Amphastar P (AMPH)
Return on total capital
Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
---|---|---|---|---|---|---|
Earnings before interest and tax (EBIT) | US$ in thousands | 205,419 | 196,536 | 116,709 | 83,631 | 5,317 |
Long-term debt | US$ in thousands | 613,532 | 603,174 | 76,642 | 78,185 | 45,923 |
Total stockholders’ equity | US$ in thousands | 732,298 | 639,421 | 528,658 | 445,522 | 402,306 |
Return on total capital | 15.26% | 15.82% | 19.28% | 15.97% | 1.19% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $205,419K ÷ ($613,532K + $732,298K)
= 15.26%
Amphastar P's return on total capital has shown a notable improvement over the past years. It stood at 1.19% on December 31, 2020, and increased significantly to 15.97% by December 31, 2021. The trend continued upwards, reaching 19.28% by December 31, 2022. Although there was a slight decrease to 15.82% by December 31, 2023, the return on total capital remained relatively strong at 15.26% by December 31, 2024. This consistent growth in return on total capital indicates that Amphastar P is effectively utilizing its total capital to generate profits and create value for its stakeholders. It reflects the company's ability to generate returns from the total pool of invested capital, showcasing efficiency and profitability in its operations.
Peer comparison
Dec 31, 2024