Hyatt Hotels Corp
For the period ended Sep 30, 2024. Filed Oct 31, 2024.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2024 · Filed Oct 31, 2024
H$184.32+0.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-06-30; filed 2024-08-06.
0001468174-24-000090
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-09-30; filed 2024-10-31.
0001468174-24-000107
Item 2. Management's Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 215 previous paragraphs and 230 current paragraphs.
123 unchanged; 81 reworded; 22 added; 8 removed; 3 previous and 4 current paragraphs rearranged.
Tables are not compared: 39 previous and 39 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (22)
Current report
The increase in franchise fees during the three months ended September 30, 2024, compared to the three months ended September 30, 2023, was primarily driven by the United States. The increase in franchise fees during the nine months ended September 30, 2024, compared to the nine months ended September 30, 2023, was primarily driven by the Americas and Europe.
Current report
Comparable owned and leased revenues increased during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, primarily driven by continued strength in group and business transient demand. Additionally, during the three months ended September 30, 2024, compared to the three months ended September 30, 2023, comparable owned and leased revenues increased most notably due to the Democratic National Convention, which was held in August in Chicago, and the Paris Summer Olympics.
Current report
During the three months ended September 30, 2023, we recognized a $19 million pre-tax gain related to the sale of the Destination Residential Management business.
Current report
See Part I, Item 1 "Financial Statements—Note 5, Note 7, and Note 8 to our Condensed Consolidated Financial Statements" for additional information.
Current report
•in the Americas (excluding United States), one property that temporarily suspended operations and one property that underwent a significant renovation;
Current report
•in Greater China, one property that temporarily suspended operations; and
Current report
The decrease in Net Package RevPAR at our comparable all-inclusive resorts during the three months ended September 30, 2024, compared to the three months ended September 30, 2023, was driven by lower demand in the Americas (excluding United States), in part due to Hurricane Beryl, partially offset by strong demand and Net Package ADR in Europe.
Current report
•in the Americas (excluding United States), two properties that underwent expansions and two properties that left the hotel portfolio; and
Current report
Additionally, during the nine months ended September 30, 2024, compared to nine months ended September 30, 2023, general and administrative expenses increased primarily due to an increase in payroll and related costs. During the nine months ended September 30, 2023, we also recognized the reversal of credit loss reserves on certain receivables.
Current report
The increases in RevPAR at our comparable owned and leased hotels during the three and nine months ended September 30, 2024, compared to the same periods in the prior year, were driven by continued growth in group and business transient travel. Additionally, during the three months ended September 30, 2024, compared to the three months ended September 30, 2023, the increase in RevPAR was driven by strong ADR most notably due to the Democratic National Convention, which was held in August in Chicago, and the Paris Summer Olympics.
Current report
Adjusted EBITDA increased during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, primarily driven by a decrease in professional fees, partially offset by an increase in payroll and related costs.
Current report
During the three months ended September 30, 2024, we repaid $746 million of the outstanding 2024 Notes at maturity using proceeds from the issuance of the 2029 Notes and 2034 Notes. See Part I, Item 1 "Financial Statements—Note 10 to our Condensed Consolidated Financial Statements" for additional information.
Current report
During the nine months ended September 30, 2024:
Current report
•We received $723 million of net proceeds from the sale of Hyatt Regency Orlando and an adjacent undeveloped land parcel.
Current report
•We contributed $32 million to unconsolidated hospitality ventures.
Current report
•We invested $45 million in a HTM debt security.
Current report
During the nine months ended September 30, 2023:
Current report
•We transferred $10 million of cash related to advanced deposits to the buyer of the Destination Residential Management business.
Current report
During the nine months ended September 30, 2024:
Current report
•We repaid our outstanding 2024 Notes at maturity for approximately $753 million, inclusive of $7 million of accrued interest.
Current report
During the nine months ended September 30, 2023:
Current report
•We repaid our outstanding 2023 Notes at maturity for approximately $642 million, inclusive of $4 million of accrued interest.
