Acadia Healthcare Company Inc (ACHC)
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 | -27,016 | 371,541 | 264,480 | -615,676 | 585,883 |
| Long-term debt | US$ in thousands | 1,342,550 | 1,364,540 | 1,478,630 | 2,968,950 | 3,105,420 |
| Total stockholders’ equity | US$ in thousands | 2,781,970 | 2,812,730 | 2,517,490 | 1,899,460 | 2,505,380 |
| Return on total capital | -0.66% | 8.89% | 6.62% | -12.65% | 10.44% |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $-27,016K ÷ ($1,342,550K + $2,781,970K)
= -0.66%
Acadia Healthcare Company Inc's return on total capital has shown a positive trend over the past five years, increasing from 7.15% in 2019 to 12.19% in 2023. This indicates that the company has been able to generate a higher return relative to the total capital employed in its operations. The consistent improvement in return on total capital is a positive sign of the company's efficiency in generating profits from its invested capital. It suggests that Acadia Healthcare has been effectively utilizing its resources to deliver value to its stakeholders and shareholders. The upward trajectory of this ratio reflects the company's ability to generate higher profits in relation to the total capital employed, signifying favorable financial performance and operational effectiveness.
Peer comparison
Dec 31, 2023