Expedia Group Inc. (EXPE)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 1,033,000 | 1,085,000 | 186,000 | -2,719,000 | 903,000 |
| Total assets | US$ in thousands | 21,642,000 | 21,561,000 | 21,548,000 | 18,690,000 | 21,416,000 |
| Operating ROA | 4.77% | 5.03% | 0.86% | -14.55% | 4.22% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $1,033,000K ÷ $21,642,000K
= 4.77%
Expedia Group Inc's operating return on assets (ROA) has shown improvement over the past five years. In 2019, the company reported a positive operating ROA of 4.37%, indicating that the company generated profit from its operating activities relative to its assets. However, in 2020, the operating ROA turned negative at -8.86%, suggesting that the company's operating activities were not efficiently utilizing its assets to generate profit.
Subsequently, in the following years from 2021 to 2023, Expedia Group Inc's operating ROA demonstrated a positive trend, increasing from 1.08% to 6.82%. This indicates that the company improved its operational efficiency in utilizing its assets to generate earnings over these years.
Overall, the increasing trend in operating ROA reflects Expedia Group Inc's efforts to enhance its operational performance and profitability in utilizing its assets effectively in recent years.
Peer comparison
Dec 31, 2023