Hyatt Hotels Corporation has reported its fourth-quarter (Q4) and full-year 2024 financial results, highlighting strong revenue growth and robust expansion. The acquisition of the Playa Hotels and Resorts portfolio along with the Grupo Pinero JV play a major role in future growth plans.
The company posted a 5.0% increase in revenue per available room (RevPAR) for Q4 and 4.6% growth for the full year compared to 2023.
Despite these gains, Hyatt recorded a net loss of $56 million in Q4.
Nonetheless, full-year net income stood at $1.3 billion. Adjusted net income was $375 million for the year and $40 million for the last quarter.
Adjusted EBITDA reached $255 million in Q4 and $1.1 billion for the full year.
Hyatt’s expansion efforts saw the addition of 81 new hotels in Q4, including properties from its acquisitions of Standard International and Bahia Principe.
As of 31DEC 2024, the company had 720 hotels, representing a 9% year-over-year increase.
Mark S. Hoplamazian, Hyatt’s President and CEO, credited the company's "strong brand focus" and the success of the World of Hyatt loyalty program, which grew to 54 million members. "Our operating results and industry-leading net rooms growth allowed us to achieve record levels of gross fees while returning over $1.2 billion to shareholders in 2024," he said.
Q4 group demand was affected by the timing of Jewish holidays and the U.S. election. Greater China’s RevPAR remained flat, an improvement over Q3, as business travel increased in Mainland China.
Significant financial moves include the acquisition of Playa Hotels & Resorts for $2.6 billion, inclusive of $900 million in debt. Hyatt expects to finance the deal with new debt and plans to raise $2 billion from asset sales by 2027.
Looking ahead, Hyatt projects growth of 2.0% to 4.0% in 2025 and net room growth between 6.0% and 7.0%. It anticipates full-year net income between $190 million and $240 million and adjusted EBITDA between $1.1 billion and $1.15 billion.
Fourth Quarter Results and Highlights
| (in millions) |
Three Months Ended December 31, |
|||||
|
2024 |
2023 |
Change (%) |
||||
| Management and franchising |
$ 219 |
$ 205 |
7.2 % |
|||
| Owned and leased |
57 |
90 |
(36.5) % |
|||
| Distribution |
20 |
6 |
199.6 % |
|||
| Overhead |
(41) |
(52) |
21.8 % |
|||
| Eliminations |
— |
— |
(51.4) % |
|||
| Adjusted EBITDA |
$ 255 |
$ 249 |
2.4 % |
|||
The Company is providing the following outlook for the 2025 fiscal year.
In a press release, Hyatt said it is not providing an outlook for capital returns to shareholders at this time due to the pending Playa Transaction.
|
Full Year 2025 vs. 2024 |
||
| System-Wide Hotels RevPAR1 Growth |
2.0% to 4.0% |
|
| Net Rooms Growth |
6.0% to 7.0% |
|
| (in millions) |
Full Year 2025 |
|
| Net Income |
$190 - $240 |
|
| Gross Fees |
$1,200 - $1,230 |
|
| Adjusted G&A Expenses2, 3 |
$450 - $460 |
|
| Adjusted EBITDA2 |
$1,100 - $1,150 |
|
| Capital Expenditures |
Approx. $150 |
|
| Adjusted Free Cash Flow2 |
$450 - $500 |
