Power Integrations Inc (POWI)
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 | 17,929 | 12,959 | 19,089 | 29,772 | 35,059 | 57,002 | 87,661 | 135,122 | 180,412 | 203,824 | 201,045 | 185,919 | 175,058 | 158,481 | 127,630 | 95,579 | 70,487 | 226,403 | 229,160 | 225,995 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 749,772 | 749,213 | 730,742 | 738,178 | 752,241 | 785,057 | 767,929 | 762,302 | 755,216 | 750,282 | 710,245 | 820,573 | 912,032 | 908,356 | 870,344 | 853,823 | 810,411 | 779,797 | 759,472 | 743,830 |
| Return on total capital | 2.39% | 1.73% | 2.61% | 4.03% | 4.66% | 7.26% | 11.42% | 17.73% | 23.89% | 27.17% | 28.31% | 22.66% | 19.19% | 17.45% | 14.66% | 11.19% | 8.70% | 29.03% | 30.17% | 30.38% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $17,929K ÷ ($—K + $749,772K)
= 2.39%
The return on total capital for Power Integrations Inc has shown significant fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio started at a relatively high level of 30.38% in March 2020 and gradually decreased to 8.70% by December 2020.
However, there was a notable recovery in the following periods, with the return on total capital increasing to 19.19% by December 2021. Subsequently, there was a steady upward trend observed until June 2022, reaching a peak of 28.31%.
From September 2022 onwards, the return on total capital began to decline, dropping to 1.73% by September 30, 2024. Despite a slight increase to 2.39% by December 31, 2024, the overall trend suggests a decreasing trend in the return on total capital.
These fluctuations in the return on total capital indicate varying levels of efficiency in utilizing the total capital employed by Power Integrations Inc over the analyzed period.
Peer comparison
Dec 31, 2024