Myriad Genetics Inc (MYGN)

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	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	-153,500	-232,600	-259,300	-279,100	-262,300	-164,000	-137,400	-129,200	-44,900	-29,400	-50,500	-48,300	-144,500	-271,500	-233,800	-212,400	-161,500	-26,200	-10,300	12,200
Long-term debt	US$ in thousands	38,800	38,700	38,500	38,500	38,400	—	0	—	—	—	0	0	0	—	—	224,400	225,200	225,100	225,000	233,500
Total stockholders’ equity	US$ in thousands	740,500	760,000	783,200	683,400	735,200	835,200	885,800	916,600	947,400	950,100	967,800	968,600	902,500	875,200	909,300	918,200	967,200	1,077,200	1,074,500	1,088,900
Return on total capital		-19.70%	-29.12%	-31.56%	-38.66%	-33.91%	-19.64%	-15.51%	-14.10%	-4.74%	-3.09%	-5.22%	-4.99%	-16.01%	-31.02%	-25.71%	-18.59%	-13.54%	-2.01%	-0.79%	0.92%

June 30, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-153,500K ÷ ($38,800K + $740,500K)
= -19.70%

Myriad Genetics Inc's return on total capital has fluctuated over the past few quarters. It has ranged from negative 38.66% to positive 0.92%. However, on average, the return on total capital has been negative, indicating that the company has not been effectively utilizing its capital to generate sufficient returns for its shareholders.

The negative returns suggest that the company may be facing challenges in generating profits relative to the capital invested. This could be attributed to various factors such as low efficiency in operations, high debt levels, or ineffective capital allocation strategies.

Overall, Myriad Genetics Inc's return on total capital has been volatile and predominantly negative in recent quarters, highlighting the need for the company to address its operational performance and capital management to improve profitability and shareholder value.