Verisk Analytics Inc (VRSK)
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 | 1,253,200 | 1,214,400 | 1,178,200 | 1,143,500 | 1,131,100 | 1,141,000 | 1,136,400 | 1,115,600 | 1,067,600 | 981,300 | 993,600 | 997,800 | 1,001,600 | 1,058,500 | 1,044,900 | 1,036,500 | 1,035,800 | 989,700 | 784,600 | 743,400 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 100,100 | 299,600 | 430,300 | 282,200 | 310,000 | 384,500 | 294,000 | 68,400 | 1,749,300 | 1,989,000 | 2,351,900 | 2,658,600 | 2,816,500 | 2,714,400 | 2,753,500 | 2,756,300 | 2,698,200 | 2,421,300 | 2,176,100 | 2,080,500 |
| Return on total capital | 1,251.95% | 405.34% | 273.81% | 405.21% | 364.87% | 296.75% | 386.53% | 1,630.99% | 61.03% | 49.34% | 42.25% | 37.53% | 35.56% | 39.00% | 37.95% | 37.60% | 38.39% | 40.87% | 36.06% | 35.73% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,253,200K ÷ ($—K + $100,100K)
= 1,251.95%
Verisk Analytics Inc's return on total capital has shown significant volatility over the periods analyzed. The ratio increased steadily from March 2020 to June 2022, reaching a peak of 42.25%. This suggests that the company efficiently generated returns in relation to the total capital employed during this period.
However, there was a sharp increase in the return on total capital for the quarter ended March 2023 to an exceptionally high percentage of 1,630.99%, followed by another peak in December 2024 at 1,251.95%. These extremely high values may indicate anomalies or irregularities in the financial data, potentially arising from accounting adjustments or other factors.
Overall, the return on total capital for Verisk Analytics Inc has displayed fluctuations, and investors should exercise caution when interpreting the unusually high values reported in March 2023 and December 2024. Further analysis, including an examination of the underlying financial performance and capital structure of the company, is recommended to better understand the reasons behind these fluctuations in the return on total capital.
Peer comparison
Dec 31, 2024