ViaSat Inc (VSAT)

Return on total capital

		Mar 31, 2025	Mar 31, 2024	Mar 31, 2023	Mar 31, 2022	Mar 31, 2021
Earnings before interest and tax (EBIT)	US$ in thousands	—	-793,548	-135,346	-108,519	-45,513
Long-term debt	US$ in thousands	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	4,553,830	5,025,430	3,824,310	2,633,870	2,351,470
Return on total capital		0.00%	-15.79%	-3.54%	-4.12%	-1.94%

March 31, 2025 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $—K ÷ ($—K + $4,553,830K)
= 0.00%

ViaSat Inc's return on total capital has been fluctuating over the past five years. The company's return on total capital was -1.94% as of March 31, 2021, indicating that for every dollar of total capital employed, the company generated a negative return of 1.94 cents.

This ratio decreased further to -4.12% as of March 31, 2022, reflecting a worsening performance in utilizing its total capital effectively. However, there was a slight improvement in the company's return on total capital to -3.54% as of March 31, 2023, although still negative.

The return on total capital took a significant downturn to -15.79% as of March 31, 2024, indicating a substantial decline in the company's ability to generate returns relative to its total capital base.

It is noteworthy that as of March 31, 2025, the return on total capital improved to 0.00%, suggesting that the company was able to generate no additional value from its total capital during that period.

Overall, the negative trend in ViaSat Inc's return on total capital over the past five years raises concerns about the company's efficiency in utilizing its capital resources to generate returns for its investors. Further analysis of the company's operations and financial strategies may be needed to improve its performance in this area.