Verra Mobility Corp (VRRM)
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 | 143,488 | 241,867 | 233,824 | 228,866 | 224,614 | 208,225 | 194,550 | 183,500 | 165,405 | 163,134 | 168,071 | 154,416 | 119,773 | 89,502 | 59,317 | 17,945 | 42,920 | 59,835 | 78,971 | 109,818 |
Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
Total stockholders’ equity | US$ in thousands | 265,125 | 486,546 | 438,627 | 448,995 | 421,467 | 404,056 | 465,300 | 237,108 | 231,070 | 194,891 | 244,223 | 275,815 | 259,964 | 243,666 | 316,425 | 308,518 | 346,438 | 343,922 | 331,750 | 344,400 |
Return on total capital | 54.12% | 49.71% | 53.31% | 50.97% | 53.29% | 51.53% | 41.81% | 77.39% | 71.58% | 83.71% | 68.82% | 55.99% | 46.07% | 36.73% | 18.75% | 5.82% | 12.39% | 17.40% | 23.80% | 31.89% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $143,488K ÷ ($—K + $265,125K)
= 54.12%
Verra Mobility Corp's return on total capital has demonstrated fluctuations over the periods from March 31, 2020, to December 31, 2024. The company's return on total capital was consistently high during the earlier periods, with a peak of 83.71% on September 30, 2022.
Subsequently, the return on total capital experienced a decline in the following quarters, dipping to 41.81% on June 30, 2023. However, the company managed to improve its performance, with the return on total capital rebounding to 77.39% on March 31, 2024.
Despite the fluctuations, Verra Mobility Corp's return on total capital remained relatively strong and above average, indicating efficient utilization of both equity and debt to generate profits. Investors and stakeholders may view the company favorably for its ability to generate returns on the total capital employed in its operations.
Peer comparison
Dec 31, 2024