Fulgent Genetics Inc (FLGT)
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 | -195,529 | 185,851 | 682,276 | 286,862 | -428 |
| Long-term debt | US$ in thousands | 2,964 | 3,372 | — | — | — |
| Total stockholders’ equity | US$ in thousands | 1,136,100 | 1,266,680 | 1,158,750 | 569,387 | 82,777 |
| Return on total capital | -17.17% | 14.63% | 58.88% | 50.38% | -0.52% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $-195,529K ÷ ($2,964K + $1,136,100K)
= -17.17%
Fulgent Genetics Inc's return on total capital has fluctuated significantly over the past five years. In 2023, the return on total capital was negative at -6.62%, indicating that the company experienced a loss on the capital invested. This marks a drastic decline from the previous year, where the return on total capital was 14.10%.
The highest return on total capital was observed in 2021 at 57.28%, followed closely by 2020 at 49.57%, showcasing strong performance in utilizing capital to generate profits during those years. However, there was a notable decrease in 2019, with a negative return on total capital of -1.46%.
Overall, the fluctuating trend in Fulgent Genetics Inc's return on total capital suggests variability in the company's efficiency in generating profits from the total capital employed over the years. Further analysis and investigation into the factors driving these fluctuations would be necessary to understand the dynamics behind the company's performance.
Peer comparison
Dec 31, 2023