Amedisys Inc (AMED)

Return on assets (ROA)

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
Net income (ttm) US$ in thousands -9,747 2,648 2,330 112,184 118,609 120,939 140,303 190,873 209,072 220,125 247,100 201,625 183,557 166,157 128,276 127,302 126,800 126,600 123,900 123,500
Total assets US$ in thousands 2,060,170 2,027,420 1,982,400 1,946,960 1,976,240 1,982,130 2,000,990 1,908,390 1,856,970 1,937,640 1,599,560 1,573,210 1,567,200 1,602,720 1,645,490 1,440,080 1,262,740 1,212,380 1,205,860 1,184,240
ROA -0.47% 0.13% 0.12% 5.76% 6.00% 6.10% 7.01% 10.00% 11.26% 11.36% 15.45% 12.82% 11.71% 10.37% 7.80% 8.84% 10.04% 10.44% 10.27% 10.43%

December 31, 2023 calculation

ROA = Net income (ttm) ÷ Total assets
= $-9,747K ÷ $2,060,170K
= -0.47%

To analyze Amedisys Inc.'s return on assets (ROA) based on the provided data, we can observe significant fluctuations in ROA over the past eight quarters.

In Q1 2022, the ROA was 10.00%, indicating that the company generated $0.10 in net income for every dollar of assets it possessed. This high ROA suggests efficient asset utilization and profitability during that period.

However, the ROA sharply declined in subsequent quarters, reaching 7.01% in Q2 2022 and further dropping to 6.10% in Q3 2022. The downward trend continued in Q4 2022 with an ROA of 6.00%, representing lower profitability relative to the previous quarters.

The trend of decreasing ROA persisted into 2023, with Q1 2023 showing a considerable drop to 5.76%. This decline may raise concern about the company's ability to generate profits from its assets efficiently.

Subsequently, in Q2 and Q3 2023, the ROA remained relatively stable at 0.12% and 0.13%, respectively. However, in Q4 2023, there was a notable decrease as the ROA turned negative at -0.47%. A negative ROA implies that the company experienced a loss relative to its asset base during that period.

Overall, the fluctuating ROA over the analyzed quarters indicates varying levels of asset efficiency and profitability for Amedisys Inc. The negative ROA in Q4 2023 raises concerns about the company's financial performance and the need for further investigation into the factors affecting its profitability and asset utilization.