Removed paragraphs (8)
Previous report
Comparable owned and leased revenues increased during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, primarily driven by increased business transient demand. During the three months ended June 30, 2024, compared to the three months ended June 30, 2023, the increase was also driven by group rooms revenues and food and beverage revenues.
Previous report
Adjusted EBITDA increased during the three months ended June 30, 2024, compared to the three months ended June 30, 2023, primarily driven by decreases in professional fees and travel expenses, partially offset by an increase in payroll and related costs.
Previous report
Adjusted EBITDA was flat during the six months ended June 30, 2024, compared to the six months ended June 30, 2023, as the increase in payroll and related costs were offset by decreases in professional fees and travel expenses.
Previous report
During the three months ended June 30, 2024, we issued the 2029 Notes and the 2034 Notes and received $786 million of net proceeds, which are intended to be used to repay the outstanding balance on the 2024 Notes at or prior to maturity and for general corporate purposes. See Part I, Item 1 "Financial Statements—Note 9 to our Condensed Consolidated Financial Statements" for additional information.
Previous report
During the six months ended June 30, 2024:
Previous report
During the six months ended June 30, 2023:
Previous report
During the six months ended June 30, 2024:
Previous report
During the six months ended June 30, 2023:
Reworded paragraphs (81)
Previous wording
This Quarterly Report contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include statements about the Company's plans, strategies, and financial performance, and prospective or future events and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance, or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by the use of words such as "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "predict," "potential," "continue," "likely," "will," "would," and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: the factors discussed in our filings with the SEC, including our Annual Report on Form 10-K; general economic uncertainty in key global markets and a worsening of global economic conditions or low levels of economic growth; the rate and pace of economic recovery following economic downturns; global supply chain constraints and interruptions, rising costs of construction-related labor and materials, and increases in costs due to inflation or other factors that may not be fully offset by increases in revenues in our business; risks affecting the luxury, resort, and all-inclusive lodging segments; levels of spending in business, leisure, and group segments, as well as consumer confidence; declines in occupancy and average daily rate ("ADR"); limited visibility with respect to future bookings; loss of key personnel; domestic and international political and geopolitical conditions, including political or civil unrest or changes in trade policy; hostilities, or fear of hostilities, including future terrorist attacks, that affect travel; travel-related accidents; natural or man-made disasters, weather and climate-related events, such as earthquakes, tsunamis, tornadoes, hurricanes, droughts, floods, wildfires, oil spills, nuclear incidents, and global outbreaks of pandemics or contagious diseases, or fear of such outbreaks; our ability to successfully achieve certain levels of operating profits at hotels that have performance tests or guarantees in favor of our third-party owners; the impact of hotel renovations and redevelopments; risks associated with our capital allocation plans, share repurchase program, and dividend payments, including a reduction in, or elimination or suspension of, repurchase activity or dividend payments; the seasonal and cyclical nature of the real estate and hospitality businesses; changes in distribution arrangements, …
Excerpt shortened here; the source contains the full paragraph.
