Lattice Semiconductor Corporation (LSCC)

Return on total capital

		Dec 31, 2024	Sep 30, 2024	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
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	58,842	99,643	143,102	172,433	213,762	224,124	214,221	207,681	186,258	166,960	145,906	122,544	105,290	83,339	73,619	62,957	52,158	60,475	60,146	59,904
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	710,932	703,540	698,849	682,662	692,020	626,170	574,761	514,974	487,163	441,731	435,921	421,555	411,633	392,900	397,315	391,585	384,427	376,893	364,130	342,959
Return on total capital		8.28%	14.16%	20.48%	25.26%	30.89%	35.79%	37.27%	40.33%	38.23%	37.80%	33.47%	29.07%	25.58%	21.21%	18.53%	16.08%	13.57%	16.05%	16.52%	17.47%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $58,842K ÷ ($—K + $710,932K)
= 8.28%

Lattice Semiconductor Corporation's return on total capital has shown fluctuating trends over the observation period. The ratio has exhibited a generally increasing pattern from March 31, 2020, to December 31, 2022, reaching a peak of 38.23% before experiencing a noticeable decline. From March 31, 2023, to December 31, 2024, there was a notable decrease in the return on total capital, plummeting from 40.33% to 8.28%. The company demonstrated robust performance in terms of generating returns in the earlier years, but there was a significant deterioration in performance by the end of the period.

Overall, the return on total capital ratio for Lattice Semiconductor Corporation reflects the efficiency and effectiveness of the company in generating profits relative to its invested capital. It is essential for stakeholders to monitor this metric closely as it provides insights into the company's ability to utilize its capital effectively and create value for shareholders.