448,000 | -598,000 | -707,000 | -687,000 | 1,244,000 | 1,288,000 | 1,003,000 | 1,327,000 | -216,000 | 1,639,000 | 1,619,000 | 1,012,000 | -1,739,000 | -3,582,000 | -5,273,000 | -4,856,000 | -953,000 | -619,000 | 1,698,000 |
| Long-term debt | US$ in thousands | 3,818,000 | 3,880,000 | 3,791,000 | 3,891,000 | 3,900,000 | 3,850,000 | 3,695,000 | 3,874,000 | 4,065,000 | 4,236,000 | 4,363,000 | 4,116,000 | 4,345,000 | 5,444,000 | 8,046,000 | 10,334,000 | 8,672,000 | 7,315,000 | 7,698,000 | 7,893,000 |
| Total stockholders’ equity | US$ in thousands | 2,811,000 | 3,107,000 | 3,147,000 | 3,278,000 | 3,497,000 | 4,627,000 | 4,615,000 | 4,725,000 | 5,052,000 | 4,772,000 | 4,772,000 | 5,077,000 | 4,973,000 | 5,655,000 | 4,401,000 | 4,593,000 | 4,785,000 | 8,749,000 | 8,550,000 | 10,913,000 |
| Return on total capital | 6.22% | -6.41% | -8.62% | -9.86% | -9.29% | 14.68% | 15.50% | 11.66% | 14.56% | -2.40% | 17.94% | 17.61% | 10.86% | -15.67% | -28.78% | -35.33% | -36.09% | -5.93% | -3.81% | 9.03% |
March 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $412,000K ÷ ($3,818,000K + $2,811,000K)
= 6.22%
The return on total capital for DXC Technology Co has exhibited fluctuations over the past several quarters. The return on total capital was positive in some quarters, notably reaching 17.94% in Q3 2021 and 17.61% in Q2 2021. However, the company also experienced negative returns in several quarters, with the lowest being -36.09% in Q1 2020 and -35.33% in Q2 2020. Overall, the return on total capital has been volatile, indicating that the company's profitability in relation to its invested capital has varied significantly. This underscores the importance of monitoring and analyzing the financial performance of DXC Technology Co over time to assess its efficiency in generating returns for its capital providers.
Peer comparison
Mar 31, 2024