Yelp Inc (YELP)
Return on total capital
| 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 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) (ttm) | US$ in thousands | 79,043 | 87,412 | 58,963 | 56,222 | 58,353 | 44,562 | 52,783 | 35,701 | 31,514 | 26,400 | 14,080 | -20,188 | -38,795 | -35,628 | -35,403 | 12,143 | 35,511 | 30,587 | 31,418 | 26,842 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 749,534 | 739,574 | 708,602 | 704,128 | 710,324 | 701,378 | 718,604 | 724,349 | 751,318 | 781,823 | 803,464 | 827,100 | 854,534 | 815,628 | 781,320 | 762,432 | 754,991 | 702,564 | 746,455 | 994,838 |
| Return on total capital | 10.55% | 11.82% | 8.32% | 7.98% | 8.21% | 6.35% | 7.35% | 4.93% | 4.19% | 3.38% | 1.75% | -2.44% | -4.54% | -4.37% | -4.53% | 1.59% | 4.70% | 4.35% | 4.21% | 2.70% |
December 31, 2023 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $79,043K ÷ ($—K + $749,534K)
= 10.55%
Yelp Inc's return on total capital has shown fluctuations over the past eight quarters. The company's performance ranged from a low of 4.93% in Q1 2022 to a high of 11.82% in Q3 2023, indicating variability in its ability to generate returns from its capital investment. The average return on total capital for this period is approximately 8.50%. The upward trend in recent quarters suggests an improvement in the company's capital efficiency and profitability. Further analysis and comparison with industry benchmarks could provide more insights into Yelp Inc's performance in utilizing its total capital effectively.
Peer comparison
Dec 31, 2023