IQVIA Holdings Inc (IQV)
Return on total capital
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 2,131,000 | 1,986,000 | 1,912,000 | 1,786,000 | 1,767,000 | 1,831,000 | 1,735,000 | 1,631,000 | 1,504,000 | 1,321,000 | 1,154,000 | 917,000 | 767,000 | 676,000 | 648,000 | 750,000 | 754,000 | 766,000 | 747,000 | 757,000 |
| Long-term debt | US$ in thousands | 12,955,000 | 12,322,000 | 12,433,000 | 11,833,000 | 12,595,000 | 12,243,000 | 12,615,000 | 12,547,000 | 12,034,000 | 12,081,000 | 12,140,000 | 12,092,000 | 12,384,000 | 12,195,000 | 11,965,000 | 11,894,000 | 11,545,000 | 11,444,000 | 11,299,000 | 11,187,000 |
| Total stockholders’ equity | US$ in thousands | 6,112,000 | 5,805,000 | 5,748,000 | 5,932,000 | 5,765,000 | 5,347,000 | 5,352,000 | 5,919,000 | 6,042,000 | 5,829,000 | 5,760,000 | 5,953,000 | 6,001,000 | 5,846,000 | 5,591,000 | 5,542,000 | 6,003,000 | 6,131,000 | 6,523,000 | 6,615,000 |
| Return on total capital | 11.18% | 10.96% | 10.52% | 10.05% | 9.62% | 10.41% | 9.66% | 8.83% | 8.32% | 7.38% | 6.45% | 5.08% | 4.17% | 3.75% | 3.69% | 4.30% | 4.30% | 4.36% | 4.19% | 4.25% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,131,000K ÷ ($12,955,000K + $6,112,000K)
= 11.18%
IQVIA Holdings Inc's return on total capital has shown consistency in the recent quarters, ranging from 8.42% to 10.66%. The company's ability to generate returns from its total capital has remained relatively stable, with Q4 2023 returning 10.42%, showing a slight increase compared to the previous quarters. This indicates that IQVIA Holdings Inc is efficiently utilizing its capital to generate profits. However, it is important to monitor this metric over time to ensure sustained performance and efficiency in capital allocation.
Peer comparison
Dec 31, 2023