On February 24, 2025, Addus HomeCare Corporation, a leading provider of home-based personal care, nursing and rehabilitative therapy services, released its financial results for the fourth quarter and full year (FY) ended December 31, 2024, after the market close. The results? Not terrible, but don’t break out the champagne either.
Addus Q4 and FY 2024 Financial Snapshot:
| Metric | Q4 2024 | Q4 2023 | FY 2024 | FY 2023 |
| Revenue | $297.1 million | $276.4 million | $1.15 billion | $1.06 billion |
| Net Income | $19.5 million | $19.6 million | $73.6 million | $62.5 million |
| Net Income per Diluted Share | $1.07 | $1.20 | $4.23 | $3.83 |
| Adjusted EBITDA | $37.8 million | $34.3 million | $140.3 million | $121.0 million |
| Adjusted EPS | $1.38 | $1.32 | $5.26 | $4.58 |
For Q4, net service revenues hit $297.1 million, up 7.5% from $276.4 million a year ago. This jump was driven by personal care services (74.1% of revenue), which grew 5.8% organically. Net income stayed flat at $19.5 million ($1.07 per diluted share) versus $19.6 million ($1.20 per diluted share) in Q4 2023. Adjusted EBITDA rose 10.3% to $37.8 million, but profit margins didn’t move much. Adjusted EPS, after factoring out acquisition costs, was $1.38 for Q4 2024, up from $1.32 for Q4 2023.
Full-year revenues reached $1.15 billion, a 9.1% increase from $1.06 billion in 2023, driven by steady personal care demand. Net income climbed to $73.6 million ($4.23 per diluted share) in 2024 from $62.5 million ($3.83 per diluted share) in 2023, but the gains were tempered by ongoing cost pressures, including wages and regulatory compliance in a tight labor market.
The Gentiva personal care acquisition closed December 2, 2024, is Addus’s largest transaction by purchase price to date, with a $350 million price tag. The deal expanded Addus’s market coverage in seven states, including new markets like Texas, Missouri and North Carolina. Addus now leads personal care in Texas and Arkansas, hitting 257 locations in 23 states with more than 61,500 consumers.
Cash flow from operations in Q4 was $10.4 million, well below the quarterly average of 2024, based on its full-year total of $116.4 million, likely due to the deal’s costs. As of December 31, 2024, the company had $98.9 million in cash and $223 million in bank debt. That rising leverage could spook investors if costs spiral.
The home care industry faced persistent labor shortages and reimbursement uncertainty in 2024, which likely capped Addus’s profit growth. Management hinted at more acquisitions and Medicare shifts in 2025, betting on expansion to offset these headwinds. But Q4 profits stalled, debt is climbing and integration costs are a drag. Revenues rose, yet profits didn’t keep pace, and the balance sheet is stretched thin. Growth’s happening—it’s just bumpy, costly and far from guaranteed.
