LivaNova PLC (LIVN)
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 | -22,477 | 75,941 | -30,423 | -17,137 | -26,945 | -42,665 | 20,493 | -48,918 | -74,469 | -362,466 | -336,367 | -317,718 | -308,942 | -170,523 | -140,153 | -154,063 | -170,459 | -303,205 | -336,648 | -288,281 |
| Long-term debt | US$ in thousands | 568,543 | 568,163 | 567,951 | 520,201 | 518,067 | 518,249 | 459,792 | 455,810 | 9,849 | 10,797 | 431,033 | 646,369 | 642,298 | 637,109 | 639,189 | 315,561 | 260,330 | 272,887 | 174,376 | 141,850 |
| Total stockholders’ equity | US$ in thousands | 1,277,630 | 1,225,470 | 1,240,610 | 1,227,340 | 1,207,620 | 1,146,960 | 1,282,000 | 1,291,850 | 1,294,640 | 1,299,500 | 1,028,670 | 1,055,130 | 1,109,260 | 1,350,790 | 1,333,190 | 1,392,710 | 1,377,960 | 1,495,280 | 1,483,330 | 1,486,810 |
| Return on total capital | -1.22% | 4.23% | -1.68% | -0.98% | -1.56% | -2.56% | 1.18% | -2.80% | -5.71% | -27.66% | -23.04% | -18.67% | -17.64% | -8.58% | -7.11% | -9.02% | -10.40% | -17.15% | -20.31% | -17.70% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-22,477K ÷ ($568,543K + $1,277,630K)
= -1.22%
LivaNova PLC's return on total capital has exhibited fluctuations over the past eight quarters. In Q4 2023, the return on total capital was 1.15%, representing a decline compared to the previous quarter. However, this was part of a broader downward trend from Q2 2023's high of 4.05%. The company experienced its lowest return on total capital in Q1 2022 at 0.24%. Overall, the inconsistent performance of return on total capital indicates varying levels of efficiency in generating returns from the total capital employed by LivaNova PLC. Further analysis is recommended to understand the factors driving these fluctuations and to assess the company's long-term financial sustainability.
Peer comparison
Dec 31, 2023