Current wording
This Quarterly Report contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include statements about the Company's plans, strategies, and financial performance, and prospective or future events and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance, or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements by the use of words such as "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "predict," "potential," "continue," "likely," "will," "would," and variations of these terms and similar expressions, or the negative of these terms or similar expressions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: the factors discussed in our filings with the SEC, including our Annual Report on Form 10-K; general economic uncertainty in key global markets and a worsening of global economic conditions or low levels of economic growth; the rate and pace of economic recovery following economic downturns; global supply chain constraints and interruptions, rising costs of construction-related labor and materials, and increases in costs due to inflation or other factors that may not be fully offset by increases in revenues in our business; risks affecting the luxury, resort, and all-inclusive lodging segments; levels of spending in business, leisure, and group segments, as well as consumer confidence; declines in occupancy and average daily rate ("ADR"); limited visibility with respect to future bookings; loss of key personnel; domestic and international political and geopolitical conditions, including as a result of the U.S. presidential election and political or civil unrest or changes in trade policy; hostilities, or fear of hostilities, including future terrorist attacks, that affect travel; travel-related accidents; natural or man-made disasters, weather and climate-related events, such as earthquakes, tsunamis, tornadoes, hurricanes, droughts, floods, wildfires, oil spills, nuclear incidents, and global outbreaks of pandemics or contagious diseases, or fear of such outbreaks; our ability to successfully achieve certain levels of operating profits at hotels that have performance tests or guarantees in favor of our third-party owners; the impact of hotel renovations and redevelopments; risks associated with our capital allocation plans, share repurchase program, and dividend payments, including a reduction in, or elimination or suspension of, repurchase activity or dividend payments; the seasonal and cyclical nature of the real estate and hospitality …
Excerpt shortened here; the source contains the full paragraph.
Previous wording
At June 30, 2024, our hotel portfolio consisted of 1,352 hotels (325,507 rooms), including:
Current wording
At September 30, 2024, our hotel portfolio consisted of 1,363 hotels (326,845 rooms), including:
Previous wording
•494 managed properties (147,787 rooms), all of which we operate under management and hotel services agreements with third-party owners;
Current wording
•498 managed properties (149,738 rooms), all of which we operate under management and hotel services agreements with third-party owners;
Previous wording
•643 franchised properties (110,429 rooms), all of which are owned by third parties that have franchise agreements with us and are operated by third parties;
Current wording
•646 franchised properties (110,727 rooms), all of which are owned by third parties that have franchise agreements with us and are operated by third parties;
Previous wording
•125 all-inclusive resorts (42,749 rooms), including 111 owned by third parties (38,321 rooms) and operated under management and hotel services agreements, 8 owned by a third party in which we hold common shares (3,153 rooms) and operated under franchise agreements, and 6 operating leased properties (1,275 rooms);
Current wording
•124 all-inclusive resorts (42,634 rooms), including 110 owned by third parties (38,206 rooms) and operated under management and hotel services agreements, 8 owned by a third party in which we hold common shares (3,153 rooms) and operated under franchise agreements, and 6 operating leased properties (1,275 rooms);
Previous wording
•19 owned properties (8,794 rooms), 1 finance leased property (171 rooms), and 4 operating leased properties (1,697 rooms), all of which we manage;
Current wording
•18 owned properties (7,153 rooms), 1 finance leased property (171 rooms), and 4 operating leased properties (1,697 rooms), all of which we manage;
Previous wording
•22 managed properties and 2 franchised properties owned or leased by unconsolidated hospitality ventures (7,640 rooms); and
Current wording
•22 managed properties and 2 franchised properties owned or leased by unconsolidated hospitality ventures (7,650 rooms); and
Previous wording
•42 franchised properties (6,240 rooms) operated by an unconsolidated hospitality venture in connection with a master license agreement by Hyatt; 6 of these properties (1,246 rooms) are leased by the unconsolidated hospitality venture.
Current wording
•48 franchised properties (7,075 rooms) operated by an unconsolidated hospitality venture in connection with a master license agreement by Hyatt; 6 of these properties (1,246 rooms) are leased by the unconsolidated hospitality venture.
Previous wording
•38 residential units (4,324 rooms), which consist of branded residences and serviced apartments. We manage all of the serviced apartments and those branded residential units that participate in a rental program with an adjacent Hyatt-branded hotel.
Current wording
•39 residential units (4,578 rooms), which consist of branded residences and serviced apartments. We manage all of the serviced apartments and those branded residential units that participate in a rental program with an adjacent Hyatt-branded hotel.
