Adapthealth Corp (AHCO)

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 90,422 -214,343 -691,278 -696,736 -678,895 -426,980 43,218 43,273 69,316 94,846 136,816 201,891 156,175 52,717 -56,410 -131,047 -161,632 -90,887 -43,538 -50,091
Total stockholders’ equity US$ in thousands 1,571,140 1,516,260 1,485,820 1,461,790 1,458,450 1,732,480 2,180,940 2,159,890 2,151,160 2,154,370 2,133,220 2,115,360 2,061,910 1,990,110 1,889,960 1,788,280 354,889 360,999 8,491 -33,173
ROE 5.76% -14.14% -46.53% -47.66% -46.55% -24.65% 1.98% 2.00% 3.22% 4.40% 6.41% 9.54% 7.57% 2.65% -2.98% -7.33% -45.54% -25.18% -512.75% —

December 31, 2024 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $90,422K ÷ $1,571,140K
= 5.76%

Adapthealth Corp's return on equity (ROE) has exhibited significant fluctuations over the period from March 2020 to December 2024. The ROE was negative for the initial quarters, indicating that the company's net income was insufficient to generate a positive return for equity holders during those periods.

From September 2021 onwards, Adapthealth Corp started showing positive ROE figures, indicating an improvement in its profitability and efficiency in utilizing shareholder equity. The ROE increased gradually, reaching its peak at 9.54% in March 2022, demonstrating a relatively strong performance in generating returns for equity investors.

However, the ROE started declining again from June 2022 onwards and turned negative once more by September 2023. This negative trend persisted until December 2024, with ROE figures fluctuating below zero, signifying challenges in profitability and efficiency in utilizing equity during this period.

Overall, Adapthealth Corp's ROE performance reflects a mixed trend, with periods of positive growth followed by significant declines. The company may need to focus on improving profitability and operational efficiency to sustain positive ROE figures in the future.