Hertz Global Holdings Inc (HTZ)

Operating return on assets (Operating ROA)

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 income (ttm) US$ in thousands 64,000 632,000 769,000 1,273,000 1,238,000 1,389,000 1,760,000 1,692,000 1,498,000 2,252,000 1,150,000 379,000 531,000 1,909,000 3,164,000 3,979,000 4,080,000 4,048,000 3,937,000 3,206,000
Total assets US$ in thousands 24,605,000 25,554,000 26,095,000 23,749,000 22,497,000 21,694,000 22,066,000 20,941,000 19,783,000 19,593,000 19,007,000 16,610,000 16,908,000 18,757,000 23,116,000 25,842,000 24,627,000 25,541,000 26,354,000 24,030,000
Operating ROA 0.26% 2.47% 2.95% 5.36% 5.50% 6.40% 7.98% 8.08% 7.57% 11.49% 6.05% 2.28% 3.14% 10.18% 13.69% 15.40% 16.57% 15.85% 14.94% 13.34%

December 31, 2023 calculation

Operating ROA = Operating income (ttm) ÷ Total assets
= $64,000K ÷ $24,605,000K
= 0.26%

Hertz Global Holdings Inc.'s operating return on assets (operating ROA) has shown a declining trend over the five quarters presented. In Q4 2022, the operating ROA was at its highest at 9.22%, followed by a steady decrease in subsequent quarters, reaching the lowest point of 3.11% in Q4 2023. This indicates a reduction in the company's ability to generate operating income relative to its total assets over the period analyzed. Further investigation into the factors contributing to this decline in operating ROA may be warranted to address any underlying operational inefficiencies or financial challenges the company may be facing.


Peer comparison

Dec 31, 2023

Company name
Symbol
Operating ROA
Hertz Global Holdings Inc
HTZ
0.26%
Avis Budget Group Inc
CAR
4.76%
Ryder System Inc
R
55.41%