Amedisys Inc (AMED)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 156,400 | 180,772 | 251,915 | 219,268 | 177,500 |
| Total assets | US$ in thousands | 2,060,170 | 1,976,240 | 1,856,970 | 1,567,200 | 1,262,740 |
| Operating ROA | 7.59% | 9.15% | 13.57% | 13.99% | 14.06% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $156,400K ÷ $2,060,170K
= 7.59%
Amedisys Inc.'s operating return on assets (operating ROA) has shown a gradual decline over the past five years, dropping from 14.17% in 2019 to 9.37% in 2023. This indicates a decrease in the company's ability to generate operating income from its assets over this period. The peak was observed in 2021 at 12.85%, followed by a slight decrease in 2022 to 9.30%. This downward trend suggests potential inefficiencies in asset utilization or a decline in operating profitability relative to the size of the asset base. Further analysis of the company's operating performance and asset management practices may be needed to identify factors contributing to this decline in operating ROA.
Peer comparison
Dec 31, 2023