Supernus Pharmaceuticals Inc (SUPN)
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 | -1 | 46,124 | 92,871 | 188,083 | 165,694 |
| Long-term debt | US$ in thousands | — | — | 379,252 | 361,751 | 345,170 |
| Total stockholders’ equity | US$ in thousands | 1 | 0 | 815,851 | 744,858 | 595,428 |
| Return on total capital | -100.00% | — | 7.77% | 17.00% | 17.62% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $-1K ÷ ($—K + $1K)
= -100.00%
Supernus Pharmaceuticals Inc's return on total capital has shown a declining trend over the last five years, with a notable decrease from 15.80% in 2019 to 1.45% in 2023. This indicates that the company may be facing challenges in generating sufficient returns relative to the total capital employed in its operations. A lower return on total capital could be a cause for concern as it suggests a decrease in the efficiency of the company in utilizing its capital to generate profits. The company may need to evaluate its capital allocation strategies and operational efficiency to improve its return on total capital in the future.
Peer comparison
Dec 31, 2023