National HealthCare Corporation (NHC)
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 | 90,572 | 61,714 | 43,909 | 25,843 | 30,262 | 42,978 | 39,170 | 142,318 | 150,386 | 166,798 | 187,563 | 118,512 | 53,703 | 35,287 | 45,154 | 25,733 | 91,385 | 97,948 | 98,568 | 110,784 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | 0 | 0 | 0 | 0 | 30,000 | 55,000 | 55,000 |
| Total stockholders’ equity | US$ in thousands | 908,752 | 885,171 | 883,922 | 877,102 | 874,276 | 877,311 | 897,915 | 905,319 | 903,004 | 895,677 | 906,841 | 807,064 | 795,177 | 773,960 | 768,052 | 742,562 | 778,593 | 771,570 | 759,152 | 749,574 |
| Return on total capital | 9.97% | 6.97% | 4.97% | 2.95% | 3.46% | 4.90% | 4.36% | 15.72% | 16.65% | 18.62% | 20.68% | 14.68% | 6.75% | 4.56% | 5.88% | 3.47% | 11.74% | 12.22% | 12.11% | 13.77% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $90,572K ÷ ($—K + $908,752K)
= 9.97%
National Healthcare Corp.'s return on total capital has shown a consistent positive trend over the last eight quarters. The company's return on total capital has gradually increased from 1.13% in Q1 2022 to 5.85% in Q4 2023, indicating an improvement in the company's ability to generate profits from its total invested capital. This upward trend suggests that the company's operational efficiency and profitability have been strengthening over the period under review. It is commendable that the return on total capital has steadily increased, reflecting positively on the company's financial performance and overall profitability.
Peer comparison
Dec 31, 2023