Lumentum Holdings Inc (LITE)
Return on total capital
| 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | -383,200 | -285,800 | -227,400 | -153,800 | -66,900 | 32,700 | 121,700 | 226,100 | 315,300 | 298,200 | 518,500 | 546,700 | 529,800 | 513,800 | 308,700 | 270,300 | 235,500 | 195,300 | 59,900 | 10,100 |
| Long-term debt | US$ in thousands | 2,503,200 | 2,502,400 | 2,501,700 | 2,500,900 | 2,500,000 | 1,900,800 | 1,900,300 | 1,899,500 | 1,466,100 | — | — | — | 789,800 | — | 769,100 | 1,134,700 | 1,120,300 | 1,106,000 | 1,092,000 | 839,600 |
| Total stockholders’ equity | US$ in thousands | 957,300 | 1,176,700 | 1,277,800 | 1,310,800 | 1,355,800 | 1,538,000 | 1,543,600 | 1,526,400 | 1,875,000 | 1,912,100 | 2,021,900 | 1,971,400 | 1,972,800 | 2,165,000 | 1,921,900 | 1,816,100 | 1,749,200 | 1,734,200 | 1,681,600 | 1,561,300 |
| Return on total capital | -11.07% | -7.77% | -6.02% | -4.03% | -1.74% | 0.95% | 3.53% | 6.60% | 9.44% | 15.60% | 25.64% | 27.73% | 19.18% | 23.73% | 11.47% | 9.16% | 8.21% | 6.88% | 2.16% | 0.42% |
June 30, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-383,200K ÷ ($2,503,200K + $957,300K)
= -11.07%
Lumentum Holdings Inc's return on total capital has fluctuated over the past few quarters based on the data provided. The company experienced a downward trend in return on total capital from Jun 30, 2024, with a negative return of -11.07%, to Mar 31, 2023, with a positive return of 0.95%.
The return on total capital was consistently negative from Jun 30, 2024, to Sep 30, 2023, indicating challenges in generating profits relative to the capital invested. However, there was a turnaround in performance starting from Mar 31, 2023, with positive returns observed in subsequent quarters until Jun 30, 2022, where the return peaked at 25.64%.
From Sep 30, 2022, to Dec 31, 2021, the return on total capital showed a declining trend, but it remained positive during this period. Notably, the return was relatively high in earlier quarters, such as Dec 31, 2021, where it reached 27.73%.
Overall, the analysis suggests that Lumentum Holdings Inc has experienced fluctuations in return on total capital, showing both positive and negative trends over the past few quarters. This indicates variable performance in utilizing capital effectively to generate returns for shareholders.
Peer comparison
Jun 30, 2024