Hyatt announces 17% revpar boost in full-year results

Hyatt reported a 15.6% system-wide revenue per available room (revpar) boost across the EMEA region in its full-year results for 2023.

Revpar growth across the Chicago-based hotel group as a whole was slightly higher at 17%, led by strong performance in its luxury segment, in which revpar was up 21.5% compared to 2022.

Net income also hit $26m (£20.6m) in Q4 2023 and $220m (£174m) for full-year 2023.

Within the EMEA region, adjusted earnings before interest, taxes, depreciation and amortisation from managed and franchised hotels grew 19.7% versus 2022 to $17m (£13.4m), driven by “resilient leisure demand and strong business transient and group performance”.

Hyatt added 12 new hotels to the EMEA portfolio in 2023, including the Hyatt Regency London Albert Embankment and Hyatt Regency London Blackfriars (pictured) in the UK.

The group launched 101 new hotels (23,965 rooms) overall in the period, 43 of which were conversions into a Hyatt brand.

As of 31 December 2023, Hyatt had a pipeline of executed management or franchise contracts for roughly 650 hotels, 75 of which are allocated to the EMEA region.

Globally, Hyatt’s luxury properties, which include brands such as Grand Hyatt, Park Hyatt and Andaz, made up 23.8% of the pipeline, while its upscale brands – Hyatt House and Hyatt Place – accounted for 36.2% of properties in development.

Hyatt also returned $500m (£395m) to shareholders, in line with the full-year outlook for 2023.

Mark S Hoplamazian, president and chief executive officer of Hyatt, said: “The fourth quarter marks the completion of a transformative year and demonstrates the progress towards our strategic vision and earnings evolution.

“Revpar growth exceeded the high end of our guidance range and we had industry leading net rooms growth for the seventh consecutive year. This led to a record level of fees and the highest free cash flow in Hyatt's history."

At a media briefing in November 2023, Hyatt confirmed four new hotel openings for 2024, including its first UK-based Park Hyatt property in London's Battersea.