Adapthealth Corp (AHCO)
Pretax margin
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | -727,888 | -453,104 | 57,272 | 60,781 | 94,141 | 124,926 | 173,396 | 241,948 | 188,929 | 68,192 | -57,956 | -143,097 | -173,623 | -100,284 | -46,987 | -53,368 | -20,558 | 13,062 | 16,481 | 17,488 |
| Revenue (ttm) | US$ in thousands | 3,071,305 | 2,996,410 | 2,952,637 | 2,893,848 | 2,862,561 | 2,123,026 | 2,015,922 | 1,899,702 | 1,673,661 | 1,677,361 | 1,322,838 | 961,338 | 689,118 | 816,705 | 675,717 | 560,602 | 488,217 | 638,679 | 615,140 | 572,856 |
| Pretax margin | -23.70% | -15.12% | 1.94% | 2.10% | 3.29% | 5.88% | 8.60% | 12.74% | 11.29% | 4.07% | -4.38% | -14.89% | -25.19% | -12.28% | -6.95% | -9.52% | -4.21% | 2.05% | 2.68% | 3.05% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-727,888K ÷ $3,071,305K
= -23.70%
The pretax margin of AdaptHealth Corp has shown fluctuating trends over the past eight quarters. In Q4 2023, the pretax margin was at a negative 22.62%, indicating that the company's expenses exceeded its revenues before accounting for taxes. This was a significant decrease from the previous quarter's pretax margin of -14.38%. The company experienced a turnaround from negative margins in the first two quarters of 2023, with pretax margins of 2.00% and 2.16%, respectively. However, these margins were still lower compared to the same periods in 2022, where the company had pretax margins in the range of 3.30% to 9.11%.
The downward trend in the pretax margin from 2022 to 2023 suggests that AdaptHealth Corp may have faced challenges in controlling costs or maximizing revenues during the period. It will be important for the company to closely monitor its cost structures and revenue-generating activities to improve its pretax margin in the future.
Peer comparison
Dec 31, 2023