Core Insights - Travelers are currently in a "wait-and-see mode" due to softened American travel demand, leading to a cautious approach in booking [1][2] - Hilton's revenue per available room (RevPAR) grew by 2.5% year-over-year, but the company expects flat RevPAR for the second quarter compared to the same period last year [1][3] - Broader macroeconomic uncertainty has negatively impacted leisure travel demand, with short-term bookings remaining roughly flat year-over-year [2][4] Company Performance - Hilton downgraded its annual guidance for RevPAR growth to a range of 0% to 2%, down from a previous forecast of 2% to 3% [3] - The company reported solid performance in January and February, but this was overshadowed by weaker trends observed in March and continuing into the second quarter [1][2] Industry Trends - The travel industry is experiencing a slowdown after a post-pandemic boom, with Americans pulling back on travel amid economic uncertainty [4] - Airlines have also reported weaker demand, leading to cuts in summer flight schedules and adjustments in annual forecasts [4] - Experts indicate that consumers are now more focused on value and are booking trips last-minute, reflecting a shift in behavior due to financial pressures [6][7]

Financial Data and Key Metrics Changes - The company reported a strong quarter with notable financial results, including a $200 million EBITDA enhancement plan in motion, with expectations to implement over $150 million in 2025 [10][23] - BetMGM reported a 34% increase in net revenue from operations and an EBITDA of $22 million, representing an improvement of over $150 million from the prior year [14][20] - The company repurchased nearly 15 million shares for about $494 million in the first quarter, with an additional 8 million shares repurchased in the second quarter to date for $215 million [24] Business Line Data and Key Metrics Changes - MGM China maintained a mid-teen market share, ending the quarter at 15.7%, with a dividend payout policy increased to 50% of distributable profits [13][20] - The regional properties experienced a modest decline in revenue due to inclement weather, but ended the quarter strong with record slot wins in March [12][19] - MGM Digital made progress with the launch in Brazil, showing early traction with healthy retention rates [14][21] Market Data and Key Metrics Changes - Las Vegas operations showed resilience with record hotel occupancy and strong demand, particularly from the Marriott partnership, which booked over 440,000 room nights in April [11][29] - Airline capacity at Harry Reid Airport remains at record levels, with domestic flight capacity up 2% from April to June [11] - Macau's market share remained stable, with strong operational efficiency and a focus on maximizing asset utilization [19][78] Company Strategy and Development Direction - The company is focused on leveraging its luxury offerings and regional operations to drive growth, with significant investments in digital businesses and future projects in Japan and New York [25][16] - The partnership with Marriott is expected to enhance customer acquisition and drive omnichannel opportunities, particularly with BetMGM [9][29] - The company is committed to continuous improvement and cost management, with a focus on enhancing EBITDA through revenue actions and cost savings [23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of Las Vegas and the company's ability to adapt to varying economic conditions [10][25] - The operating environment is expected to remain stable, with key metrics in line with expectations, and April projected to be a record month for hotel operations [12][28] - The company remains optimistic about future growth opportunities, particularly in Japan and the digital space, while maintaining a solid balance sheet [16][25] Other Important Information - The company has a strong liquidity position, with a new revolving credit facility providing $3 billion of liquidity [20] - The company is actively managing labor costs and has seen a reduction in full-time employees across regions [37][38] - The company is focused on maximizing marketing efficiency and customer engagement through digital channels [67] Q&A Session Summary Question: Can you unpack the April performance in Las Vegas regarding major KPIs? - Management noted that April is shaping up to be a record month, with strong hotel occupancy and group performance, aided by the Marriott partnership [28][29] Question: How is the company compensating for the soft inbound from Canada? - Management indicated that the higher-end business is not significantly impacted, with strong performance from Marriott blocks and casino operations [32][34] Question: Are payroll and labor increases related to the $150 million cost management initiative? - Management confirmed that the labor cost management efforts are ongoing and reflected in the current payroll increases [37] Question: What is the status of the Japan project and its budget? - The equity commitment for the Japan project is approximately $428 billion yen, with contributions expected over the next four years [55] Question: How does the company view share repurchases in light of increasing CapEx? - Management indicated a potential decrease in share repurchases as CapEx ramps up, but remains open to leveraging for strategic opportunities [72][73] Question: What is the impact of tariffs on the development pipeline? - Management stated that the impact of tariffs on the development pipeline is expected to be minimal, with most purchases already completed [82] Question: How is the company managing the impact of tariffs on operational costs? - Management noted that they have alternatives for consumables subject to tariffs and do not foresee significant impacts on development ambitions [82] Question: What are the next steps for the Dubai hotel project? - Management is awaiting decisions from local authorities regarding gaming opportunities while progressing with the hotel construction [88]

