Moderna Inc (MRNA)
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 | -3,583,000 | -2,399,000 | -4,374,000 | -4,837,000 | -3,974,000 | -2,400,000 | 714,000 | 4,897,000 | 9,420,000 | 13,250,000 | 15,640,000 | 16,261,000 | 13,297,000 | 7,619,496 | 3,833,558 | 650,875 | -734,623 | -589,533 | -481,389 | -500,532 |
| Long-term debt | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 10,901,000 | 11,927,000 | 11,712,000 | 12,817,000 | 13,854,000 | 13,455,000 | 16,949,000 | 18,863,000 | 19,123,000 | 17,992,000 | 17,985,000 | 17,075,000 | 14,145,000 | 10,124,000 | 6,704,000 | 3,838,000 | 2,561,000 | 2,759,800 | 2,946,880 | 1,640,870 |
| Return on total capital | -32.87% | -20.11% | -37.35% | -37.74% | -28.68% | -17.84% | 4.21% | 25.96% | 49.26% | 73.64% | 86.96% | 95.23% | 94.00% | 75.26% | 57.18% | 16.96% | -28.69% | -21.36% | -16.34% | -30.50% |
December 31, 2024 calculation
Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $-3,583,000K ÷ ($—K + $10,901,000K)
= -32.87%
Moderna Inc's return on total capital has shown a fluctuating trend over the past few years. The ratio was negative throughout 2020, indicating that the company's capital investments were not generating sufficient returns during that period. However, there has been a significant improvement in the return on total capital since March 2021, with the ratio turning positive and exhibiting an upward trajectory.
Notably, the return on total capital increased steadily from March 2021 to June 2022, reaching a peak of 95.23% in March 2022. This strong performance indicates that Moderna Inc was effectively utilizing its capital to generate profits during this period. However, there was a decline in the ratio in the subsequent quarters of 2022 and 2023, with some negative returns recorded.
By the end of 2024, Moderna Inc's return on total capital stood at -32.87%, indicating a decline in the company's ability to generate returns on its total capital investments. This negative trend in the ratio suggests the need for the company to reassess its capital allocation strategies and operational efficiency to enhance profitability and maximize shareholder value.
Peer comparison
Dec 31, 2024