Hilton Worldwide Holdings Inc (HLT)
Return on total capital
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before interest and tax (EBIT) | US$ in thousands | 2,146,000 | 2,147,000 | 960,000 | -490,000 | 1,653,000 |
| Long-term debt | US$ in thousands | — | — | — | — | — |
| Total stockholders’ equity | US$ in thousands | -2,360,000 | -1,102,000 | -821,000 | -1,490,000 | -482,000 |
| Return on total capital | — | — | — | — | — |
December 31, 2023 calculation
Return on total capital = EBIT ÷ (Long-term debt + Total stockholders’ equity)
= $2,146,000K ÷ ($—K + $-2,360,000K)
= —
Hilton Worldwide Holdings Inc's return on total capital has shown fluctuating trends over the past five years. The return on total capital was negative in 2020, indicating that the company's total capital was not effectively utilized to generate profits during that period. However, the return on total capital improved significantly in subsequent years, reaching 33.10% in 2023, which suggests a strong ability to generate value from the total capital employed. The increase in return on total capital from 2019 to 2020 indicates improvements in operational efficiency and profitability. Overall, Hilton Worldwide Holdings Inc's return on total capital has shown positive momentum in recent years, reflecting better utilization of capital resources to drive profitability.
Peer comparison
Dec 31, 2023