Monster Beverage Corp (MNST)
Return on total capital
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 1,930,290 | 1,884,460 | 1,584,720 | 1,797,470 | 1,633,150 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 5,957,720 | 8,228,740 | 7,025,040 | 6,566,950 | 5,160,860 |
| Return on total capital | 32.40% | 22.90% | 22.56% | 27.37% | 31.64% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $1,930,290K ÷ ($—K + $5,957,720K)
= 32.40%
Based on the provided data, Monster Beverage Corp's return on total capital has experienced fluctuations over the period from December 31, 2020, to December 31, 2024. The return on total capital stood at 31.64% as of December 31, 2020, decreasing to 27.37% by December 31, 2021. Subsequently, there was a further decline to 22.56% as of December 31, 2022, before a slight increase to 22.90% by December 31, 2023. Notably, there was a significant improvement in the return on total capital to 32.40% as of December 31, 2024, indicating a positive trend in the company's ability to generate returns relative to its total capital employed. Overall, the fluctuating trend in return on total capital suggests varying efficiency in utilizing capital resources during the period under review.
Peer comparison
Dec 31, 2024