Enovis Corp (ENOV)
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 | -767,794 | -308,420 | -294,650 | -299,514 | -264,572 | -52,453 | -104,662 | -101,634 | -107,954 | -59,385 | -3,548 | 4,349 | 96,283 | 99,322 | 177,360 | 176,761 | 162,291 | 195,731 | 215,642 | 262,097 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,562,260 | 3,330,420 | 3,286,410 | 3,308,430 | 3,418,390 | 3,439,620 | 3,448,640 | 3,443,340 | 3,448,080 | 3,406,690 | 3,489,270 | 4,600,040 | 4,617,380 | 4,586,540 | 4,307,850 | 4,246,590 | 3,543,390 | 3,412,450 | 3,351,920 | 3,291,140 |
| Return on total capital | -29.97% | -9.26% | -8.97% | -9.05% | -7.74% | -1.52% | -3.03% | -2.95% | -3.13% | -1.74% | -0.10% | 0.09% | 2.09% | 2.17% | 4.12% | 4.16% | 4.58% | 5.74% | 6.43% | 7.96% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-767,794K ÷ ($—K + $2,562,260K)
= -29.97%
Enovis Corp's return on total capital has been fluctuating over the years, indicating potential management and operational challenges. The ratio started at 7.96% on March 31, 2020, but steadily declined to -29.97% by December 31, 2024. This significant decrease suggests that the company may be struggling to generate returns on the total capital employed in its operations. It is crucial for Enovis Corp to analyze the underlying factors contributing to the declining trend and take necessary corrective actions to improve its capital efficiency and profitability.
Peer comparison
Dec 31, 2024