Balchem Corporation (BCPC)

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	182,849	174,104	169,209	167,875	160,993	153,900	146,127	142,776	145,878	148,701	146,804	125,274	118,202	112,791	109,375	117,057	111,979	106,680	102,805	102,170
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	1,149,910	1,177,230	1,112,360	1,078,790	1,053,980	1,025,270	1,006,900	973,416	938,284	895,922	901,370	873,682	877,015	889,078	869,642	849,492	828,233	819,443	792,523	766,271
Return on total capital		15.90%	14.79%	15.21%	15.56%	15.27%	15.01%	14.51%	14.67%	15.55%	16.60%	16.29%	14.34%	13.48%	12.69%	12.58%	13.78%	13.52%	13.02%	12.97%	13.33%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $182,849K ÷ ($—K + $1,149,910K)
= 15.90%

Balchem Corporation's return on total capital has exhibited some fluctuations over the period analyzed. The return on total capital increased from 13.33% as of March 31, 2020, to a peak of 16.60% by September 30, 2022. Subsequently, there was a slight decline before the ratio increased again to 15.90% as of December 31, 2024.

Overall, the company's return on total capital remained relatively healthy throughout the period, indicating efficient utilization of both debt and equity to generate profits. The upward trend in recent periods suggests improved effectiveness in deploying capital to generate returns.

It is essential for investors and stakeholders to monitor this ratio closely to assess the company's ability to generate earnings relative to the total capital employed and to evaluate the overall financial health and performance of Balchem Corporation.