Wyndham Hotels & Resorts Business Model and Performance - Wyndham Hotels & Resorts operates with an asset-light, highly scalable, and fully franchised model[6], with over 99% of their hotels being franchised[7] - The company boasts high operating leverage, achieving an Adjusted EBITDA Margin of 83% in FY 2024[8] - Wyndham generates strong, recurring free cash flow, converting approximately 57% of Adjusted EBITDA into Adjusted Free Cash Flow in 2024, equating to $397 million from an Adjusted EBITDA of $694 million[10] - The company has returned approximately $2.5 billion of capital to shareholders since its spin-off, representing about 42% of its market capitalization at the time of the spin-off, including $109 million in Q1 2025[40] Growth and Pipeline - Wyndham's global system size has shown consistent net room growth, with a 4% increase year-over-year as of January 1, 2025[30] - The company's global pipeline has expanded to approximately 254,000 rooms across approximately 2,140 hotels as of March 31, 2025, marking the 19th consecutive quarter of sequential growth[33] - The global pipeline is composed of 77% new construction and 23% conversions[33] 2025 Outlook and Priorities - The company projects system-wide room growth between 3.6% and 4.6% in 2025[46] - Wyndham anticipates Adjusted EBITDA growth of 5-7% on a comparable basis in 2025, projecting an Adjusted EBITDA between $730 million and $745 million[49] - The company expects to return approximately $130 million to shareholders through dividends in 2025[49]

Core Insights - Wyndham Hotels & Resorts reported strong first-quarter results for 2025, achieving record openings and a robust development pipeline despite macroeconomic uncertainties [1][2][3] - The company’s asset-light, franchise-only business model has shown resilience during economic downturns, positioning it for long-term shareholder value [1] System Size and Development - As of March 31, 2025, Wyndham's global system comprised 907,200 rooms, reflecting a 4% year-over-year growth [2] - The U.S. system grew to 502,600 rooms, a 1% increase, while international rooms reached 404,600, a 7% increase [2][31] - The development pipeline included approximately 2,140 hotels and 254,000 rooms, marking a 5% year-over-year increase [3][6] Revenue Performance - Global RevPAR increased by 2% in constant currency, with U.S. RevPAR at $42.37 (up 2%) and international RevPAR at $28.73 (up 3%) [3][5] - Fee-related and other revenues grew by 4% year-over-year to $316 million, driven by higher royalties and franchise fees [15][25] Financial Results - Net income for the first quarter was $61 million, compared to $16 million in the prior year, with adjusted net income increasing by 5% to $67 million [15][25] - Adjusted EBITDA rose by 3% year-over-year to $145 million, reflecting higher fee-related revenues and margin expansion [15][25] - Diluted earnings per share increased to $0.78 from $0.19 in the prior year, with adjusted diluted EPS growing 10% to $0.86 [15][25] Shareholder Returns - The company returned $109 million to shareholders through share repurchases of $76 million and quarterly cash dividends of $0.41 per share [13][15] - During the first quarter, approximately 797,000 shares were repurchased [13] Outlook for 2025 - The company refined its full-year outlook, anticipating a softer RevPAR environment, with global RevPAR growth projected between -2% and 1% [14][39] - The net room growth outlook remains at 3.6% to 4.6% for the full year [16][39]

Core Insights - Marriott International has surpassed its volunteerism goal of 15 million hours served globally, achieving this milestone one year ahead of schedule, with a total of 15.6 million volunteer hours completed from 2016 to the end of 2024 [1][3] Group 1: Volunteerism and Community Engagement - The company emphasizes its commitment to community service through its sustainability and social impact platform, Serve 360, which focuses on four priority areas: Nurture Our World, Sustain Responsible Operations, Empower through Opportunity, and Welcome All and Advance Human Rights [3][7] - Marriott associates have actively participated in disaster relief efforts, contributing over 1,700 hours of disaster relief work following Hurricanes Helene and Milton in 2024, and over 15,000 volunteer hours for wildfire relief in Maui, Hawaii in 2023 [4] - The "Check Out for Children" program has supported UNICEF since 1995, benefiting over 4.5 million children worldwide through donations from participating hotels [5] Group 2: Regional Initiatives - In the Asia Pacific region, Marriott hotels have rescued over 440,000 lbs. of surplus food, resulting in over 800,000 meals donated to communities in need [6] - In the Caribbean and Latin America, properties have engaged in sea turtle nesting and release programs, supporting the release of over 445,000 sea turtles since 2018 [6] - In the U.S. and Canada, local hotels have raised over $46 million for Children's Miracle Network Hospitals from 2016 through the end of 2024, with associates contributing nearly 25,000 volunteer hours in 2024 alone [6]

