Addus HomeCare Corporation (ADUS)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 62,516 | 46,025 | 45,126 | 33,133 | 25,237 |
| Total stockholders’ equity | US$ in thousands | 706,694 | 633,540 | 574,344 | 518,676 | 475,592 |
| ROE | 8.85% | 7.26% | 7.86% | 6.39% | 5.31% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $62,516K ÷ $706,694K
= 8.85%
Addus HomeCare Corporation's return on equity (ROE) has been showing a positive trend over the past five years, increasing from 5.31% in 2019 to 8.85% in 2023. This indicates that the company has been effectively utilizing its shareholders' equity to generate profits. The consistent improvement in ROE signifies that the company's profitability and efficiency in generating returns for its shareholders have been on an upward trajectory. This could be attributed to effective cost management, profitable investments, or increased revenue streams. The upward trend in ROE reflects positively on Addus HomeCare Corporation's financial performance and management effectiveness.
Peer comparison
Dec 31, 2023