Mettler-Toledo International Inc (MTD)

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	1,051,094	1,140,702	1,159,634	1,146,439	1,125,984	1,024,812	993,821	965,187	935,733	907,139	862,880	786,894	720,727	749,452	713,492	712,753	718,805	717,321	707,528	695,341
Long-term debt	US$ in thousands	1,888,620	1,929,400	2,045,460	2,015,780	1,908,480	1,825,250	1,821,460	1,766,830	1,580,810	1,639,580	1,602,000	1,561,050	1,284,170	1,169,140	1,146,590	1,513,020	1,235,350	1,124,280	1,087,870	1,008,480
Total stockholders’ equity	US$ in thousands	-149,938	-105,872	-89,705	-24,469	24,793	-82,809	7,262	84,570	171,421	159,171	191,424	202,643	282,675	443,067	450,093	306,397	420,780	438,301	504,086	561,750
Return on total capital		60.45%	62.55%	59.29%	57.57%	58.24%	58.81%	54.35%	52.13%	53.40%	50.43%	48.11%	44.62%	46.00%	46.49%	44.69%	39.17%	43.40%	45.91%	44.44%	44.28%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,051,094K ÷ ($1,888,620K + $-149,938K)
= 60.45%

The return on total capital for Mettler-Toledo International, Inc. has been consistently strong over the past eight quarters, fluctuating between 52.26% and 57.83%. This indicates that the company has been effectively utilizing its total capital to generate profits. The average return on total capital over this period is approximately 55.38%, showcasing the company's ability to generate value for its capital providers. Overall, the company's performance in terms of return on total capital reflects a sound capital allocation strategy and efficient operational management.