Wyndham Hotels & Resorts Inc (WH)

Return on assets (ROA)

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Net income US$ in thousands 289,000 289,000 355,000 244,000 -132,000
Total assets US$ in thousands 4,223,000 4,033,000 4,123,000 4,269,000 4,644,000
ROA 6.84% 7.17% 8.61% 5.72% -2.84%

December 31, 2024 calculation

ROA = Net income ÷ Total assets
= $289,000K ÷ $4,223,000K
= 6.84%

The return on assets (ROA) of Wyndham Hotels & Resorts Inc has shown a significant improvement over the past few years. Starting at a negative figure of -2.84% on December 31, 2020, the company managed to turn around its performance and achieve a positive ROA of 5.72% by December 31, 2021. This positive trend continued, with further increases to 8.61% by December 31, 2022, and 7.17% by December 31, 2023. However, there was a slight decrease in ROA to 6.84% by December 31, 2024.

Overall, the company's ROA performance indicates that management has been effective in generating profit from its assets, with a notable improvement in efficiency and profitability over the years analyzed. This metric suggests that Wyndham Hotels & Resorts Inc has been able to utilize its assets more efficiently to generate returns for its shareholders.