Omnicell Inc (OMCL)
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 | -34,868 | -49,860 | -35,107 | -30,370 | -2,323 | 47,623 | 58,550 | 74,981 | 89,507 | 98,132 | 78,892 | 42,985 | 35,526 | 37,494 | 51,988 | 77,742 | 78,352 | 75,100 | 67,949 | 56,520 |
| Long-term debt | US$ in thousands | 569,662 | 568,887 | 568,114 | 567,342 | 566,571 | 565,803 | 565,035 | — | — | 482,822 | 477,554 | 472,347 | 467,201 | 462,115 | 0 | 0 | 50,000 | 77,135 | 76,562 | 96,990 |
| Total stockholders’ equity | US$ in thousands | 1,188,950 | 1,187,440 | 1,163,560 | 1,142,540 | 1,130,140 | 1,135,400 | 1,092,640 | 1,074,740 | 1,146,690 | 1,111,340 | 1,052,570 | 1,011,010 | 967,503 | 918,399 | 887,461 | 878,500 | 845,254 | 807,533 | 773,242 | 730,485 |
| Return on total capital | -1.98% | -2.84% | -2.03% | -1.78% | -0.14% | 2.80% | 3.53% | 6.98% | 7.81% | 6.16% | 5.16% | 2.90% | 2.48% | 2.72% | 5.86% | 8.85% | 8.75% | 8.49% | 8.00% | 6.83% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-34,868K ÷ ($569,662K + $1,188,950K)
= -1.98%
Omnicell, Inc.'s return on total capital has shown a declining trend over the past eight quarters. In the most recent quarter (Q4 2023), the return on total capital was -1.98%, which signifies that the company generated a negative return relative to its total capital employed. This decline follows a negative trend observed in the previous three quarters as well.
Comparing the current performance to the same quarter in the previous year (Q4 2022), it is evident that there has been a significant decrease in the return on total capital, from -0.14% to -1.98%. This suggests a deterioration in the company's ability to generate returns on the total capital invested in its operations.
It is important for investors and stakeholders to closely monitor Omnicell's return on total capital performance, as a consistently negative trend may indicate inefficiencies in capital allocation and utilization within the company. Further analysis of the underlying factors contributing to the decline in return on total capital is warranted to identify areas for improvement and enhance overall financial performance.
Peer comparison
Dec 31, 2023