Addus HomeCare Corporation (ADUS)
Financial leverage 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 1,024,430 | 1,035,730 | 928,384 | 931,083 | 937,994 | 945,933 | 964,528 | 987,211 | 947,585 | 924,915 | 889,160 | 877,577 | 892,582 | 695,431 | 660,921 | 644,819 | 636,748 | 619,110 | 408,684 | 378,923 |
| 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 |
| Financial leverage ratio | 1.45 | 1.51 | 1.39 | 1.43 | 1.48 | 1.54 | 1.61 | 1.69 | 1.65 | 1.66 | 1.63 | 1.66 | 1.72 | 1.37 | 1.34 | 1.32 | 1.34 | 1.34 | 1.45 | 1.38 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,024,430K ÷ $706,694K
= 1.45
The financial leverage ratio of Addus HomeCare Corporation has fluctuated over the past eight quarters, ranging from 1.39 to 1.69. A financial leverage ratio above 1 indicates that the company relies more on debt financing than equity financing to fund its operations.
The decreasing trend from Q2 2022 to Q2 2023 suggests that the company has been reducing its reliance on debt, which can be a positive sign for investors and creditors as it may indicate lower financial risk. However, the ratio saw a slight increase in Q3 2023 before decreasing again in Q4 2023.
Overall, while the company's financial leverage ratio remains above 1, indicating some level of financial risk, the recent fluctuations suggest that Addus HomeCare Corporation may be actively managing its debt levels to achieve a more balanced capital structure.
Peer comparison
Dec 31, 2023