NeoGenomics Inc (NEO)
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 | -74,058 | -73,159 | -76,897 | -83,292 | -87,685 | -98,927 | -118,492 | -134,448 | -156,087 | -190,599 | -172,963 | -58,923 | -26,856 | 42,264 | 68,818 | -17,022 | -2,131 | -9,077 | -10,063 | 5,927 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 902,339 | 908,210 | 915,884 | 923,410 | 941,537 | 947,428 | 956,192 | 974,462 | 998,023 | 1,012,990 | 1,043,520 | 1,075,000 | 1,108,280 | 1,137,240 | 1,148,360 | 843,714 | 694,294 | 666,363 | 654,229 | 505,043 |
| Return on total capital | -8.21% | -8.06% | -8.40% | -9.02% | -9.31% | -10.44% | -12.39% | -13.80% | -15.64% | -18.82% | -16.57% | -5.48% | -2.42% | 3.72% | 5.99% | -2.02% | -0.31% | -1.36% | -1.54% | 1.17% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-74,058K ÷ ($—K + $902,339K)
= -8.21%
NeoGenomics Inc's return on total capital has shown a declining trend over the past few years based on the provided data. The return on total capital was positive at 1.17% as of March 31, 2020, but turned negative in subsequent quarters and continued to decrease.
The company experienced a significant decline in return on total capital reaching a low of -18.82% as of September 30, 2022. Although there were slight improvements in the return on total capital in some quarters, such as in June 30, 2021 (5.99%) and September 30, 2021 (3.72%), the overall trend remained negative.
As of December 31, 2024, the return on total capital stood at -8.21%. This negative trend indicates that NeoGenomics Inc may be facing challenges in generating returns from the total capital employed in its operations. It suggests that the company may need to review its capital allocation strategies and operational efficiency to improve its return on capital in the future.