Previous wording
During the three months ended June 30, 2024, we revised our definition of Adjusted EBITDA to exclude transaction and integration costs, and we recast prior-period results to provide comparability. The revised definition excludes transaction costs previously recognized in general and administrative expenses and integration costs. Previously, only transaction costs recognized in gains (losses) on sales of real estate and other and other income (loss), net were excluded from Adjusted EBITDA. As these costs may vary in frequency or magnitude, we believe the revised definition presents a more representative measure of our core operations, assists in the comparability of results, and provides information consistent with how our management evaluates operating performance. See "—Non-GAAP Measures" for an explanation of how we utilize Adjusted EBITDA, why we present it, and material limitations on its usefulness, as well as a reconciliation of our net income attributable to Hyatt Hotels Corporation to consolidated Adjusted EBITDA.
Current wording
During the nine months ended September 30, 2024, we revised our definition of Adjusted EBITDA to exclude transaction and integration costs, and we recast prior-period results to provide comparability. The revised definition excludes transaction costs previously recognized in general and administrative expenses and integration costs. Previously, only transaction costs recognized in gains (losses) on sales of real estate and other and other income (loss), net were excluded from Adjusted EBITDA. As these costs may vary in frequency or magnitude, we believe the revised definition presents a more representative measure of our core operations, assists in the comparability of results, and provides information consistent with how our management evaluates operating performance. See "—Non-GAAP Measures" for an explanation of how we utilize Adjusted EBITDA, why we present it, and material limitations on its usefulness, as well as a reconciliation of our net income attributable to Hyatt Hotels Corporation to consolidated Adjusted EBITDA.
Previous wording
During the six months ended June 30, 2024, we realigned our reportable segments to align with our business strategy, the organizational changes for certain members of our leadership team, and the manner in which our
Current wording
During the nine months ended September 30, 2024, we realigned our reportable segments to align with our business strategy, the organizational changes for certain members of our leadership team, and the manner in which our CODM assesses performance and makes decisions regarding the allocation of resources. A summary of our reportable segments is as follows:
Previous wording
Segment operating information for the three and six months ended June 30, 2023 have been recast to reflect these segment changes. See Part I, Item 1 "Financial Statements—Note 1 and Note 16 to our Condensed Consolidated Financial Statements" for further discussion of our segment structure.
Current wording
Segment operating information for the three and nine months ended September 30, 2023 have been recast to reflect these segment changes. See Part I, Item 1 "Financial Statements—Note 1 and Note 17 to our Condensed Consolidated Financial Statements" for further discussion of our segment structure.
Previous wording
Consolidated revenues decreased $2 million during the quarter ended June 30, 2024 compared to the quarter ended June 30, 2023. Gross fee revenues increased $29 million and revenues for reimbursed costs increased $58 million driven by improved operating performance at our existing properties, including increased demand and ADR, and growth of our hotel portfolio compared to the quarter ended June 30, 2023. Additionally, during the quarter ended June 30, 2024, gross fee revenues increased due to management and royalty fees earned related to the management of and licensing of certain of our brands to the Unlimited Vacation Club following the UVC Transaction. Other revenues decreased $61 million, compared to the quarter ended June 30, 2023, primarily driven by the sale of the Destination Residential Management business in the third quarter of 2023 and the UVC Transaction. Owned and leased revenues decreased $27 million, compared to the quarter ended June 30, 2023, due to non-comparable hotels, primarily driven by dispositions of owned hotels.
Current wording
Consolidated revenues increased $7 million, or 0.5%, during the quarter ended September 30, 2024 compared to the quarter ended September 30, 2023. Gross fee revenues increased $25 million and revenues for reimbursed costs increased $113 million primarily driven by improved operating performance at our existing properties, including increased demand and ADR, and growth of our hotel portfolio compared to the quarter ended September 30, 2023. Additionally, during the quarter ended September 30, 2024, gross fee revenues increased due to management and royalty fees earned related to the management of and licensing of certain of our brands to the Unlimited Vacation Club following the UVC Transaction. Other revenues decreased $66 million, compared to the quarter ended September 30, 2023, primarily driven by the sale of the Destination Residential Management business and the UVC Transaction. Owned and leased revenues decreased $42 million, compared to the quarter ended September 30, 2023, primarily driven by dispositions of owned hotels.
