Hilton Worldwide Holdings Inc (HLT)
Return on assets (ROA)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,535,000 | 1,141,000 | 1,255,000 | 410,000 | -715,000 |
| Total assets | US$ in thousands | 16,522,000 | 15,401,000 | 15,512,000 | 15,441,000 | 16,755,000 |
| ROA | 9.29% | 7.41% | 8.09% | 2.66% | -4.27% |
December 31, 2024 calculation
ROA = Net income ÷ Total assets
= $1,535,000K ÷ $16,522,000K
= 9.29%
Based on the data provided, the return on assets (ROA) for Hilton Worldwide Holdings Inc has shown a significant positive trend over the past five years.
In December 31, 2020, the ROA was -4.27%, indicating that the company had a negative return on its assets. However, by December 31, 2021, the ROA improved to 2.66%, signifying a turnaround in the company's asset utilization efficiency.
The positive momentum continued in the following years, with ROA reaching 8.09% in December 31, 2022, 7.41% in December 31, 2023, and finally peaking at 9.29% by December 31, 2024. This suggests that Hilton Worldwide Holdings Inc has been effectively generating profits from its assets and improving its overall financial performance.
Overall, the increasing trend in ROA indicates that Hilton Worldwide Holdings Inc has been successful in maximizing its asset efficiency and profitability, reflecting positively on its operational and financial management strategies.
Peer comparison
Dec 31, 2024