Latest news with #Nassetta
The Hindu
06-05-2025
- Business
- The Hindu
Hilton committed to contribute to India's growing travel, hospitality sector, says Chris Nassetta, president & CEO
Hilton, the American hotel chain, was on an ambitious growth trajectory in South Asia and the hospitality group was also committed to contribute to India's growing travel and hospitality sector, said its president and CEO, Chris Nassetta, here on Tuesday. Emphasising on the importance Hilton placed on India, Mr. Nassetta said, 'India is a critical part of Hilton's global growth strategy. As one of the world's largest and most dynamic markets, it represents a major opportunity across brand segments – from luxury to premium economy.'' He was speaking at a brand journey Hilton organised for the media in Bengaluru to showcase 10 of its brands that are already operating in India. Speaking on the occasion, Alan Watts, president, Asia Pacific, Hilton, said, 'With more than 1,000 hotels across Asia Pacific, and plans to grow to 10 times our current portfolio in India with our SLA (service level agreement) partners, our commitment to this region is stronger than ever.'' Hilton currently has 32 trading hotels and 29 properties in the pipeline which all would be operational in the next four years. The brand showcase was organised to demonstrate the power of Hilton's brands and the scale of opportunity ahead in India, he said. 'With strong momentum in 2025 and a clear vision for the future, we are investing, expanding, and ensuring Hilton has a presence everywhere our guests want to travel in India,'' Mr Watts added. According to Alexandra Jaritz, senior vice president, Brand Management, Asia Pacific, Hilton, India is bold, fast-moving, and shaping the way the world travels. ''Our goal here is simple: meet guests wherever they are, with the right brand, in the right place, at the right time. From the iconic Waldorf Astoria to the energetic Spark by Hilton, our diverse portfolio is built to serve India's equally diverse travellers,'' he stated.
Business Insider
30-04-2025
- Business
- Business Insider
Hilton CEO says travelers are in 'wait-and-see mode'
The CEO of Hilton, Christopher Nassetta, said Tuesday that travelers seem to be in a "wait-and-see mode" as American travel demand has softened. Hilton reported its revenue per available room grew 2.5% year-over-year, driven by solid performance in January and February. "However, broader macro uncertainty intensified in March, which pressured demand particularly across leisure," Nassetta said on the company's first-quarter earnings call. "Weaker trends have continued into the second quarter, with short-term bookings roughly flat year-over-year." "We believe travelers are largely in a wait-and-see mode, as the rapidly-changing macro environment continues to unfold," he added. As a result, Hilton said it expected its second-quarter revenue per room to be approximately flat compared to the same quarter a year prior. The company also downgraded its guidance for the year and is now projecting revenue per available room growth of 0 to 2%. In February, they forecasted growth of 2 to 3%. Travel has recently showed signs of slowing down after a post-pandemic boom, with softening US demand being felt across much of the industry as Americans pull back on travel amid broader economic uncertainty. Airlines have also reported weaker demand and as a result have cut summer flight schedules and adjusted their forecasts for the year. Nassetta said market reactions and consumer sentiment show there's a lot of economic uncertainty, but that he thinks there's been an "overreaction" to the changes brought on by President Donald Trump's administration. "I think at the moment the risk in the marketplace is sort of weighted too heavily to the downside," Nassetta told analysts on the call. "My own belief is you will see some of that, if not a lot of that, uncertainty wane over the next couple of quarters, and that will allow the underlying strength of the economy to shine through again." Travel industry experts previously told Business Insider that travelers were booking trips more last-minute, supporting the idea that they may be in "wait-and-see mode." Ali Furman, consumer markets industry leader at PwC, and Jonathan Kletzel, transportation and logistics leader at PwC, told Business Insider last month Americans were cutting back on travel and waiting until closer to their dates of travel to book flights, hotels, and rental cars. "This moderation is different from the post-pandemic surge when consumers were willing to pay almost any price for a trip," they said, adding that consumers are focused on getting the best value. "Now, financial pressures are causing them to think twice before booking."
