Biomarin Pharmaceutical Inc (BMRN)
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 | 504,846 | 368,864 | 300,419 | 254,532 | 205,898 | 166,541 | 123,868 | 88,013 | 165,546 | 116,750 | 71,685 | 50,948 | -60,013 | -39,396 | -48,725 | -100,923 | -19,688 | 19,572 | 83,950 | 83,146 |
| Long-term debt | US$ in thousands | 595,138 | 594,627 | 594,116 | 593,605 | 593,095 | 592,586 | 1,084,990 | 1,084,010 | 1,083,020 | 1,082,030 | 1,081,050 | 1,080,060 | 1,079,080 | 1,078,090 | 1,077,110 | 1,076,130 | 1,075,140 | 1,074,160 | 1,073,200 | 486,713 |
| Total stockholders’ equity | US$ in thousands | 5,657,990 | 5,413,400 | 5,286,300 | 5,073,820 | 4,951,550 | 4,896,900 | 4,782,830 | 4,659,040 | 4,603,160 | 4,568,510 | 4,499,740 | 4,386,240 | 4,265,670 | 4,261,080 | 4,236,500 | 4,162,010 | 4,100,930 | 4,053,890 | 3,236,680 | 3,239,960 |
| Return on total capital | 8.07% | 6.14% | 5.11% | 4.49% | 3.71% | 3.03% | 2.11% | 1.53% | 2.91% | 2.07% | 1.28% | 0.93% | -1.12% | -0.74% | -0.92% | -1.93% | -0.38% | 0.38% | 1.95% | 2.23% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $504,846K ÷ ($595,138K + $5,657,990K)
= 8.07%
Biomarin Pharmaceutical Inc's return on total capital has exhibited fluctuating trends over the analyzed period, indicating varying efficiency in generating returns from its total capital employed. The ratio started at a modest 2.23% in March 2020, followed by a decline to 1.95% in June 2020. Subsequently, there was a significant drop to 0.38% in September 2020, turning negative at -0.38% by December 2020.
The negative trend continued into 2021, with return on total capital plunging further to -1.93% in March 2021, before improving slightly to -0.92% in June 2021. Although there were some fluctuations, the ratio remained negative through September 2021, with -0.74% recorded.
The performance improved in the latter part of 2021 and into 2022, with the return on total capital turning positive at 0.93% in March 2022 and steadily rising to 8.07% by December 2024. This upward trend indicates a more efficient utilization of capital, with Biomarin Pharmaceutical Inc effectively increasing its returns relative to the total capital employed.
Overall, the positive trajectory observed in the return on total capital suggests enhanced operational efficiency and value creation by Biomarin Pharmaceutical Inc over the review period, reflecting positively on the company's financial performance and capital management strategies.
Peer comparison
Dec 31, 2024