G-III Apparel Group Ltd (GIII)

Return on total capital

		Jan 31, 2024	Jan 31, 2023	Jan 31, 2022	Jan 31, 2021	Jan 31, 2020
Earnings before interest and tax (EBIT)	US$ in thousands	283,343	-109,462	311,093	82,842	227,654
Long-term debt	US$ in thousands	402,807	483,840	515,344	507,950	396,794
Total stockholders’ equity	US$ in thousands	1,550,260	1,385,450	1,519,910	1,336,240	1,290,670
Return on total capital		14.51%	-5.86%	15.29%	4.49%	13.49%

January 31, 2024 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $283,343K ÷ ($402,807K + $1,550,260K)
= 14.51%

The return on total capital for G-III Apparel Group Ltd has varied over the past five years. In the most recent fiscal year as of January 31, 2024, the company achieved a return on total capital of 14.51%, indicating a strong performance in generating profits relative to the total capital employed. In contrast, the company experienced a negative return on total capital of -5.86% in the prior fiscal year, reflecting a period of lower profitability relative to the capital invested.

Overall, the trend in G-III Apparel Group Ltd's return on total capital shows fluctuations, with varying levels of performance in different fiscal years. This suggests that the company's ability to efficiently generate profits from the total capital employed has not been consistent over the period analyzed.