Hertz Global Holdings Inc (HTZ)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 616,000 | 2,059,000 | 366,000 | -1,714,000 | -58,000 |
| Total assets | US$ in thousands | 24,605,000 | 22,497,000 | 19,783,000 | 16,908,000 | 24,627,000 |
| ROA | 2.50% | 9.15% | 1.85% | -10.14% | -0.24% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $616,000K ÷ $24,605,000K
= 2.50%
Hertz Global Holdings Inc.'s return on assets (ROA) experienced a significant fluctuation over the past three years. In 2023, the ROA declined to 2.50% from 9.15% in 2022, which indicates a drop in the company's ability to generate profits from its assets. The negative ROA of -0.42% in 2021 suggests that the company incurred losses relative to its asset base. The downward trend in ROA from 2022 to 2023 may raise concerns about the company's operational efficiency and profitability management. Further analysis of the company's financial performance and asset utilization is recommended to identify the factors contributing to these fluctuations in ROA.
Peer comparison
Dec 31, 2023