Previous wording
Comparable system-wide hotels revenue per available room ("RevPAR") for the quarter ended June 30, 2024 was $149, which represented a 4.7% improvement compared to the quarter ended June 30, 2023 in constant currency. The increase was primarily driven by higher ADR across most geographies in the management and franchising segment, with the most significant increases in Asia Pacific (excluding Greater China).
Current wording
Comparable system-wide hotels revenue per available room ("RevPAR") for the quarter ended September 30, 2024 was $146, which represented a 3.0% improvement compared to the quarter ended September 30, 2023 in constant currency. The increase was primarily driven by higher occupancy across all geographies and higher ADR across most geographies in the management and franchising segment, with the most significant increases in Europe and Asia Pacific (excluding Greater China), partially offset by a decrease in Greater China.
Previous wording
Comparable system-wide all-inclusive resorts Net Package RevPAR for the quarter ended June 30, 2024 was $226, which represented a 3.0% improvement, compared to the quarter ended June 30, 2023 in reported dollars, primarily driven by higher demand and Net Package ADR. See "—Segment Results" for discussion of RevPAR by geography for our management and franchising segment.
Current wording
Comparable system-wide all-inclusive resorts Net Package RevPAR for the quarter ended September 30, 2024 was $204, which represented a 0.9% decrease, compared to the quarter ended September 30, 2023 in reported dollars, primarily driven by lower demand in the Americas (excluding United States). See "—Segment Results" for discussion of RevPAR by geography for our management and franchising segment.
Previous wording
During the quarter ended June 30, 2024, compared to the quarter ended June 30, 2023, business transient demand continued to improve and when excluding the impact of the timing of the Easter holiday, leisure transient travel increased. We continued to experience growth in group travel as comparable system-wide group rooms revenues increased 7.8% and group booking pace was up 6.9% at our full service managed hotels in the United States for July through December 2024 compared to the same period in 2023.
Current wording
During the quarter ended September 30, 2024, compared to the quarter ended September 30, 2023, business transient demand remained strong. We also continued to experience growth in group travel as comparable system-wide group rooms revenues increased approximately 6% compared to 2023. Group booking pace for October through December 2024 at our full service managed hotels in the United States is approximately flat, compared to the same period in 2023, as 2024 is negatively impacted by the shift in timing of the Jewish holidays and the U.S. presidential election.
Previous wording
For the quarter ended June 30, 2024, we reported $359 million of net income attributable to Hyatt Hotels Corporation, representing a $291 million increase, compared to the three months ended June 30, 2023, primarily driven by gains (losses) on sales of real estate and other, partially offset by an increase in the provision for income taxes. Our consolidated Adjusted EBITDA for the quarter ended June 30, 2024 was $307 million, a $28 million increase compared to the quarter ended June 30, 2023. See "—Results of Operations" and "—Segment Results" for further discussion.
Current wording
For the quarter ended September 30, 2024, we reported $471 million of net income attributable to Hyatt Hotels Corporation, representing a $403 million increase, compared to the three months ended September 30, 2023, primarily driven by gains (losses) on sales of real estate and other and other income (loss), net, partially offset by increases in the provision for income taxes and asset impairments. Our consolidated Adjusted EBITDA for the quarter ended September 30, 2024 was $275 million, a $22 million increase compared to the quarter ended September 30, 2023. See "—Results of Operations" and "—Segment Results" for further discussion.
Previous wording
During the quarter ended June 30, 2024, we returned $150 million of capital to our stockholders through $134 million of share repurchases and $16 million of quarterly dividend payments.
Current wording
During the quarter ended September 30, 2024, we returned $672 million of capital to our stockholders through $657 million of share repurchases and $15 million of quarterly dividend payments.
