Korn Ferry (KFY)
Return on total capital
| Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | Oct 31, 2019 | Jul 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 212,929 | 202,032 | 164,678 | 261,509 | 316,340 | 382,512 | 496,289 | 480,418 | 470,074 | 417,573 | 356,438 | 300,834 | 155,784 | 91,759 | 58,199 | 71,896 | 176,025 | 216,073 | 247,161 | 256,279 |
| Long-term debt | US$ in thousands | 396,946 | 396,755 | 396,565 | 396,379 | 396,194 | 396,011 | 395,831 | 395,653 | 395,477 | 395,303 | 395,132 | 394,962 | 394,794 | 394,629 | 394,465 | 394,303 | 394,144 | 393,986 | 273,310 | 223,094 |
| Total stockholders’ equity | US$ in thousands | 1,733,060 | 1,703,620 | 1,656,150 | 1,686,680 | 1,648,070 | 1,608,980 | 1,578,050 | 1,564,750 | 1,544,350 | 1,531,280 | 1,479,520 | 1,417,190 | 1,366,390 | 1,293,190 | 1,219,970 | 1,215,660 | 1,221,380 | 1,275,100 | 1,255,930 | 1,260,900 |
| Return on total capital | 10.00% | 9.62% | 8.02% | 12.55% | 15.47% | 19.08% | 25.14% | 24.51% | 24.23% | 21.67% | 19.01% | 16.60% | 8.85% | 5.44% | 3.60% | 4.47% | 10.90% | 12.95% | 16.16% | 17.27% |
April 30, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $212,929K ÷ ($396,946K + $1,733,060K)
= 10.00%
The return on total capital for Korn Ferry has fluctuated over the past few years. It ranged from a low of 3.60% in October 2020 to a high of 25.14% in October 2022. Generally, the return on total capital has shown a decreasing trend from 2019 to 2021, before experiencing a significant increase in 2022. This increase in 2022 was followed by a slight decline in 2023, but the return remained relatively stable above 8% in 2023 and 2024.
Overall, Korn Ferry's return on total capital has varied over the analyzed periods, indicating changes in the company's ability to generate profit relative to its total capital employed. Further analysis may be necessary to understand the factors driving these fluctuations and assess the company's financial performance more comprehensively.
Peer comparison
Apr 30, 2024