Vericel Corp Ord (VCEL)
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 | 11,124 | -1,768 | -19,844 | -12,000 | 3,050 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | 291,967 | 225,952 | 192,272 | 170,462 | 134,260 |
| Return on total capital | 3.81% | -0.78% | -10.32% | -7.04% | 2.27% |
December 31, 2024 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $11,124K ÷ ($—K + $291,967K)
= 3.81%
Vericel Corp Ord's return on total capital has exhibited fluctuations over the years based on the data provided. As of December 31, 2020, the return on total capital stood at 2.27%, indicating a modest return on the company's invested capital. However, in the subsequent years, the company experienced a decline in its return on total capital, with negative figures recorded for December 31, 2021 (-7.04%), December 31, 2022 (-10.32%), and December 31, 2023 (-0.78%).
These negative returns suggest that the company's capital may not have been effectively utilized to generate profits during those periods. Nevertheless, there was a turnaround in the company's performance by December 31, 2024, with a return on total capital of 3.81%, indicating a positive return and potential improvement in the company's capital efficiency.
Overall, the trend in Vericel Corp Ord's return on total capital shows variability and highlights the importance of closely monitoring and managing the effective utilization of capital resources to drive profitability and sustainable growth in the long term.
Peer comparison
Dec 31, 2024