Robert Half International Inc (RHI)

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 555,493 640,075 733,838 827,757 890,614 914,484 918,781 882,839 805,825 712,941 587,591 441,251 421,758 445,264 505,513 606,666 621,751 622,431 610,678 600,787
Long-term debt US$ in thousands 0 62 122 181 239 295 350 404
Total stockholders’ equity US$ in thousands 1,588,350 1,579,970 1,625,270 1,598,480 1,568,560 1,490,920 1,467,670 1,452,770 1,381,050 1,316,040 1,259,250 1,197,700 1,205,290 1,194,030 1,156,710 1,129,920 1,143,680 1,111,830 1,109,230 1,077,030
Return on total capital 34.97% 40.51% 45.15% 51.78% 56.78% 61.34% 62.60% 60.77% 58.35% 54.17% 46.66% 36.84% 34.99% 37.29% 43.70% 53.68% 54.35% 55.97% 55.04% 55.76%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $555,493K ÷ ($—K + $1,588,350K)
= 34.97%

Robert Half Inc's return on total capital has demonstrated a downward trend over the past eight quarters, decreasing from 64.70% in Q2 2022 to 29.25% in Q4 2023. This decline may indicate deteriorating efficiency in generating profits relative to the total capital employed by the company. The decreasing trend suggests that the company may be facing challenges in optimizing its capital allocation and operational performance. Further analysis is recommended to identify the root causes of the declining return on total capital and to implement strategic measures to improve performance and sustainable profitability.


Peer comparison

Dec 31, 2023