Adapthealth Corp (AHCO)
Debt-to-equity ratio
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Long-term debt | US$ in thousands | 1,964,920 | 2,094,610 | 2,153,270 | 2,183,550 | 776,568 |
| Total stockholders’ equity | US$ in thousands | 1,571,140 | 1,458,450 | 2,151,160 | 2,061,910 | 354,889 |
| Debt-to-equity ratio | 1.25 | 1.44 | 1.00 | 1.06 | 2.19 |
December 31, 2024 calculation
Debt-to-equity ratio = Long-term debt ÷ Total stockholders’ equity
= $1,964,920K ÷ $1,571,140K
= 1.25
Adapthealth Corp's debt-to-equity ratio has shown a declining trend from 2.19 on December 31, 2020, to 1.25 on December 31, 2024. This indicates that the company has been reducing its reliance on debt financing in relation to equity over the period. However, it is important to note that the ratio increased in 2023 to 1.44 before decreasing again in 2024. Overall, a lower debt-to-equity ratio suggests a lower financial risk and better solvency as the company is using less debt to finance its operations compared to equity.
Peer comparison
Dec 31, 2024
Company name
Symbol
Debt-to-equity ratio
Adapthealth Corp
AHCO
1.25
Addus HomeCare Corporation
ADUS
0.23
Amedisys Inc
AMED
0.34
Chemed Corp
CHE
0.00
Option Care Health Inc
OPCH
0.74