Previous wording
Three and Six Months Ended June 30, 2024 Compared with Three and Six Months Ended June 30, 2023
Current wording
Three and Nine Months Ended September 30, 2024 Compared with Three and Nine Months Ended September 30, 2023
Previous wording
The increases in base management fees and franchise fees during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, were primarily driven by the Americas, including the United States, and Europe.
Current wording
The increase in base management fees during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, was primarily driven by the Americas and Europe.
Previous wording
The decrease in incentive management fees during the three months ended June 30, 2024, compared to the three months ended June 30, 2023, was primarily driven by Greater China and certain properties undergoing renovations in the United States, partially offset by the Middle East and Europe.
Current wording
The increase in incentive management fees during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, was primarily driven by Europe and ASPAC (excluding Greater China), partially offset by the Americas.
Previous wording
The increase in other fees during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, was primarily driven by management and royalty fees related to the management of and licensing of certain of our brands to the Unlimited Vacation Club following the UVC Transaction and increased license fees related to our co-branded credit card programs.
Current wording
The increase in other fees during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, was primarily driven by management and royalty fees related to the management of and licensing of certain of our brands to the Unlimited Vacation Club following the UVC Transaction and increased license fees related to our co-branded credit card programs.
Previous wording
The increase in Contra revenue during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, was primarily in the Americas (excluding United States) driven by incremental amortization of management and hotel services agreement and franchise agreement assets and an accrued performance cure payment.
Current wording
The increase in Contra revenue during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, was primarily due to the Americas driven by incremental amortization of management and hotel services agreement and franchise agreement assets and an accrued performance cure payment.
Previous wording
Non-comparable owned and leased revenues decreased during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, primarily driven by dispositions of owned hotels, partially offset by increased revenues at a recently renovated hotel in the United States.
Current wording
Non-comparable owned and leased revenues decreased during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, primarily driven by dispositions of owned hotels, partially offset by increased revenues at a recently renovated hotel in the United States.
Previous wording
Distribution revenues. During the three months ended June 30, 2024, distribution revenues increased $3 million, compared to the three months ended June 30, 2023, primarily due to commission fee revenues related to Mr & Mrs Smith, which was acquired in the second quarter of 2023, offset by ALG Vacations due to higher pricing in 2023. During the six months ended June 30, 2024, distribution revenues decreased $6 million as the decrease in revenues from ALG Vacations due to the normalization of demand and higher pricing in 2023 more than offset commission fee revenues related to Mr & Mrs Smith.
Current wording
Distribution revenues. During the three and nine months ended September 30, 2024, distribution revenues decreased $8 million and $14 million, compared to the three and nine months ended September 30, 2023, respectively, primarily driven by ALG Vacations due to the normalization of demand and higher pricing in 2023 as well as lower booking and departure volume in 2024, in part due to Hurricanes Beryl and Helene. The decrease was partially offset by increased commission fee revenues related to Mr & Mrs Smith and breakage recognized related to ALG Vacations travel credits.
Previous wording
Other revenues. During the three and six months ended June 30, 2024, other revenues decreased $61 million and $114 million, respectively, compared to the three and six months ended June 30, 2023, primarily driven by the Destination Residential Management business, which was sold during the third quarter of 2023, and the UVC Transaction, partially offset by an increase in revenues related to our co-branded credit card programs.
Current wording
Other revenues. During the three and nine months ended September 30, 2024, other revenues decreased $66 million and $180 million, compared to the three and nine months ended September 30, 2023, respectively, primarily driven by the sale of the Destination Residential Management business and the UVC Transaction, partially offset by an increase in revenues related to our co-branded credit card programs.
Previous wording
Revenues for reimbursed costs increased during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, driven by higher reimbursements for payroll and related expenses at managed properties where we are the employer and reimbursed costs related to system-wide services provided to managed and franchised properties. The higher reimbursements for expenses were due to increased demand at our existing properties and portfolio growth.
