Enhabit Inc. (EHAB)

Financial leverage ratio

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022
Total assets	US$ in thousands	1,433,600	1,450,900	1,426,200	1,527,000	1,526,800	1,622,900	1,621,400
Total stockholders’ equity	US$ in thousands	669,700	676,600	675,200	744,300	741,700	835,400	822,300
Financial leverage ratio		2.14	2.14	2.11	2.05	2.06	1.94	1.97

December 31, 2023 calculation

Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $1,433,600K ÷ $669,700K
= 2.14

The financial leverage ratio of Enhabit Inc. has been relatively stable over the past several quarters, ranging from 1.94 to 2.14. The ratio indicates that the company relies on a moderate level of debt to finance its operations and growth initiatives. A financial leverage ratio of 2.14 as of December 31, 2023, suggests that for every dollar of equity, the company has $2.14 of debt. This level of leverage indicates that the company has a moderate amount of financial risk, as higher levels of debt can amplify returns but also increase the potential for financial distress in case of adverse events. Overall, Enhabit Inc. appears to have maintained a consistent level of financial leverage, which should be closely monitored to ensure sustainable growth and financial stability.