Sabre Corpo (SABR)
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 | -45,630 | -148,744 | -133,539 | -236,764 | -131,746 | -205,301 | -316,449 | -384,815 | -685,263 | -773,327 | -859,865 | -1,067,654 | -1,077,312 | -803,776 | -429,494 | 41,365 | 350,309 | 418,377 | 444,343 | 496,482 |
| Long-term debt | US$ in thousands | 4,829,460 | 4,816,890 | 4,797,550 | 4,831,430 | 4,717,090 | 4,718,970 | 4,732,530 | 4,732,710 | 4,723,680 | 4,727,840 | 4,702,170 | 4,714,990 | 4,717,810 | 4,639,120 | 4,608,480 | 3,619,310 | 3,261,820 | 3,280,200 | 3,298,920 | 3,318,200 |
| Total stockholders’ equity | US$ in thousands | -1,388,480 | -1,294,880 | -1,095,220 | -975,597 | -884,327 | -742,964 | -616,773 | -447,048 | -508,907 | -363,762 | -167,763 | 24,227 | 355,604 | 631,999 | 316,722 | 673,340 | 939,081 | 948,188 | 912,536 | 957,500 |
| Return on total capital | -1.33% | -4.22% | -3.61% | -6.14% | -3.44% | -5.16% | -7.69% | -8.98% | -16.26% | -17.72% | -18.96% | -22.53% | -21.23% | -15.25% | -8.72% | 0.96% | 8.34% | 9.89% | 10.55% | 11.61% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-45,630K ÷ ($4,829,460K + $-1,388,480K)
= -1.33%
Sabre Corp's return on total capital has shown fluctuations over the past eight quarters. In Q4 2023, the return on total capital was 1.43%, marking a slight improvement from the negative figures in the previous three quarters. Despite this improvement, the return on total capital remains relatively low compared to historical levels.
The trend of negative returns on total capital from Q1 2022 to Q3 2023 indicates that Sabre Corp has been experiencing challenges in generating returns on its total capital relative to the investments made in the business. This trend suggests potential inefficiencies in capital allocation and utilization.
Further analysis and investigation into the factors impacting the return on total capital, such as profitability, asset efficiency, and capital structure, are needed to identify areas for improvement and strategic decision-making to enhance overall financial performance and value creation for Sabre Corp.
Peer comparison
Dec 31, 2023