Robert Half International Inc (RHI)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 555,493 | 890,614 | 805,824 | 421,758 | 621,751 |
| Long-term debt | US$ in thousands | — | — | — | 0 | 239 |
| Total stockholders’ equity | US$ in thousands | 1,588,350 | 1,568,560 | 1,381,050 | 1,205,290 | 1,143,680 |
| Return on total capital | 34.97% | 56.78% | 58.35% | 34.99% | 54.35% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $555,493K ÷ ($—K + $1,588,350K)
= 34.97%
The return on total capital for Robert Half Inc has varied over the past five years. In 2023, the company achieved a return on total capital of 29.25%, representing a significant decrease from the previous year's figure of 62.16%. This decline may indicate some challenges or changes in the company's operations or financial performance. However, it is important to note that the return on total capital in 2023 is still relatively strong compared to the figures in 2020 and 2019, which were 28.65% and 54.22%, respectively. Overall, the fluctuation in return on total capital suggests that Robert Half Inc's ability to generate earnings from its total capital has been somewhat inconsistent in recent years.
Peer comparison
Dec 31, 2023