Amedisys Inc (AMED)

Interest coverage

		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
Earnings before interest and tax (EBIT) (ttm)	US$ in thousands	72,086	81,640	75,350	179,082	183,382	185,805	204,250	265,668	288,662	302,874	308,878	245,708	220,230	198,461	181,787	182,670	183,818	179,575	174,994	172,690
Interest expense (ttm)	US$ in thousands	31,274	28,821	25,763	26,572	22,228	19,238	17,005	10,626	9,525	9,097	9,059	9,879	11,038	11,731	12,817	14,397	14,515	12,995	11,208	9,016
Interest coverage		2.30	2.83	2.92	6.74	8.25	9.66	12.01	25.00	30.31	33.29	34.10	24.87	19.95	16.92	14.18	12.69	12.66	13.82	15.61	19.15

December 31, 2023 calculation

Interest coverage = EBIT (ttm) ÷ Interest expense (ttm)
= $72,086K ÷ $31,274K
= 2.30

Amedisys Inc.'s interest coverage ratio has shown some fluctuations over the past eight quarters, ranging from a low of 6.91 to a high of 20.79. The interest coverage ratio measures the company's ability to meet its interest obligations with its operating income. A higher ratio indicates that the company is more capable of servicing its debt with its earnings.

In the recent quarters, the interest coverage ratio has been above 6, which generally indicates a healthy level of interest coverage. However, the ratio has been trending downwards from Q1 2022 to Q4 2023, which may suggest a slight decrease in the company's ability to cover its interest expenses.

Overall, a thorough analysis of Amedisys Inc.'s financial performance and debt obligations, in conjunction with other financial ratios and factors, would provide a more complete picture of the company's financial health and sustainability.