Yahoo
08-02-2025
- Business
- Yahoo
We Now Know What Hilton Paid for NoMad Hotels: Just $56 Million
When Hilton announced last April that it had acquired a majority controlling interest in Sydell Group, the owner of NoMad Hotels, it did not disclose deal terms. But Hilton revealed the price in an annual financial filing posted Thursday: Just $56 million. That's probably one of the cheapest deals for a brand by a major hotel group in recent years. In the filing, Hilton stated: "In April 2024, we acquired a controlling financial interest in both Sydell Hotels & Resorts, LLC and Sydell Holding Company UK Ltd (collectively, the "Sydell Group"), which owns the NoMad brand." "We accounted for the transaction as a business combination and recognized the fair value, which included measurement period adjustments made subsequent to the acquisition date, of an indefinite-lived brand intangible asset of approximately $48 million and management contract intangible assets, with an aggregate fair value of approximately $8 million." The $56 million may not be the total final price. Earlier last year, Hilton's financial filings said that remaining "noncontrolling" equity interests held by others in the Sydell Group can be sold to Hilton in 2030 or bought by Hilton in 2032. These interests had "a fair value of $22 million as of the acquisition date." Hilton plans to scale up NoMad Hotels from a single property in London today to a luxury brand with hotels that "are both grand and intimate" and have "special touches like unique local art collections featured in each property," the filing on Thursday said. "If you're going to buy a brand ... then the perfect thing to do is to buy something that is small, but it feels much bigger, and grow it," said Chris Nassetta, Hilton president and CEO, when speaking at a press conference at the Americas Lodging Investment Summit, or ALIS, in Los Angeles last week. "Nomad is in a crowded space, a space that we have wanted to be in for a while," Nassetta said. "It was pretty well known despite being only one hotel, and it has a brand ethos that we wanted to scale up," Nassetta said. "It had a great perception.... In the next 10, 15 years, there might be 30 to 50 in the most important urban destinations." "Maybe one other player has something similar to us," Nassetta said. "So it's a space we needed to be in." NoMad may become most closely comparable to Marriott's Edition brand over time. The NoMad acquisition appears to be relatively inexpensive compared to some other recent acquisitions. The deal mainly involves intellectual property for the brand, staff knowledgeable about boutique hotels, and a management contract to run a hotel in London. One comparable recent acquisition was Hyatt's purchase of Standard International's brands last year. Hyatt bought The Standard, The Peri Hotel, and a few smaller brands for a base purchase price of $150 million, with an additional $185 million contingent on further properties entering the portfolio, bringing the transaction value to $335 million. Like Hilton, Hyatt wanted to buy talent and intellectual property to scale up its lifestyle hotel offerings more quickly. It has since established a dedicated lifestyle group led by Standard International's Executive Chairman, Amar Lalvani. Back in 2022, Hyatt acquired Dream Hotel Group's lifestyle hotel brands, including Dream Hotels, The Chatwal Hotels, and Unscripted Hotels. Initially, Hyatt spent $125 million to acquire Dream Hotel Group's existing hotels. Additionally, if Hyatt purchases all two dozen signed long-term management agreements for planned hotels, it will pay an extra $175 million over time. Luxury hotels can differentiate themselves by broadening their offerings and embracing lucrative experiential trends. Luxury hotels can differentiate themselves by broadening their offerings and embracing lucrative experiential trends. Read More What am I looking at? The performance of hotels and short-term rental sector stocks within the ST200. The index includes companies publicly traded across global markets, including international and regional hotel brands, hotel REITs, hotel management companies, alternative accommodations, and timeshares. The Skift Travel 200 (ST200) combines the financial performance of nearly 200 travel companies worth more than a trillion dollars into a single number. See more hotels and short-term rental financial sector performance. Read the full methodology behind the Skift Travel breaking travel news and exclusive hotel, airline, and tourism research and insights at Sign in to access your portfolio
