Protagonist Therapeutics Inc (PTGX)
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 | -93,652 | -131,373 | -125,845 | -64,252 | -77,709 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 336,677 | 215,608 | 300,021 | 279,606 | 79,964 |
| Return on total capital | -27.82% | -60.93% | -41.95% | -22.98% | -97.18% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $-93,652K ÷ ($—K + $336,677K)
= -27.82%
Protagonist Therapeutics Inc's return on total capital has shown mixed performance over the past five years. The return on total capital was -27.82% in 2023, an improvement from the previous year's -60.93% in 2022. However, the company's return on total capital remains negative, indicating that the company's capital investments are not generating sufficient returns.
The trend from 2020 to 2023 shows a fluctuating pattern in the company's ability to generate returns on its total capital. The significant decline in 2019, with a return on total capital of -97.18%, suggests poor capital allocation decisions or operational inefficiencies during that year.
Overall, Protagonist Therapeutics Inc's return on total capital indicates that the company may be facing challenges in efficiently utilizing its capital resources to generate adequate returns for its investors and stakeholders. Further analysis of the company's financial management strategies and operational performance may be warranted to address these persistent negative returns.
Peer comparison
Dec 31, 2023