Financial Data and Key Metrics Changes - System-wide RevPAR grew by 2.5% year over year, driven by strong momentum from the end of the previous year [6][15] - Adjusted EBITDA for the first quarter was $795 million, up 6% year over year, exceeding the high end of guidance [15][21] - Diluted earnings per share adjusted for special items was $1.72 [16] Business Line Data and Key Metrics Changes - Group RevPAR increased by more than 6% year over year, supported by growth in urban markets and company meetings [6] - Business transient RevPAR increased by 2%, primarily from small and medium-sized businesses [6] - Leisure transient RevPAR increased by 1%, with robust performance in January followed by softening demand [6] Market Data and Key Metrics Changes - U.S. RevPAR increased by 2.1%, driven by strong group performance [16] - In the Americas outside the U.S., RevPAR increased by 7% year over year, driven by key events in Mexico and Brazil [17] - In Europe, RevPAR grew by 2.6% year over year, with strong rate and occupancy growth in Continental Europe [18] - In the Middle East and Africa, RevPAR increased by 8.5% year over year, driven by strong performance in Saudi Arabia [18] - In the Asia Pacific region, RevPAR was flat year over year, with a decline of 3.1% in China [19] Company Strategy and Development Direction - The company continues to expand its development pipeline, with over 503,000 rooms, representing a 7% year-over-year increase [10][19] - The company aims for net unit growth of 6% to 7% in 2025, with nearly half of the pipeline under construction [12] - The luxury and lifestyle categories accounted for 30% of all hotel openings in the quarter, with significant growth in these portfolios [9] Management's Comments on Operating Environment and Future Outlook - Management noted that broader macro uncertainty intensified in March, impacting demand, particularly in leisure [6] - The company expects second quarter RevPAR to be approximately flat versus the prior year quarter, with full-year expectations of flat to up 2% [7][21] - Management expressed optimism about long-term opportunities despite current macroeconomic uncertainties, citing a resilient business model [13][36] Other Important Information - The company was named the number one best company to work for in the U.S. by Great Place to Work and Fortune for the second consecutive year [13] - A cash dividend of $0.15 per share was paid during the first quarter, with a total expected return of approximately $3.3 billion to shareholders for the year [21] Q&A Session Summary Question: Perception of the recessionary environment - Management acknowledged the uncertainty in the market but expressed a belief that risks are more equally weighted than perceived, with potential for upside in the long term [30][36] Question: Development environment amidst uncertainty - Management indicated that while developers are cautious, there has not been a significant impact on current projects, and they remain optimistic about development momentum [44][50] Question: Impact of economic downturn on business - Management emphasized the resilience of the business model, with low leverage and strong liquidity, preparing for any potential downturn [56][58] Question: Economic intensity of deals in APAC and China - Management highlighted that the business in China is growing through joint ventures, with no capital investment required, and emphasized the strong demand for their brands in the region [63][66] Question: Strength in group bookings - Management noted that group bookings are expected to lead RevPAR growth, despite some short-term uncertainty affecting booking patterns [72][76] Question: Clarification on non RevPAR driven fees - Management clarified that a significant portion of the first quarter's performance was due to timing, but non RevPAR driven fees are expected to outperform throughout the year [86]

Core Insights - Atlantis Casino Resort Spa has been recognized as the top hotel in Reno by U.S. News & World Report, evaluated among over 31,000 properties globally [1][2][3] - The hotel features modern amenities, including brand new hotel rooms and suites, and is committed to service excellence [3][5] Company Overview - Atlantis Casino Resort Spa is owned and operated by Monarch Casino & Resort, Inc. and is consistently ranked as the 1 Reno resort on TripAdvisor [5] - The property has received the prestigious AAA Four Diamond designation and is recommended by Forbes Travel Guide [5] Industry Context - The 2025 Best Hotels rankings by U.S. News highlight the importance of modern amenities and exceptional customer service in attracting guests [4] - The rankings serve as a resource for various types of travelers, from couples to families [4]

Core Insights - Hilton Worldwide Holdings Inc. reported first-quarter adjusted earnings per share of $1.72, exceeding the street view of $1.61 [1] - Quarterly sales reached $2.69 billion, which fell short of the analyst consensus estimate of $2.72 billion [1] - Adjusted EBITDA for the first quarter was $795 million, an increase from $750 million a year ago, with an expanded adjusted EBITDA margin of 73.7% compared to 70.4% in the previous year [1] Financial Performance - System-wide comparable RevPAR increased by 2.5% on a currency-neutral basis for the first quarter compared to the same period in 2024 [2] - Quarterly net income margin improved to 11.1% from 10.4% [2] - The company opened 186 hotels, adding a total of 20,100 rooms, resulting in 14,000 net room additions during the first quarter of 2025 [2] Strategic Developments - The company expanded its pipeline of lifestyle properties, introducing the Tempo by Hilton brand in the U.K., marking its first hotel outside the U.S., along with new hotels in Greece and Utah [3] - As of March 31, the company had $11.2 billion in outstanding debt, excluding deferred financing costs and discounts [3] Cash Management - Total cash and equivalents amounted to $807 million as of March 31, 2025, which included $76 million of restricted cash [4] - The firm repurchased 3.7 million shares of common stock during the first quarter, leading to a total capital return of $927 million for the quarter and $1,157 million year-to-date through April [4] - The board of directors authorized a regular quarterly cash dividend of $0.15 per share to be paid on June 27 [4] Future Outlook - Hilton raised its full-year 2025 adjusted EPS guidance to a range of $7.76–$7.94, up from the previous range of $7.71–$7.82, which compares favorably to the $7.93 analyst estimate [5] - For the second quarter, the company expects adjusted EPS between $1.97 and $2.02, which is below the $2.11 estimate [5] - HLT shares were trading lower by 1.30% to $224.27 at the last check on Tuesday [5]

