Addus HomeCare Corporation (ADUS)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 32.31% | 31.77% | 31.39% | 29.67% | 27.69% |
| Operating profit margin | 8.65% | 7.29% | 7.67% | 5.84% | 5.37% |
| Pretax margin | 7.73% | 6.38% | 7.03% | 5.50% | 5.04% |
| Net profit margin | 5.94% | 4.88% | 5.25% | 4.35% | 3.90% |
Addus HomeCare Corporation has shown a consistent improvement in its profitability ratios over the past five years. The gross profit margin has steadily increased from 27.63% in 2019 to 32.10% in 2023, indicating efficient cost management and potential pricing power.
The operating profit margin has also shown a positive trend, climbing from 5.36% in 2019 to 8.59% in 2023. This suggests that the company has been able to control its operating expenses effectively while generating higher revenue.
The pretax margin and net profit margin have followed a similar upward trajectory, demonstrating increases from 5.11% and 3.89% in 2019 to 7.68% and 5.91% in 2023, respectively. These improvements indicate enhanced profitability after accounting for interest and taxes, reflecting strong overall financial performance.
Overall, Addus HomeCare Corporation's profitability ratios highlight the company's ability to optimize its operations, increase efficiencies, and generate higher profits over the years. This consistent improvement bodes well for the company's financial health and sustainability moving forward.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.88% | 7.33% | 6.96% | 4.99% | 5.46% |
| Return on assets (ROA) | 6.10% | 4.91% | 4.76% | 3.71% | 3.96% |
| Return on total capital | 11.13% | 9.03% | 8.32% | 6.33% | 6.68% |
| Return on equity (ROE) | 8.85% | 7.26% | 7.86% | 6.39% | 5.31% |
Addus HomeCare Corporation has shown consistent improvement in its profitability ratios over the past five years.
- Operating return on assets (Operating ROA) has increased from 5.46% in 2019 to 8.88% in 2023, indicating that the company is generating more operating income per dollar of assets.
- Return on assets (ROA) has also shown a positive trend, increasing from 3.96% in 2019 to 6.10% in 2023, reflecting the company's ability to generate profit from its total assets.
- Return on total capital has steadily improved from 6.49% in 2019 to 10.95% in 2023, signifying that the company is efficiently using its total capital to generate profits.
- Return on equity (ROE) has shown consistent growth from 5.31% in 2019 to 8.85% in 2023, indicating that the company is providing better returns to its equity shareholders.
Overall, Addus HomeCare Corporation's profitability ratios demonstrate the company's ability to generate increasing returns for its investors and effectively utilize its assets and capital to drive profitability.