Cactus Inc (WHD)

Return on total capital

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	277,228	264,366	234,034	197,727	193,446	174,748	152,239	121,709	94,782	75,427	58,138	49,928	41,489	70,039	97,701	132,268	174,843	183,150	169,170	149,204
Long-term debt	US$ in thousands	—	—	—	30,000	111,967	0	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	893,366	865,522	821,008	760,806	737,253	571,917	544,239	517,239	492,323	468,644	456,871	441,970	405,959	352,970	351,019	346,746	342,458	327,466	312,325	293,031
Return on total capital		31.03%	30.54%	28.51%	25.00%	22.78%	30.55%	27.97%	23.53%	19.25%	16.09%	12.73%	11.30%	10.22%	19.84%	27.83%	38.15%	51.06%	55.93%	54.16%	50.92%

March 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $277,228K ÷ ($—K + $893,366K)
= 31.03%

The return on total capital for Cactus Inc has shown a positive trend over the years, indicating the company's ability to generate profits relative to its total capital employed. The ratio has consistently increased from 10.22% in March 2021 to 31.03% in March 2024. This improvement suggests that the company is becoming more efficient in utilizing its capital to generate returns for its investors. The upward trend in the return on total capital is a positive sign of the company's financial performance and management effectiveness in driving profitability.