Organon & Co (OGN)

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
Earnings before interest and tax (EBIT) (ttm) US$ in thousands 1,374,000 1,427,000 1,326,000 1,349,000 1,302,000 1,215,000 1,402,000 1,481,000 1,653,000 1,760,000 1,858,000 1,910,000 1,837,000 1,962,000 2,148,000 2,359,000 2,798,000
Long-term debt US$ in thousands
Total stockholders’ equity US$ in thousands 472,000 493,000 144,000 48,000 -70,000 -589,000 -555,000 -737,000 -892,000 -1,066,000 -1,137,000 -1,250,000 -1,508,000 -1,618,000 -1,934,000 4,722,000 -820,000
Return on total capital 291.10% 289.45% 920.83% 2,810.42% 49.96%

December 31, 2024 calculation

Return on total capital = EBIT (ttm) ÷ (Long-term debt + Total stockholders’ equity)
= $1,374,000K ÷ ($—K + $472,000K)
= 291.10%

Organon & Co's return on total capital has shown significant fluctuations over the specified periods. The data provided in the JSON indicates that the return on total capital was not available for the full year of 2020 and most of 2021. However, there was a notable increase in the return on total capital in subsequent periods.

The return on total capital for the quarter ending March 31, 2021, was 49.96%, showing a substantial jump compared to the previous periods. This signifies that the company was able to generate higher profits relative to the total capital employed during that quarter.

The return on total capital further surged dramatically to 2,810.42% for the quarter ending March 31, 2024. This exceptionally high figure may indicate either an exceptional one-time profit or a significant reduction in capital employed during that quarter.

Subsequently, the return on total capital exhibited some fluctuations but remained relatively high at 920.83% for the quarter ending June 30, 2024. This was followed by a slight decrease to 289.45% for the quarter ending September 30, 2024, and a marginal increase to 291.10% for the quarter ending December 31, 2024.

Overall, the return on total capital for Organon & Co has shown significant variability, with some quarters demonstrating exceptionally high returns that may warrant further investigation into the underlying factors driving such performance.