Addus HomeCare Corporation (ADUS)
Return on equity (ROE)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 73,598 | 73,650 | 68,898 | 65,671 | 62,516 | 57,700 | 53,832 | 50,230 | 46,025 | 44,321 | 44,355 | 44,702 | 45,126 | 40,517 | 38,059 | 33,369 | 33,133 | 35,421 | 31,214 | 29,599 |
| Total stockholders’ equity | US$ in thousands | 970,492 | 947,634 | 921,655 | 725,143 | 706,694 | 684,334 | 666,351 | 648,886 | 633,540 | 614,837 | 599,777 | 585,778 | 574,344 | 558,051 | 544,055 | 529,910 | 518,676 | 507,600 | 494,861 | 486,808 |
| ROE | 7.58% | 7.77% | 7.48% | 9.06% | 8.85% | 8.43% | 8.08% | 7.74% | 7.26% | 7.21% | 7.40% | 7.63% | 7.86% | 7.26% | 7.00% | 6.30% | 6.39% | 6.98% | 6.31% | 6.08% |
December 31, 2024 calculation
ROE = Net income (ttm) ÷ Total stockholders’ equity
= $73,598K ÷ $970,492K
= 7.58%
The Return on Equity (ROE) of Addus HomeCare Corporation has displayed some fluctuations over the period from March 31, 2020, to December 31, 2024. The ROE started at 6.08% in March 2020 and generally showed an increasing trend, reaching a peak of 9.06% in March 2024 before declining slightly to 7.58% by December 2024.
The improvement in ROE signifies that the company's profitability in relation to shareholders' equity has been increasing over time, indicating efficient utilization of equity capital. Higher ROE indicates that the company is generating more profit with less equity investment, which is favorable for shareholders.
Although there were minor fluctuations in the ROE throughout the period, the overall trend showcases an upward trajectory, which is a positive indicator of the company's financial performance and effectiveness in generating returns for its shareholders. It is important for investors and stakeholders to monitor the ROE closely to assess the company's profitability and efficiency in utilizing its equity effectively.
Peer comparison
Dec 31, 2024