<div id="readability-page-1"><ul><li>Hilton’s Q1 Report Put One Big Question Front and Center for 2026</li></ul><p>Hyatt Hotels <span>NYSE: H<span></span></span> reported first-quarter 2026 results that management said exceeded expectations, led by strength in luxury travel, resilient demand from higher-end customers, and continued growth in the company’s fee-based business. Executives also addressed operating disruptions tied to geopolitical conflict in the Middle East and security concerns in Mexico, while outlining updated guidance for the year.</p><h2>RevPAR growth tops expectations as luxury and premium leisure lead</h2> <p>Chairman, President, and CEO Mark Hoplamazian said Hyatt delivered “first quarter system-wide RevPAR growth of 5.4%,” which he said was ahead of expectations and driven by “continued strength in our luxury brands globally.” He added that RevPAR growth in the U.S. also came in above the company’s expectations, and that Hyatt saw “strong growth across most international markets.” </p><ul><li>Does Marriott’s Massive Rally Mean It’s Time to Check Out?</li></ul><p>Hoplamazian highlighted demand trends across customer segments, noting that “leisure demand from premium customers was exceptionally strong in the quarter, increasing approximately 7% compared to last year,” with the strongest performance in Hyatt’s luxury brands. He said business and group travel were also positive, with “business transient RevPAR up 2.4%” and “group RevPAR up nearly 4%” year-over-year. </p><p>CFO Joan Bottarini provided regional detail, stating U.S. RevPAR increased 3.3%, led by full-service hotels supported by leisure demand and resorts that saw “a particularly strong March.” She said group RevPAR rose 1.2% despite difficult comparisons in Washington, D.C., due to the January 2025 presidential inauguration. Select-service RevPAR increased 1.8%, driven by business transient demand. </p><ul><li>Amazon Takes a Bite Out of Hims: What Its GLP-1 Entrance Means</li></ul><p>Internationally, Bottarini said RevPAR growth exceeded 8%. Greater China grew RevPAR “over 12%,” supported by improved domestic leisure demand around Lunar New Year and stronger inbound travel. Asia Pacific excluding Greater China increased “over 11%,” while Europe grew 7.5% aided by leisure and “solid group demand benefiting from the Olympics in Milan.” Middle East and Africa RevPAR declined about 4% due to conflict in the region.  </p><h2>Fee business expands; distribution pressured by Jamaica and Mexico</h2> <p>Hyatt’s “core fee business continued to perform well,” Bottarini said, supported by top-line performance, hotel profitability, and portfolio scale. Gross fees rose about 9% to $333 million, driven by performance in the managed portfolio, newly opened hotels, and “newly structured management agreements from the Playa portfolio.” Incentive fees increased about 14%, which Bottarini attributed to solid hotel-level profitability, especially internationally. </p><p>By segment, Bottarini said owned and leased adjusted EBITDA declined by about $2 million (adjusted for asset sales). Distribution segment adjusted EBITDA declined year-over-year, citing “temporary factors, including the closure of hotels in Jamaica because of Hurricane Melissa and lower demand in Mexico due to security concerns.” She also pointed to “lower demand for four-star properties” as an additional headwind for distribution performance. </p><p>During the Q&amp;A, Hoplamazian characterized the distribution pressures as “isolated issues” and said Hyatt sees “more opportunities than risks” longer term, including changes to go-to-market and an “AI strategy roadmap” for ALG Vacations. He said the primary reason Hyatt owns the distribution business is its integration with the Hyatt Inclusive Collection and its ability to provide visibility into airline seat purchases and forecasting. </p><p>To frame the exposure, Hoplamazian said Mexico represents about 10% of total gross fees, the Dominican Republic about 6%, and Jamaica about 1%. He also said the Inclusive Collection posted positive RevPAR growth in Mexico and the Dominican Republic, and described a shift in March demand away from Mexico and toward the Dominican Republic that Hyatt helped facilitate through its tour operator channel.  </p><h2>World of Hyatt membership grows; development pipeline reaches record</h2> <p>Hoplamazian said Hyatt’s World of Hyatt loyalty program continued to scale, ending the quarter with about 66 million members, up 18% year-over-year. He said loyalty members accounted for “nearly half of total occupied rooms globally” in the quarter, and added that members “spend nearly twice as much compared to a non-member.” In response to an analyst question, Hoplamazian said roughly “60% or 65% of the room nights are paid for, with the remainder being redemption,” which he described as a healthy mix. </p><p>On growth, Hyatt ended the quarter with a “record development pipeline of approximately 151,000 rooms,” up more than 9% year-over-year, Hoplamazian said. He also cited momentum in newer brands, including franchise signings in the U.S. across Hyatt Studios, Hyatt Select, and Unscripted by Hyatt. According to Hoplamazian, the pipeline for new hotels in Hyatt’s Essentials brand group increased nearly 25% versus the first quarter of 2025. </p><p>Hyatt posted 5% net rooms growth in the quarter, which Hoplamazian said was in line with expectations as the company lapped a period of outsized openings last year. He highlighted lifestyle openings including Andaz Lisbon, Andaz Shanghai ITC, and The Livingston in Brooklyn, along with continued expansion of Essentials brands, including UrCove by Hyatt and a third Hyatt Studios property in the U.S.  </p><h2>Asset sales update: Grand Central plan continues; London deal terminated</h2> <p>Hyatt also updated investors on its owned-asset strategy. Hoplamazian said the company continues to make progress on selling Hyatt Grand Central New York and “could be in a position to close that transaction in the fourth quarter of 2026” if conditions are met. </p><p>However, he said Hyatt terminated the purchase and sale agreement for Andaz London Liverpool Street and is no longer under contract for two other previously signed property sales. Hoplamazian said the decisions reflected discipline on “pricing and terms,” adding that Hyatt’s broader asset sale plans remain unchanged and the company remains active in discussions on additional assets. </p><p>On the London property, Hoplamazian attributed the termination to redevelopment-related approvals tied to Network Rail that were “not issued.” He said Hyatt does not believe the opportunity is “dead,” describing it as “a setback,” and added that the hotel is performing well as Hyatt awaits a different path forward.  </p><h2>Guidance raised for RevPAR and fees; Middle East and Mexico remain watch items</h2> <p>Looking ahead, Bottarini said Hyatt is operating in a “dynamic environment,” with region-specific impacts expected to continue. She said RevPAR in the Middle East is expected to be “down significantly” versus last year, reducing fees by about $10 million for the rest of 2026. She also said pace for all-inclusive resorts in the Americas is up in the low single digits in the second quarter due to lower demand in Mexico, and that Hyatt does not expect the same level of net package RevPAR growth for the remainder of the year as in the first quarter. </p><p>Still, Hyatt raised its full-year system-wide RevPAR growth outlook to 2% to 4%, with U.S. RevPAR expected to grow 2% to 3%. Bottarini said the company is “increasingly positive” on the U.S., citing strong forward-booking trends and group pace for full-service hotels up in the mid-single digits for the remainder of 2026. She also said Hyatt expects strong performance in Greater China and the rest of Asia through the balance of the year. </p><p>Hyatt’s updated full-year outlook also includes: </p><ul>   <li><strong>Net rooms growth:</strong> 6% to 7%</li>   <li><strong>Gross fees:</strong> up 9% to 11%, or $1.305 billion to $1.335 billion</li>   <li><strong>Adjusted EBITDA:</strong> $1.155 billion to $1.205 billion, implying 13% to 18% growth</li>   <li><strong>Adjusted free cash flow:</strong> $580 million to $630 million (20% to 30% increase), with at least 50% conversion from adjusted EBITDA</li>   <li><strong>Capital return:</strong> $325 million to $375 million through repurchases and dividends</li> </ul> <p>For the second quarter, Bottarini said Hyatt expects global RevPAR growth of around 3%, supported by U.S. growth that includes the start of the FIFA World Cup in June, while noting continued strength internationally “except for the Middle East.” </p><p>Hyatt ended the quarter with about $2.2 billion in total liquidity, including $1.5 billion of revolving credit capacity, Bottarini said. The company repurchased $135 million of Class A common stock in the quarter and returned about $149 million to shareholders through repurchases and dividends, leaving $543 million remaining under its repurchase authorization.</p><h2>About Hyatt Hotels <span>NYSE: H<span></span></span></h2><p>Hyatt Hotels Corporation <span>NYSE: H<span></span></span> is a global hospitality company that develops, owns, manages and franchises luxury and business hotels, resorts and vacation properties. Its portfolio spans a range of price points and styles under brands such as Park Hyatt, Grand Hyatt, Andaz, Hyatt Regency, Hyatt Centric, Hyatt Place, Hyatt House, Thompson Hotels, Alila and Destination by Hyatt. In addition to accommodations, the company provides meeting and event spaces, food and beverage outlets, spa and wellness centers, and a variety of guest services designed to cater to both leisure and business travelers.  </p><p>Hyatt's business model combines property ownership, management contracts and third-party franchising.</p><h2>Featured Stories</h2><ul><li>Five stocks we like better than Hyatt Hotels</li></ul><p><em>This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.</em></p><h2>Should You Invest $1,000 in Hyatt Hotels Right Now?</h2><p>Before you consider Hyatt Hotels, you'll want to hear this.</p><p>MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Hyatt Hotels wasn't on the list.</p><p>While Hyatt Hotels currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys.</p><p>View The Five Stocks Here</p>                  </div>

<p>Hyatt Hotels (NYSE:H) reported Q1 2026 results exceeding expectations, driven by luxury travel and strong demand from high-end customers. RevPAR growth was 5.4%, with notable increases in leisure and business travel. Internationally, RevPAR grew over 8%, particularly in Greater China and Europe. The core fee business expanded, with gross fees rising 9% to $333 million. The World of Hyatt loyalty program grew to 66 million members, and the development pipeline reached a record 151,000 rooms. Despite some regional challenges, Hyatt remains optimistic about future opportunities.</p>

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