RadNet Inc (RDNT)
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 | 98,697 | 95,965 | 59,638 | 54,755 | 46,365 | 29,415 | 55,061 | 63,181 | 82,553 | 98,805 | 89,610 | 62,111 | 35,682 | 38,552 | 32,027 | 53,832 | 69,878 | 45,560 | 45,158 | 39,044 |
| Long-term debt | US$ in thousands | 812,068 | 844,302 | 848,333 | 852,354 | 839,344 | 735,500 | 737,916 | 740,707 | 743,498 | 746,288 | 749,079 | 602,684 | 612,913 | 627,226 | 634,960 | 723,049 | 652,979 | 662,956 | 672,979 | 631,412 |
| Total stockholders’ equity | US$ in thousands | 630,695 | 618,901 | 593,159 | 327,922 | 332,995 | 313,006 | 312,183 | 298,847 | 228,904 | 224,837 | 197,064 | 184,358 | 165,743 | 157,205 | 147,808 | 123,375 | 151,685 | 134,663 | 133,918 | 135,900 |
| Return on total capital | 6.84% | 6.56% | 4.14% | 4.64% | 3.95% | 2.81% | 5.24% | 6.08% | 8.49% | 10.17% | 9.47% | 7.89% | 4.58% | 4.91% | 4.09% | 6.36% | 8.68% | 5.71% | 5.60% | 5.09% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $98,697K ÷ ($812,068K + $630,695K)
= 6.84%
Radnet Inc's return on total capital has shown variability over the past eight quarters. The return on total capital ranged from a low of 4.96% in Q2 2023 to a high of 9.09% in Q1 2022. The return on total capital has been generally within the range of 5.08% to 6.81% in the most recent quarters.
Overall, Radnet Inc's return on total capital has exhibited moderate fluctuations, with a downward trend in the most recent quarters compared to the higher returns observed in the earlier quarters of 2022. This suggests that the company may need to focus on optimizing its capital utilization and efficiency to improve its overall return on capital in the future.
Peer comparison
Dec 31, 2023