Core Viewpoint - Hilton Worldwide Holdings Inc. reported strong earnings for Q1 2025, exceeding estimates for the sixth consecutive quarter, although revenues fell short of expectations [1][3]. Financial Performance - Adjusted earnings per share (EPS) for Q1 2025 were $1.72, surpassing the Zacks Consensus Estimate of $1.61 and up from $1.53 in the same quarter last year [3]. - Total revenues reached $2,695 million, missing the consensus mark of $2,707 million but reflecting a year-over-year growth of 4.7% [3]. - Franchise and licensing fees improved to $625 million from $571 million year-over-year, while base and other management fees declined to $88 million from $106 million [4]. - Ownership revenues were reported at $234 million, down from $255 million in the previous year [5]. - System-wide comparable RevPAR grew by 2.5% year-over-year, driven by increased occupancy and average daily rate (ADR) [6]. - Adjusted EBITDA for the quarter was $795 million, a 6% increase year-over-year, exceeding the estimate of $789.2 million [6]. Balance Sheet and Shareholder Returns - As of March 31, 2025, total cash and cash equivalents were $807 million, down from $1.376 billion at the end of 2024, with long-term debt remaining stable at $11.15 billion [7]. - The company repurchased 3.7 million shares at an average price of $242.92 per share and paid dividends totaling $37 million during the quarter [7][8]. - A quarterly cash dividend of 15 cents per share was declared, payable on June 27, 2025 [8]. Business Expansion - In Q1 2025, Hilton added 186 hotels, totaling 20,100 rooms, achieving a net room growth of 14,000 [9]. - The company introduced new lifestyle brands and expanded its luxury offerings, including openings in the UK and Greece [9][10]. - As of March 31, 2025, Hilton's development pipeline included 3,600 hotels representing 503,400 rooms across 123 countries, with an expected net unit growth of 6-7% for 2025 [10]. Future Outlook - For Q2 2025, Hilton anticipates net income between $455 million and $469 million, with adjusted EBITDA expected to be between $940 million and $960 million [11]. - System-wide RevPAR is projected to increase by 2.5-3.5% year-over-year for Q2 2025 [12]. - Full-year adjusted EPS is forecasted to be in the range of $7.76-$7.94, with a capital return of approximately $3.3 billion [13].

Core Insights - Hilton Worldwide Holdings Inc. reported $2.7 billion in revenue for Q1 2025, a year-over-year increase of 4.7% and an EPS of $1.72 compared to $1.53 a year ago, with a slight revenue miss against the Zacks Consensus Estimate of $2.71 billion [1] - The company delivered an EPS surprise of +6.83%, exceeding the consensus EPS estimate of $1.61 [1] Financial Performance Metrics - Total owned/leased rooms stood at 15,606, below the average estimate of 17,109 based on two analysts [4] - Revenue per available room (RevPAR) system-wide was $103.59, slightly below the average estimate of $106.21 [4] - Total systemwide rooms were reported at 1,282,192, exceeding the average estimate of 1,273,692 [4] - System-wide RevPAR growth was 2.5%, matching the two-analyst average estimate [4] Revenue Breakdown - Revenues from owned and leased hotels were $234 million, below the five-analyst average estimate of $258.21 million, representing a year-over-year decline of -8.2% [4] - Other revenues totaled $46 million, compared to the estimated $55.03 million, reflecting an -8% change year-over-year [4] - Franchise and licensing fees generated $625 million, slightly below the average estimate of $629 million, but showing a +9.5% year-over-year increase [4] - Base and other management fees were $88 million, in line with the four-analyst average estimate of $88.41 million, indicating a -17% year-over-year change [4] - Incentive management fees reached $72 million, surpassing the average estimate of $67.81 million, with a +2.9% year-over-year increase [4] Stock Performance - Hilton Worldwide shares have returned -2.6% over the past month, compared to the Zacks S&P 500 composite's -0.8% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]