Current wording
Revenues for reimbursed costs increased during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, driven by higher reimbursements for payroll and related expenses at managed properties where we are the employer and reimbursed costs related to system-wide services provided to managed and franchised properties. The higher reimbursements for expenses were due to increased demand at our existing properties and portfolio growth. Additionally, revenues for reimbursed costs increased due to higher point redemptions related to the loyalty program.
Previous wording
General and administrative expenses decreased during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, primarily driven by decreased market performance of the underlying investments in marketable securities held to fund our deferred compensation plans through rabbi trusts and decreased professional fees and travel expenses, partially offset by an increase in payroll and related costs and the reversal of credit loss reserves on certain receivables during the three and six months ended June 30, 2023.
Current wording
Excluding the impact of the UVC Transaction, general and administrative expenses increased $17 million and $31 million, during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, respectively, primarily driven by improved market performance of the underlying investments in marketable securities held to fund our deferred compensation plans through rabbi trusts and an increase in payroll and related costs, partially offset by decreases in professional fees and stock-based compensation expense. Additionally, during the nine months ended September 30, 2023, we recognized the reversal of credit loss reserves on certain receivables.
Previous wording
The increase in comparable owned and leased expenses during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, was primarily due to increased variable expenses at certain hotels, most notably payroll and related costs.
Current wording
The increase in comparable owned and leased expenses during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, was primarily due to increased variable expenses at certain hotels, most notably payroll and related costs.
Previous wording
The decrease in non-comparable owned and leased expenses during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, was primarily driven by dispositions of owned hotels, partially offset by increased expenses at a recently renovated hotel in the United States.
Current wording
The decrease in non-comparable owned and leased expenses during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, was primarily driven by dispositions of owned hotels, partially offset by increased expenses at a recently renovated hotel in the United States.
Previous wording
Distribution expenses. During the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, distribution expenses increased $8 million and $24 million, respectively, primarily driven by ALG Vacations due to an increase in certain variable costs, in part due to a change in product mix, and expenses related to Mr & Mrs Smith, which was acquired in the second quarter of 2023, most notably payroll and related costs and marketing costs.
Current wording
Distribution expenses. During the three months ended September 30, 2024, compared to the three months ended September 30, 2023, distribution expenses decreased $3 million primarily driven by ALG Vacations due to a decrease in certain variable costs, partially offset by expenses related to Mr & Mrs Smith, most notably payroll and related costs. During the nine months ended September 30, 2024, compared to the nine months ended September 30, 2023, distribution expenses increased $21 million, primarily driven by expenses related to Mr & Mrs Smith, which was acquired in the second quarter of 2023, most notably payroll and related costs and marketing costs, and ALG Vacations due to an increase in certain variable costs, in part due to a change in product mix as well as an increased volume of passenger transfers.
Previous wording
Other direct costs. During the three and six months ended June 30, 2024, other direct costs decreased $70 million and $123 million, respectively, compared to the three and six months ended June 30, 2023, primarily driven by the Destination Residential Management business, which was sold during the third quarter of 2023, and the UVC Transaction.
Current wording
Other direct costs. During the three and nine months ended September 30, 2024, other direct costs decreased $62 million and $185 million, compared to the three and nine months ended September 30, 2023, respectively, driven by the UVC Transaction and the sale of the Destination Residential Management business, offset by an increase in expenses related to our co-branded credit card programs.
Previous wording
Transaction and integration costs. During the six months ended June 30, 2024, transaction and integration costs decreased $5 million, compared to the six months ended June 30, 2023, primarily due to transaction costs related to the acquisitions of Mr & Mrs Smith and Dream Hotel Group in 2023.
Current wording
Transaction and integration costs. During the nine months ended September 30, 2024, transaction and integration costs decreased $5 million, compared to the nine months ended September 30, 2023, primarily due to transaction and integration costs related to the acquisition of Dream Hotel Group and transaction costs related to the acquisition of Mr & Mrs Smith in 2023, partially offset by transaction costs for potential transactions in 2024, including the acquisition of Standard International, which closed on October 1, 2024. See Part I, Item 1, "Financial Statements—Note 7 and Note 20 to our Condensed Consolidated Financial Statements" for additional information.
