International Flavors & Fragrances Inc (IFF)
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 | 583,000 | -1,969,000 | -1,969,000 | -2,065,000 | -2,138,000 | 576,000 | -1,546,000 | -1,507,000 | -1,277,000 | -1,208,000 | 1,066,000 | 980,000 | 634,000 | 594,939 | 414,068 | 429,981 | 606,413 | 631,116 | 681,134 | 748,079 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 28,667,000 | 14,775,000 | 14,254,000 | 14,291,000 | 14,611,000 | 17,009,000 | 17,655,000 | 17,790,000 | 17,734,000 | 16,921,000 | 20,260,000 | 20,933,000 | 21,118,000 | 21,426,000 | 21,761,000 | 21,642,000 | 6,323,040 | 6,078,210 | 5,987,800 | 5,840,670 |
| Return on total capital | 2.03% | -13.33% | -13.81% | -14.45% | -14.63% | 3.39% | -8.76% | -8.47% | -7.20% | -7.14% | 5.26% | 4.68% | 3.00% | 2.78% | 1.90% | 1.99% | 9.59% | 10.38% | 11.38% | 12.81% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $583,000K ÷ ($—K + $28,667,000K)
= 2.03%
International Flavors & Fragrances Inc's return on total capital has shown a declining trend over the period from March 31, 2020, to December 31, 2024. The ratio decreased from 12.81% in March 2020 to -13.33% in September 2024 before improving slightly to 2.03% in December 2024.
The company's return on total capital ranged from positive double-digit percentages to negative percentages during this period, indicating fluctuations in the profitability and efficiency of the capital utilization. The negative values suggest that the company's capital investments may not have been generating adequate returns during certain periods.
Investors and stakeholders should closely monitor this trend and assess the reasons behind the negative returns to understand the factors impacting the company's financial performance and sustainability.
Peer comparison
Dec 31, 2024