Hyatt Hotels Corporation (H) Q1 2023 Earnings Call Transcript

For the period ending March 31, 2023

May 4, 2023 9:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Good morning, and welcome to the Hyatt First Quarter 2023 Earnings Call. [Operator Instructions]. As a reminder, this conference call is being recorded. I would now like to turn the call over to Noah Hoppe, Senior Vice President, Investor Relations. Thank you. Please go ahead.

Noah Hoppe

Thank you. Good morning, everyone, and thank you for joining us for Hyatt's First Quarter 2023 Earnings Conference Call. Joining me on today's call are Mark Hoplamazian, Hyatt's President and Chief Executive Officer; and Joan Bottarini, Hyatt's Chief Financial Officer.

Before we get started, I would like to remind everyone that our comments today will include forward-looking statements under federal securities laws. These statements are subject to numerous risks and uncertainties as described in our annual report on Form 10-K, quarterly reports on Form 10-Q and other SEC filings. These risks could cause our actual results to differ materially from those expressed in or implied by our comments.

Forward-looking statements in the earnings release that we issued today, along with the comments on this call, are made only as of today and will not be updated as actual events unfold. In addition, you can find a reconciliation of non-GAAP financial measures referred to in today's remarks on our website at hyatt.com under the Financial Reporting section of our Investor Relations link and in this morning's earnings release. An archive of this call will be available on our website for 90 days.

And with that, I'll turn the call over to Mark.

Mark Hoplamazian

Thank you, Noah. Good morning, everyone, and welcome to Hyatt's First Quarter 2023 Earnings Call. I'm pleased to share financial results this quarter that, once again, highlight the transformation of Hyatt as resilient, predominantly fee-based and asset light. It was another record-breaking quarter as measured by adjusted EBITDA, plus net deferrals and net finance contracts. With the sum of these 3 numbers up 58% above the first quarter of 2022 and 69% above the first quarter of 2019, a notable achievement when you consider we sold $2.3 billion in real estate, net of acquisitions since 2019.

We have now achieved 4 consecutive quarters of record results, driven by our successful asset-light acquisitions and more recently, a RevPAR environment that is trending meaningfully above 2019 levels. Our agility, leadership and unwavering commitment to our purpose, to care for people so they can be their best, are key factors behind our success. We are proud to have been named to Fortune's 100 Best Companies to Work For List for the 10th consecutive year, a testament to the dedication of our colleagues worldwide.