Hilton Worldwide Holdings Inc (HLT)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 1,141,000 | 1,255,000 | 410,000 | -715,000 | 881,000 |
| Total assets | US$ in thousands | 15,401,000 | 15,512,000 | 15,441,000 | 16,755,000 | 14,957,000 |
| ROA | 7.41% | 8.09% | 2.66% | -4.27% | 5.89% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $1,141,000K ÷ $15,401,000K
= 7.41%
Hilton Worldwide Holdings Inc's return on assets (ROA) has exhibited fluctuating trends over the past five years. The ROA was 7.41% in 2023, which declined slightly from 8.09% in 2022. Despite this decrease, the company's ROA remains relatively strong compared to previous years.
In 2021, Hilton's ROA was 2.66%, reflecting a significant improvement from the negative ROA of -4.27% in 2020. This positive shift indicates a recovery in the company's asset utilization and profitability.
Looking back to 2019, Hilton's ROA was 5.89%, demonstrating a solid performance in that year. The company's ability to generate returns from its assets has shown intermittent fluctuations, with the most notable improvement seen in the recent years.
Overall, Hilton Worldwide Holdings Inc's ROA has generally been positive in recent years, indicating efficient asset management and profitability. However, the fluctuations in ROA highlight the company's sensitivity to economic conditions and the competitive landscape in the hospitality industry.
Peer comparison
Dec 31, 2023