Boston Scientific Corp (BSX)

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	2,343,000	2,161,000	1,826,000	1,735,000	1,649,000	1,427,000	1,456,000	1,295,000	1,199,000	1,069,000	477,000	144,000	-80,000	80,000	668,000	1,123,000	1,518,000	1,627,000	1,632,000	1,640,000
Long-term debt	US$ in thousands	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	19,282,000	18,886,000	18,226,000	17,850,000	17,573,000	17,640,000	17,251,000	16,735,000	16,623,000	16,461,000	15,942,000	15,720,000	15,327,000	15,564,000	15,616,000	13,804,000	13,877,000	9,698,000	9,424,000	9,232,000
Return on total capital		12.15%	11.44%	10.02%	9.72%	9.38%	8.09%	8.44%	7.74%	7.21%	6.49%	2.99%	0.92%	-0.52%	0.51%	4.28%	8.14%	10.94%	16.78%	17.32%	17.76%

December 31, 2023 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $2,343,000K ÷ ($—K + $19,282,000K)
= 12.15%

Boston Scientific Corp. has shown consistent improvement in its return on total capital over the past eight quarters. The return on total capital has steadily increased from 7.45% in Q1 2022 to 8.52% in Q4 2023. This indicates that the company has been effective in generating profits relative to the total capital employed in its operations. The gradual upward trend in return on total capital signifies that Boston Scientific Corp. has been able to efficiently utilize its capital resources to generate returns for its stakeholders. Overall, the company's performance in terms of return on total capital appears to be positive and trending in the right direction.