US Physicalrapy Inc (USPH)
Return on equity (ROE)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 28,239 | 32,158 | 40,831 | 35,194 | 40,039 |
| Total stockholders’ equity | US$ in thousands | 476,194 | 315,793 | 295,606 | 276,160 | 240,257 |
| ROE | 5.93% | 10.18% | 13.81% | 12.74% | 16.67% |
December 31, 2023 calculation
ROE = Net income ÷ Total stockholders’ equity
= $28,239K ÷ $476,194K
= 5.93%
U.S. Physical Therapy, Inc.'s return on equity (ROE) has been experiencing a declining trend over the past five years, falling from 13.01% in 2019 to 3.81% in 2023. This signifies a decreasing ability of the company to generate profit from its shareholders' equity.
The decreasing ROE could indicate several potential issues such as a decline in profitability, inefficient use of assets, or increased debt levels impacting shareholder returns. Further analysis is required to pinpoint the exact factors contributing to this decline in ROE and identify strategies for improvement in the future.
Peer comparison
Dec 31, 2023