Strategic Education Inc (STRA)

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	157,276	173,467	165,604	145,433	114,258	87,329	66,794	68,826	79,864	84,252	87,347	95,015	110,585	94,386	104,971	119,092	135,536	165,096	164,230	147,276
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	1,662,500	1,716,800	1,678,100	1,642,580	1,652,520	1,594,750	1,598,610	1,610,430	1,635,790	1,598,480	1,651,920	1,724,310	1,713,990	1,695,060	1,733,180	1,735,920	1,748,320	1,705,060	1,484,550	1,459,150
Return on total capital		9.46%	10.10%	9.87%	8.85%	6.91%	5.48%	4.18%	4.27%	4.88%	5.27%	5.29%	5.51%	6.45%	5.57%	6.06%	6.86%	7.75%	9.68%	11.06%	10.09%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $157,276K ÷ ($—K + $1,662,500K)
= 9.46%

Strategic Education Inc's return on total capital has shown some fluctuations over the period from March 31, 2020, to December 31, 2024. The return on total capital started at 10.09% in March 2020 and peaked at 11.06% in June 2020 before experiencing a slight decline. It then decreased further to 4.18% by June 30, 2023, before gradually recovering. The return on total capital stood at 9.46% as of December 31, 2024.

Overall, the trend indicates some variability in the company's efficiency in generating returns from its total capital over the analyzed period. It is crucial for Strategic Education Inc to monitor and evaluate factors contributing to these fluctuations to maintain sustainable and favorable returns in the future.