Stride Inc (LRN)
Return on total capital
| Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | Jun 30, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 249,600 | 165,499 | 156,628 | 110,456 | 32,457 |
| Long-term debt | US$ in thousands | 414,675 | 413,035 | 411,438 | 299,271 | — |
| Total stockholders’ equity | US$ in thousands | 1,176,020 | 947,296 | 812,581 | 804,648 | 675,329 |
| Return on total capital | 15.69% | 12.17% | 12.80% | 10.01% | 4.81% |
June 30, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $249,600K ÷ ($414,675K + $1,176,020K)
= 15.69%
The return on total capital for Stride Inc has shown a positive trend over the past five years, indicating an improvement in the company's ability to generate profit relative to the total capital employed.
In the most recent fiscal year ending on June 30, 2024, the return on total capital was 15.69%, representing a significant increase compared to the previous years. This suggests that Stride Inc has been more efficient in utilizing its total capital to generate earnings for its investors.
The return on total capital for the preceding years also demonstrated a positive trajectory, with values of 12.17%, 12.80%, 10.01%, and 4.81% for the years ending on June 30, 2023, 2022, 2021, and 2020, respectively. This consistent improvement signals that the company has been effectively managing its capital to create value for shareholders over time.
Overall, the upward trend in Stride Inc's return on total capital is a positive indicator of the company's financial performance and efficiency in utilizing its capital resources to generate returns for its stakeholders.
Peer comparison
Jun 30, 2024