Tennant Company (TNC)
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 | 114,200 | 131,800 | 134,800 | 138,500 | 136,900 | 128,700 | 116,500 | 96,400 | 75,100 | 58,100 | 60,300 | 58,100 | 80,600 | 76,400 | 71,800 | 74,700 | 53,100 | 63,800 | 67,200 | 52,200 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 620,800 | 647,200 | 624,600 | 614,600 | 577,000 | 545,000 | 520,600 | 491,900 | 470,800 | 425,200 | 432,700 | 436,000 | 433,800 | 441,800 | 436,200 | 420,100 | 404,800 | 393,900 | 371,700 | 357,300 |
| Return on total capital | 18.40% | 20.36% | 21.58% | 22.53% | 23.73% | 23.61% | 22.38% | 19.60% | 15.95% | 13.66% | 13.94% | 13.33% | 18.58% | 17.29% | 16.46% | 17.78% | 13.12% | 16.20% | 18.08% | 14.61% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $114,200K ÷ ($—K + $620,800K)
= 18.40%
Tennant Company's return on total capital has shown fluctuations over the given period from March 31, 2020, to December 31, 2024. The return on total capital ranged between 13.12% to 23.73% during this time frame.
Initially, the return on total capital started at 14.61% on March 31, 2020, and increased to peak at 23.73% on December 31, 2023. This indicates an improving efficiency in generating profits relative to the total capital employed by the company.
However, there were periods of decline in the return on total capital as well, with percentages dropping to as low as 13.12% on December 31, 2020, and 13.33% on March 31, 2022.
Overall, the return on total capital exhibited volatility but generally trended upwards, showing improvements in the company's ability to generate returns relative to its capital base. The recent data as of December 31, 2024, indicates a return on total capital of 18.40%, reflecting a stable performance at the end of the analyzed period.
Peer comparison
Dec 31, 2024