Thryv Holdings Inc (THRY)
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 | -10,008 | 3,854 | 58,566 | 63,067 | 57,453 | 76,407 | 142,705 | 197,160 | 218,082 | 160,372 | 195,266 | 167,221 | 179,501 | 197,190 | 123,616 | 137,136 | 134,590 | 113,352 | 176,944 | 167,221 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 196,920 | 94,532 | 183,060 | 167,066 | 152,700 | 397,096 | 404,326 | 395,053 | 382,267 | 421,926 | 411,614 | 356,441 | 314,715 | 304,445 | 269,703 | 229,196 | 196,775 | 36,855 | 36,500 | 33,892 |
| Return on total capital | -5.08% | 4.08% | 31.99% | 37.75% | 37.62% | 19.24% | 35.29% | 49.91% | 57.05% | 38.01% | 47.44% | 46.91% | 57.04% | 64.77% | 45.83% | 59.83% | 68.40% | 307.56% | 484.78% | 493.39% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-10,008K ÷ ($—K + $196,920K)
= -5.08%
Thryv Holdings Inc's return on total capital has shown a significant fluctuation over the reported periods. The ratio was exceptionally high in the first half of 2020, exceeding 300%, indicating a robust ability to generate profits in relation to the total capital employed. However, there was a notable decline starting from the end of 2020 through the first half of 2021, with the ratio dropping to below 70%.
Throughout 2021 and into early 2022, the return on total capital continued to decline gradually, reflecting a decreasing efficiency in capital utilization. By mid-2022, there was a slight increase, but the ratio remained below 50%. Over the subsequent reporting periods, the return on total capital fluctuated within a narrower range, hovering between 30% and 60%.
Towards the end of 2024, the ratio experienced a sharp decline, dropping to 4.08% in September and turning negative at -5.08% by December. This negative trend suggests a deterioration in the company's ability to generate earnings in relation to the total capital invested, raising concerns about the company's financial performance and capital efficiency.
Overall, the analysis highlights the volatile nature of Thryv Holdings Inc's return on total capital, indicating the company's varying effectiveness in utilizing its capital resources to generate profits.