Hertz Global Holdings Inc (HTZ)
Return on assets (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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Net income (ttm) | US$ in thousands | 616,000 | 1,080,000 | 1,028,000 | 1,829,000 | 2,059,000 | 1,683,000 | 1,711,000 | 603,000 | 367,000 | 338,000 | -489,000 | -1,168,000 | -1,714,000 | -1,544,000 | -1,153,000 | -268,000 | -59,000 | -41,000 | -69,000 | -170,000 |
| 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 |
| ROA | 2.50% | 4.23% | 3.94% | 7.70% | 9.15% | 7.76% | 7.75% | 2.88% | 1.86% | 1.73% | -2.57% | -7.03% | -10.14% | -8.23% | -4.99% | -1.04% | -0.24% | -0.16% | -0.26% | -0.71% |
December 31, 2023 calculation
ROA = Net income (ttm) ÷ Total assets
= $616,000K ÷ $24,605,000K
= 2.50%
Hertz Global Holdings Inc.'s return on assets (ROA) has shown a declining trend from Q4 2022 to Q4 2023. In Q4 2022, the ROA stood at a robust 9.15%, but it decreased to 7.70% in Q1 2023 and continued to decline further in subsequent quarters to 3.94% in Q2 2023, 4.23% in Q3 2023, and 2.50% in Q4 2023.
This decreasing trend suggests that the company's ability to generate profits from its assets has weakened over the period under review. A declining ROA may indicate inefficiencies in asset utilization, declining profitability, or increased levels of asset base without corresponding increases in earnings. It is essential for the company to monitor and address the factors contributing to this decline to improve its profitability and efficiency in utilizing its assets effectively.
Peer comparison
Dec 31, 2023