Hilton Worldwide Holdings Inc (HLT)
Profitability ratios
Return on sales
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 94.21% | 94.54% | 94.42% | 94.24% | 93.80% | 93.17% | 92.35% | 91.27% | 89.75% | 84.05% | 80.41% | 73.84% | 77.62% | 83.80% | 86.75% | 89.60% | 90.66% | 90.73% | 91.43% | 72.98% |
| Operating profit margin | 21.74% | 23.27% | 23.66% | 23.84% | 23.87% | 23.52% | 22.90% | 20.45% | 17.45% | 9.89% | 1.51% | -14.33% | -9.71% | 2.17% | 8.74% | 15.39% | 17.53% | 17.86% | 16.70% | 16.07% |
| Pretax margin | 16.43% | 18.08% | 18.43% | 18.65% | 19.74% | 19.20% | 18.28% | 15.03% | 9.73% | -0.43% | -11.77% | -31.46% | -19.15% | 6.03% | 8.50% | 12.99% | 13.11% | 6.39% | 5.15% | 4.95% |
| Net profit margin | 11.15% | 13.21% | 13.30% | 13.40% | 14.31% | 13.14% | 12.80% | 10.99% | 7.08% | 0.80% | -6.98% | -25.92% | -16.60% | -5.49% | 0.70% | 8.07% | 9.32% | 9.94% | 8.73% | 8.35% |
Hilton Worldwide Holdings Inc has demonstrated consistently high gross profit margins, ranging from 88.48% to 88.85% over the past eight quarters. This indicates efficient management of production costs and pricing strategies.
In terms of operating profit margin, Hilton has shown a stable performance, with margins ranging from 20.89% to 23.87%. This indicates effective cost management and operational efficiency, resulting in a healthy level of profitability from its core operations.
The pretax margin for Hilton has also been relatively steady, fluctuating between 15.00% and 19.77%. This metric reflects the company's ability to generate profits before accounting for taxes and indicates how well it is able to manage its operating expenses and interest payments.
Net profit margin, a key measure of overall profitability, has shown consistency within the range of 11.00% to 14.31%. This indicates the proportion of revenue that translates into net income, highlighting Hilton's ability to generate profits after all expenses including taxes.
Overall, Hilton Worldwide Holdings Inc has maintained strong profitability ratios over the analyzed quarters, reflecting effective cost control, operational efficiency, and solid financial performance.
Return on investment
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 14.45% | 15.32% | 15.03% | 14.61% | 13.50% | 12.40% | 11.26% | 8.78% | 6.54% | 3.15% | 0.40% | -2.91% | -2.49% | 0.73% | 3.70% | 8.95% | 11.08% | 11.09% | 10.15% | 9.86% |
| Return on assets (ROA) | 7.41% | 8.70% | 8.45% | 8.21% | 8.09% | 6.93% | 6.29% | 4.72% | 2.66% | 0.25% | -1.86% | -5.26% | -4.27% | -1.84% | 0.30% | 4.69% | 5.89% | 6.17% | 5.31% | 5.12% |
| Return on total capital | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 837.00% |
| Return on equity (ROE) | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | 761.00% |
Hilton Worldwide Holdings Inc's profitability ratios exhibit a consistent upward trend over the past quarters, indicating improved operational efficiency and financial performance. The Operating Return on Assets (Operating ROA) has shown steady growth, reaching 14.69% in Q4 2023 from 11.38% in Q2 2022. This suggests that the company is effectively generating operating income relative to its total assets.
Similarly, the Return on Assets (ROA), which reflects the company's ability to generate profit from its assets, has also been on an upward trajectory, rising to 7.41% in Q4 2023 from 4.72% in Q1 2022. The increasing trend in ROA signals that Hilton is becoming more efficient in utilizing its assets to generate profits.
The Return on Total Capital, a measure of the return on all capital invested in the business, has shown significant improvement, reaching 33.10% in Q4 2023 compared to 17.18% in Q1 2022. This indicates that Hilton is delivering strong returns to both equity and debt investors.
However, it is noteworthy that the Return on Equity (ROE) data is missing from the table, which is a crucial profitability metric that indicates the return generated for shareholders based on their equity investment. Without this data, a comprehensive assessment of Hilton's profitability performance is incomplete.
Overall, the increasing trend in Operating ROA, ROA, and Return on Total Capital demonstrates Hilton Worldwide Holdings Inc's growing profitability and operational efficiency in recent quarters.
See also:
Hilton Worldwide Holdings Inc Profitability Ratios (Quarterly Data)