Gentex Corporation (GNTX)

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	459,726	502,732	499,421	511,826	495,731	457,075	421,450	379,952	370,007	363,848	365,221	379,355	409,783	484,238	534,926	428,263	399,556	348,043	337,326	471,969
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	2,467,950	2,417,630	2,400,300	2,376,360	2,312,520	2,268,450	2,195,950	2,123,260	2,065,790	2,034,050	1,986,570	1,928,970	1,937,990	1,887,630	1,916,320	1,960,980	1,963,940	1,895,610	1,822,610	1,834,610
Return on total capital		18.63%	20.79%	20.81%	21.54%	21.44%	20.15%	19.19%	17.89%	17.91%	17.89%	18.38%	19.67%	21.14%	25.65%	27.91%	21.84%	20.34%	18.36%	18.51%	25.73%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $459,726K ÷ ($—K + $2,467,950K)
= 18.63%

Gentex Corporation's return on total capital has shown some fluctuations over the past few years. The ratio stood at 25.73% as of March 31, 2020, indicating strong profitability on the capital employed at that time. However, it decreased to 18.51% by June 30, 2020, before slightly increasing to 20.34% by December 31, 2020.

The trend continued with the ratio hitting a peak of 27.91% as of June 30, 2021, reflecting improved efficiency in generating returns on total capital. Subsequently, the ratio fluctuated between 17.89% and 21.54% over the following quarters, showing some variability in the company's performance in utilizing its capital effectively.

As of December 31, 2024, the return on total capital stood at 18.63%, indicating a slight decline from the previous quarters. Overall, Gentex Corporation has demonstrated varying levels of return on total capital over the periods analyzed, with some quarters performing better than others. Further analysis of the factors influencing these fluctuations would be beneficial in understanding the company's financial performance in depth.