Tyler Technologies Inc (TYL)

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 299,526 275,588 256,696 240,535 218,537 211,500 208,478 203,361 214,249 221,590 216,861 198,395 180,735 180,719 174,191 177,241 172,926 170,047 160,444 155,769
Long-term debt US$ in thousands 597,934 597,502 597,069 596,638 596,206 705,170 839,074 838,517 957,389 1,046,190 1,233,090 1,292,180 1,311,280 805,535 927,559 591,483 0 0 0 0
Total stockholders’ equity US$ in thousands 3,388,420 3,275,110 3,132,110 3,023,140 2,938,000 2,852,850 2,768,250 2,686,130 2,624,390 2,547,300 2,458,330 2,387,730 2,324,030 2,200,770 2,107,990 2,060,990 1,986,110 1,898,140 1,829,330 1,712,830
Return on total capital 7.51% 7.12% 6.88% 6.65% 6.18% 5.94% 5.78% 5.77% 5.98% 6.17% 5.87% 5.39% 4.97% 6.01% 5.74% 6.68% 8.71% 8.96% 8.77% 9.09%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $299,526K ÷ ($597,934K + $3,388,420K)
= 7.51%

Tyler Technologies Inc's return on total capital has fluctuated over the past few years. It started at 9.09% in March 2020 and gradually declined to a low of 4.97% by December 2021. However, there has been a slight recovery since then, with the ratio showing an upward trend. By December 2024, the return on total capital had improved to 7.51%.

Overall, the company's return on total capital indicates its ability to generate profits from the capital invested in the business. The fluctuations in the ratio suggest potential shifts in the company's efficiency in utilizing its capital resources effectively to generate returns for its shareholders.