Why Hyatt-branded hotels are still operating in Russia
For now, the Hyatt (backed by the Pritzker family) and its competitors are minimizing the impact of the Russian invasion on their business.
Speaking at the Raymond James institutional investor conference in Orlando on Tuesday, Hyatt chief financial officer Joan Bottarini said the company was monitoring the Russian-Ukrainian situation “very closely” but “we haven’t seen any impact.” significant”.
Marriott International CEO Tony Capuano said yesterday at the JPMorgan Gaming, Lodging, Restaurant & Leisure Management Access Forum in Las Vegas that the company has 28 managed and franchised hotels in Russia, which collectively account for less than 1% of total revenue. ‘she pulls a fee. Russian travellers, he said, also make up less than 1% of all hotel room bookings per night globally.
“We are very focused on the safety of our associates and the safety of our guests in these markets. But from a materiality perspective in terms of the company’s financial performance, (it’s) not particularly significant,” Capuano said of Russia.
As to whether the invasion will impact the hospitality industry in Europe as a whole, Capuano said it was too early to tell. “The recovery around the world has been largely driven by traveler confidence. And depending on how the situation in Ukraine develops, could that have an impact on traveler confidence in Europe? Of course.”
Shares of Hyatt closed Tuesday at just under $85 apiece, about the same level as the company’s stock price a year ago but down 11% since the start of the year.