Healthcare Services Group Inc (HCSG)
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 | 59,379 | 76,495 | 51,320 | 64,915 | 59,511 | 47,705 | 54,316 | 49,686 | 48,070 | 28,464 | 39,122 | 45,820 | 62,840 | 96,325 | 121,321 | 136,720 | 130,560 | 122,139 | 109,149 | 102,757 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 499,927 | 488,748 | 471,423 | 474,581 | 456,616 | 441,733 | 450,589 | 440,572 | 426,172 | 422,076 | 437,845 | 446,637 | 452,677 | 480,205 | 488,304 | 493,102 | 480,461 | 464,750 | 449,687 | 438,179 |
| Return on total capital | 11.88% | 15.65% | 10.89% | 13.68% | 13.03% | 10.80% | 12.05% | 11.28% | 11.28% | 6.74% | 8.94% | 10.26% | 13.88% | 20.06% | 24.85% | 27.73% | 27.17% | 26.28% | 24.27% | 23.45% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $59,379K ÷ ($—K + $499,927K)
= 11.88%
Healthcare Services Group Inc's return on total capital has shown fluctuations over the periods provided. The return on total capital started at 23.45% as of March 31, 2020, and gradually increased to a peak of 27.73% by March 31, 2021. However, from there, the return on total capital started declining, reaching 8.94% by June 30, 2022.
There was a slight recovery by September 30, 2022, at 6.74%, but the return on total capital decreased again to 10.80% by September 30, 2023. This trend continued into December 31, 2023, at 13.03%.
As of June 30, 2024, the return on total capital was at a lower point of 10.89%, but it recovered to 15.65% by September 30, 2024. However, by December 31, 2024, it dipped again to 11.88%.
Overall, the return on total capital for Healthcare Services Group Inc has shown volatility during the period analyzed, with some periods of growth followed by declines. It is essential for stakeholders to monitor these fluctuations and assess the company's performance and effectiveness in generating returns on the total capital employed in its operations.