Amedisys Inc (AMED)

Return on total capital

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Earnings before interest and tax (EBIT)	US$ in thousands	55,452	193,066	182,472	289,756	221,857
Long-term debt	US$ in thousands	—	—	—	—	—
Total stockholders’ equity	US$ in thousands	1,134,540	1,066,510	1,051,570	931,351	809,224
Return on total capital		4.89%	18.10%	17.35%	31.11%	27.42%

December 31, 2024 calculation

Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $55,452K ÷ ($—K + $1,134,540K)
= 4.89%

Based on the provided data, Amedisys Inc's return on total capital has shown fluctuating trends over the period from December 31, 2020, to December 31, 2024. The return on total capital increased from 27.42% in 2020 to 31.11% in 2021, indicating improved efficiency in generating returns from the total capital employed.

However, there was a significant decline in the return on total capital in 2022, dropping to 17.35%, and a slight increase to 18.10% in 2023. This fluctuation suggests potential challenges or changes in the company's operations or capital structure during these years.

Notably, there was a sharp decrease in the return on total capital to 4.89% in 2024, which may raise concerns regarding the company's ability to generate sufficient returns relative to the total capital invested.

Overall, a deeper analysis of the factors influencing these fluctuations in Amedisys Inc's return on total capital would be necessary to understand the underlying reasons and implications for the company's financial performance and operational efficiency.