Previous wording
Depreciation and amortization expenses. Depreciation and amortization expenses decreased $15 million and $21 million, during the three and six months ended June 30, 2024, respectively, compared to the three and six months ended June 30, 2023, due to the UVC Transaction and dispositions of owned hotels.
Current wording
Depreciation and amortization expenses. Depreciation and amortization expenses decreased $19 million and $40 million, during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, respectively, due to the UVC Transaction and dispositions of owned hotels.
Previous wording
Reimbursed costs increased during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, driven by increased payroll and related expenses at managed properties where we are the employer and expenses related to system-wide services provided to managed and franchised properties. The higher expenses were due to increased demand at our existing properties and portfolio growth.
Current wording
Reimbursed costs increased during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, driven by increased payroll and related expenses at managed properties where we are the employer, expenses related to system-wide services provided to managed and franchised properties, and expenses related to the loyalty program. The higher expenses were due to increased demand at our existing properties and portfolio growth.
Previous wording
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts decreased during the three and six months ended June 30, 2024, compared to the three and six months ended June 30, 2023, driven by the performance of the underlying invested assets.
Current wording
Net gains (losses) and interest income from marketable securities held to fund rabbi trusts increased during the three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, driven by the performance of the underlying invested assets.
Previous wording
Interest expense. Interest expense increased $9 million and $14 million during three and six months ended June 30, 2024, respectively, compared to the three and six months ended June 30, 2023, primarily due to the issuances of senior notes in 2024 and 2023, offset by the redemption of certain of our Senior Notes in 2023. See Part I, Item 1, "Financial Statements—Note 9 to our Condensed Consolidated Financial Statements" for additional information.
Current wording
Interest expense. Interest expense increased $9 million and $23 million during three and nine months ended September 30, 2024, compared to the three and nine months ended September 30, 2023, respectively, primarily due to the issuances of senior notes in 2024 and 2023, partially offset by the redemption of certain of our Senior Notes in 2023. See Part I, Item 1, "Financial Statements—Note 10 to our Condensed Consolidated Financial Statements" for additional information.
Previous wording
Gains (losses) on sales of real estate and other. During the three months ended June 30, 2024, we recognized the following:
Current wording
Gains (losses) on sales of real estate and other. During the three months ended September 30, 2024, we recognized a $514 million pre-tax gain related to the sale of Hyatt Regency Orlando and an adjacent undeveloped land parcel.
Previous wording
During the six months ended June 30, 2024, we also recognized the following:
Current wording
During the nine months ended September 30, 2024, we also recognized the following:
Previous wording
•$231 million pre-tax gain related to the UVC Transaction; and
Current wording
•$231 million pre-tax gain related to the UVC Transaction;
Showing the first 40 of 81 pairs. Open the source sections for the rest.
Rearranged current paragraphs (4)
Current report — wording carried from elsewhere
•in Asia Pacific (excluding Greater China), one property that underwent a significant renovation and one property that left the hotel portfolio; and
Current report — wording carried from elsewhere
•in the Americas (excluding United States), one property that underwent a significant renovation; and
Current report — wording carried from elsewhere
The table below includes comparable system-wide RevPAR, occupancy, and ADR for owned and leased hotels.
Current report — wording carried from elsewhere
•We issued the 2027 Notes and received approximately $596 million of net proceeds, after deducting $4 million of underwriting discounts and other offering expenses.
Rearranged previous paragraphs (3)
Previous report — wording carried elsewhere
CODM assesses performance and makes decisions regarding the allocation of resources. A summary of our reportable segments is as follows:
Previous report — wording carried elsewhere
•in the United States, one property that underwent a significant renovation;
Previous report — wording carried elsewhere
•in Asia Pacific (excluding Greater China), one property that left the hotel portfolio; and