Addus HomeCare Corporation (ADUS)
Debt-to-equity ratio
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 124,132 | 163,917 | 78,702 | 108,487 | 131,772 | 163,557 | 196,342 | 256,127 | 220,912 | 220,707 | 193,714 | 193,839 | 193,901 | 59,561 | 59,048 | 59,112 | 59,164 | 59,248 | 36,231 | 17,375 |
| Total stockholders’ equity | US$ in thousands | 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 | 475,592 | 462,199 | 281,507 | 274,020 |
| Debt-to-equity ratio | 0.18 | 0.24 | 0.12 | 0.17 | 0.21 | 0.27 | 0.33 | 0.44 | 0.38 | 0.40 | 0.36 | 0.37 | 0.37 | 0.12 | 0.12 | 0.12 | 0.12 | 0.13 | 0.13 | 0.06 |
December 31, 2023 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $124,132K ÷ $706,694K
= 0.18
The debt-to-equity ratio of Addus HomeCare Corporation has shown fluctuations over the past eight quarters. The ratio was 0.18 in Q4 2023, indicating that for every dollar of equity, the company had $0.18 in debt. This suggests a conservative capital structure with a lower reliance on debt financing.
The ratio increased to 0.24 in Q3 2023 before decreasing to 0.12 in Q2 2023, reflecting a significant reduction in debt relative to equity. This may signal improved financial stability and a lower risk of financial distress for the company.
In Q1 2023, the ratio slightly increased to 0.17, still indicating a relatively low level of debt compared to equity. The trend continued with ratios of 0.21, 0.27, 0.33, and 0.44 in Q4 2022, Q3 2022, Q2 2022, and Q1 2022, respectively, showing a gradual increase in the leverage of the company over time.
Overall, the debt-to-equity ratio trend of Addus HomeCare Corporation suggests that the company has been managing its debt levels prudently, with a recent decrease in debt compared to equity in Q2 and Q3 2023 likely contributing to a stronger financial position. However, the upward trend in the ratio in the preceding quarters may indicate a shift towards a slightly more leveraged position.
Peer comparison
Dec 31, 2023