TTM Technologies Inc (TTMI)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 48,421 | 228,380 | 115,528 | 220,800 | 125,793 |
| Long-term debt | US$ in thousands | 914,336 | 879,407 | 927,818 | 842,853 | 1,225,960 |
| Total stockholders’ equity | US$ in thousands | 1,511,040 | 1,535,580 | 1,455,420 | 1,444,010 | 1,279,040 |
| Return on total capital | 2.00% | 9.46% | 4.85% | 9.66% | 5.02% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $48,421K ÷ ($914,336K + $1,511,040K)
= 2.00%
TTM Technologies Inc's return on total capital has shown variability over the past five years. The company's return on total capital was 2.00% in 2023, a significant decrease from 9.46% in 2022. This decline suggests that the company may have faced challenges in generating profits relative to its total capital employed.
Looking further back, in 2021, TTM Technologies Inc had a return on total capital of 4.85%, which was lower than the 9.66% recorded in 2020. However, the return improved from 2019 when it was at 5.02%.
The fluctuations in TTM Technologies Inc's return on total capital could indicate changes in the company's efficiency in generating profits from its invested capital over the years. It may be worth further investigation to understand the underlying reasons for these fluctuations to assess the company's financial performance and sustainability.
Peer comparison
Dec 31, 2023