Sabre Corpo (SABR)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | -527,608 | -435,448 | -928,469 | -1,282,340 | 158,592 |
| Total assets | US$ in thousands | 4,672,190 | 4,962,880 | 5,291,330 | 6,077,720 | 5,689,960 |
| ROA | -11.29% | -8.77% | -17.55% | -21.10% | 2.79% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $-527,608K ÷ $4,672,190K
= -11.29%
Sabre Corp's return on assets (ROA) has shown fluctuations over the past five years. In 2019, the ROA was positive at 2.79%, indicating that the company generated a profit from its assets. However, the ROA declined significantly in the following years, with negative ROAs of -21.07% in 2020, -17.96% in 2021, -9.20% in 2022, and -11.60% in 2023.
A negative ROA typically suggests that the company is not effectively utilizing its assets to generate profits. The consecutive years of negative ROAs indicate a concerning trend in Sabre Corp's ability to generate returns from its asset base. This could be attributed to various factors such as inefficient asset utilization, declining profitability, or increasing asset base without corresponding revenue growth.
Overall, Sabre Corp's ROA performance has deteriorated over the past five years, signaling potential inefficiencies in asset management and profitability challenges that may require further investigation and strategic intervention.
Peer comparison
Dec 31, 2023