Wyndham Hotels & Resorts Inc (WH)

Return on assets (ROA)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	289,000	355,000	244,000	-132,000	157,000
Total assets	US$ in thousands	4,033,000	4,123,000	4,269,000	4,644,000	4,533,000
ROA		7.17%	8.61%	5.72%	-2.84%	3.46%

December 31, 2023 calculation

ROA = Net income ÷ Total assets
= $289,000K ÷ $4,033,000K
= 7.17%

The return on assets (ROA) for Wyndham Hotels & Resorts Inc has fluctuated over the past five years, as shown in the table. In 2023, the ROA was 7.17%, which decreased from 8.61% in 2022. This decline indicates that the company's ability to generate profit from its assets decreased slightly year over year.

Comparing the ROA to historical data, the company's ROA has shown variability over the five-year period. In 2021, the ROA was 5.72%, an improvement from the negative ROA of -2.84% in 2020. This signifies a recovery from a period of asset underperformance in 2020.

The company's best performance in terms of ROA was in 2022 at 8.61%, indicating efficient asset utilization and profitability during that year. On the other hand, the ROA in 2019 was 3.46%, showing a moderate level of profitability from its assets that year.

Overall, the fluctuating ROA figures for Wyndham Hotels & Resorts Inc suggest varying levels of asset efficiency and profitability over the past five years, with a noticeable decrease in 2023 compared to the previous year. It is important for investors and stakeholders to monitor these trends to assess the company's financial performance and management of assets.