ELF Beauty Inc (ELF)

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	149,678	140,693	132,148	107,346	68,143	62,284	47,964	40,029	29,770	25,716	23,036	17,562	9,400	12,308	18,897	26,031	29,950	9,901	10,042	7,253
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	642,572	614,224	516,428	471,702	411,017	385,304	356,960	333,449	312,429	305,468	294,093	282,622	269,646	264,602	254,653	248,708	242,171	242,447	231,688	222,008
Return on total capital		23.29%	22.91%	25.59%	22.76%	16.58%	16.16%	13.44%	12.00%	9.53%	8.42%	7.83%	6.21%	3.49%	4.65%	7.42%	10.47%	12.37%	4.08%	4.33%	3.27%

March 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $149,678K ÷ ($—K + $642,572K)
= 23.29%

ELF Beauty Inc's return on total capital has shown positive trends over the past few quarters, reflecting the company's ability to generate returns from its invested capital. The ratio has been consistently increasing from 3.27% in June 2019 to 23.29% in March 2024.

The gradual improvement in return on total capital indicates that the company is effectively utilizing its capital to generate profits. This suggests that ELF Beauty Inc is becoming more efficient in its operations and investments, leading to higher returns for its stakeholders.

Overall, the increasing trend in return on total capital for ELF Beauty Inc is a positive indicator of the company's financial performance and efficient use of capital resources.