Inari Medical Inc (NARI)

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
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	4,442	2,813	-12,059	-23,989	-25,891	-19,401	-12,832	184	10,980	16,284	25,701	18,206
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	464,910	452,142	435,645	426,736	417,002	415,099	413,778	418,812	239,209	234,370	221,821	213,611	200,254	191,484	183,870
Return on total capital		0.96%	0.62%	-2.77%	-5.62%	-6.21%	-4.67%	-3.10%	0.04%	4.59%	6.95%	11.59%	8.52%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $4,442K ÷ ($—K + $464,910K)
= 0.96%

Inari Medical Inc's return on total capital has been negative for the last eight quarters, indicating that the company's capital investments have not been generating sufficient returns. The trend shows a consistent decline in the return on total capital, with Q1 2022 being the only quarter with a minimal positive return. Overall, the company has struggled to effectively utilize its capital to generate profits, which may raise concerns about its financial performance and efficiency in deploying capital resources. Further analysis and corrective actions may be needed to improve the company's return on total capital in the future.