Charles River Laboratories (CRL)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 712,248 | 675,896 | 546,765 | 532,545 | 362,924 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 3,596,880 | 2,976,290 | 2,534,820 | 2,114,600 | 1,634,580 |
| Return on total capital | 19.80% | 22.71% | 21.57% | 25.18% | 22.20% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $712,248K ÷ ($—K + $3,596,880K)
= 19.80%
Charles River Laboratories has demonstrated consistent performance in generating returns on total capital over the past five years. The return on total capital decreased slightly from 22.71% in 2022 to 19.80% in 2023, but remained relatively high compared to previous years. This indicates that the company efficiently utilizes its capital to generate profits and create value for its stakeholders. Although there was a slight decline in 2023, it is important to further investigate the reasons behind this change to assess the company's overall financial health and performance.
Peer comparison
Dec 31, 2023