Wabash National Corporation (WNC)
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 | -355,919 | -294,910 | 216,048 | 274,600 | 315,189 | 308,895 | 284,133 | 216,729 | 166,918 | 81,710 | 47,098 | 29,767 | 21,130 | 66,293 | 56,469 | 42,201 | -79,574 | -59,739 | -28,576 | 15,734 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 188,830 | 200,520 | 550,425 | 546,086 | 549,496 | 518,687 | 481,024 | 424,443 | 397,613 | 360,102 | 338,171 | 342,253 | 325,539 | 386,194 | 399,980 | 402,302 | 404,879 | 397,365 | 393,217 | 393,969 |
| Return on total capital | -188.49% | -147.07% | 39.25% | 50.29% | 57.36% | 59.55% | 59.07% | 51.06% | 41.98% | 22.69% | 13.93% | 8.70% | 6.49% | 17.17% | 14.12% | 10.49% | -19.65% | -15.03% | -7.27% | 3.99% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-355,919K ÷ ($—K + $188,830K)
= -188.49%
The return on total capital of Wabash National Corporation has experienced fluctuations over the period from March 31, 2020, to December 31, 2024. The ratio started at 3.99% in March 2020 and declined to negative figures in subsequent quarters, reaching its lowest point of -188.49% in December 2024.
After the decline, there was a significant improvement in performance, with the return on total capital increasing to 59.07% in June 2023. This positive trend continued, reaching its peak at 59.55% in September 2023. However, there was a slight decline in the following quarters, with the ratio stabilizing in the range of 39.25% to 51.06% up to March 2024.
The performance deteriorated significantly in the third quarter of 2024, with the return on total capital plummeting to -147.07%. This decline worsened in the fourth quarter of 2024, falling to a low of -188.49%. Such negative values indicate that the company's capital allocation and utilization may not be generating sufficient returns to cover the cost of capital during those periods.
Overall, the return on total capital for Wabash National Corporation has shown variability, with periods of both positive and negative performance. It is essential for investors and analysts to monitor these fluctuations closely to understand the company's efficiency in utilizing its total capital in generating profits.