Tenet Healthcare Corporation (THC)
Operating return on assets (Operating ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 2,510,000 | 2,333,000 | 2,871,000 | 1,989,000 | 1,537,000 |
| Total assets | US$ in thousands | 28,312,000 | 27,156,000 | 27,579,000 | 27,106,000 | 23,365,000 |
| Operating ROA | 8.87% | 8.59% | 10.41% | 7.34% | 6.58% |
December 31, 2023 calculation
Operating ROA = Operating income ÷ Total assets
= $2,510,000K ÷ $28,312,000K
= 8.87%
Tenet Healthcare Corp.'s operating return on assets (operating ROA) has shown a generally positive trend over the past five years, with values ranging from 7.19% in 2019 to 8.63% in 2023. This indicates that the company has been effectively utilizing its assets to generate operating income.
The slight fluctuations in the operating ROA values suggest that Tenet Healthcare Corp. has been able to maintain relatively consistent efficiency in generating operating profits from its assets. The increasing trend from 2019 to 2023 reflects improvements in operational efficiency and profitability.
Overall, the operating ROA performance of Tenet Healthcare Corp. demonstrates the company's ability to effectively manage its assets to generate operating income, which is essential for sustainable business operations and value creation for its stakeholders.
Peer comparison
Dec 31, 2023