Balchem Corporation (BCPC)

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	159,193	154,163	144,174	141,258	145,186	145,702	144,590	135,263	127,502	122,605	119,120	115,444	111,147	105,864	102,866	102,351	102,553	106,146	105,446	106,373
Long-term debt	US$ in thousands	326,146	395,926	420,908	460,660	440,569	477,442	448,853	143,674	122,281	122,080	136,265	165,914	174,086	203,373	227,508	262,247	256,396	227,169	237,008	147,699
Total stockholders’ equity	US$ in thousands	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	743,667	733,586	732,345	710,509
Return on total capital		11.53%	10.85%	10.10%	9.85%	10.53%	10.61%	10.71%	13.30%	12.76%	12.13%	11.84%	11.37%	11.09%	10.35%	10.08%	9.95%	10.25%	11.05%	10.88%	12.39%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $159,193K ÷ ($326,146K + $1,053,980K)
= 11.53%

Based on the data provided, Balchem Corp.'s return on total capital has shown some fluctuations over the past eight quarters. The return on total capital ranged from a low of 10.04% in Q1 2023 to a high of 13.46% in Q1 2022.

The return on total capital indicates the company's ability to generate profits from the total capital employed, including both debt and equity. Balchem Corp.'s return on total capital has generally been above 10% over the past eight quarters, which suggests that the company has been efficient in utilizing its capital to generate returns for its shareholders.

Although there was some variability in the return on total capital, it is important to consider the reasons behind these fluctuations. It would be beneficial to further analyze the company's financial performance, capital structure, and business operations to understand the factors influencing the return on total capital over the given period.