Forward Air Corporation (FWRD)

Return on total capital

		Mar 31, 2025	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
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	-914,186	-1,060,622	-1,137,667	-1,142,048	-17,687	99,213	157,628	213,800	259,134	265,976	256,538	227,349	193,928	159,301	128,047	109,081	82,166	73,325	85,453	92,633
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	241,491	241,491	226,084	283,764	926,071	764,261	665,700	673,609	685,633	707,244	682,698	664,350	611,771	593,654	555,536	550,349	544,731	547,329	552,196	566,292
Return on total capital		-378.56%	-439.20%	-503.21%	-402.46%	-1.91%	12.98%	23.68%	31.74%	37.79%	37.61%	37.58%	34.22%	31.70%	26.83%	23.05%	19.82%	15.08%	13.40%	15.48%	16.36%

March 31, 2025 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-914,186K ÷ ($—K + $241,491K)
= -378.56%

Forward Air Corporation's return on total capital has shown significant fluctuations over the periods provided. The ratio increased steadily from June 2020 to June 2022, reaching a peak of 34.22% in June 2022. However, starting from March 2023, the return on total capital began to decline steeply, with negative values recorded from June 2024 onwards, reaching a low of -503.21% in September 2024. This suggests that Forward Air Corporation may have encountered challenges in effectively utilizing its capital to generate returns during the latter part of the period. Further analysis and investigation into the factors contributing to these fluctuations are recommended to better understand the company's performance and financial health.