FTI Consulting Inc (FCN)
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 | 354,232 | 400,641 | 405,968 | 390,585 | 357,754 | 323,477 | 315,877 | 291,403 | 303,878 | 283,147 | 289,145 | 308,890 | 319,153 | 338,166 | 324,631 | 308,452 | 296,985 | 274,247 | 279,185 | 302,088 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 2,258,290 | 2,252,200 | 2,149,380 | 2,054,360 | 1,981,420 | 1,864,500 | 1,795,150 | 1,720,890 | 1,681,720 | 1,644,580 | 1,630,620 | 1,622,020 | 1,583,320 | 1,544,300 | 1,489,210 | 1,416,350 | 1,400,180 | 1,474,500 | 1,479,100 | 1,468,680 |
| Return on total capital | 15.69% | 17.79% | 18.89% | 19.01% | 18.06% | 17.35% | 17.60% | 16.93% | 18.07% | 17.22% | 17.73% | 19.04% | 20.16% | 21.90% | 21.80% | 21.78% | 21.21% | 18.60% | 18.88% | 20.57% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $354,232K ÷ ($—K + $2,258,290K)
= 15.69%
FTI Consulting Inc's return on total capital has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The return on total capital started at a relatively high level of 20.57% in March 2020, decreased slightly to 18.88% by June 2020, and then further declined to 18.60% by September 2020.
There was a notable improvement in the return on total capital by December 2020, reaching 21.21%. This positive trend continued into the first half of 2021, with return on total capital peaking at 21.80% by June 2021 and maintaining similar levels by September 2021 (21.90%).
However, towards the end of 2021 and into 2022, the return on total capital saw a decline, dropping to 20.16% by December 2021 and further down to 17.73% by June 2022. The downward trend continued with return on total capital hitting a low of 15.69% by December 2024.
Overall, FTI Consulting Inc's return on total capital exhibited fluctuations, showing periods of both growth and decline. It is essential for stakeholders to closely monitor these changes to assess the company's efficiency in generating returns relative to its total capital employed.
Peer comparison
Dec 31, 2024