What was the net cash provided by operating activities for Caption By Hyatt in 2024?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
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CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Years Ended December 31, 2024, December 31, 2023, and December 31, 2022 (In millions of dollars)
| 2024 | 2023 | 2022 | ||
|---|---|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||
| Net income | $ 1,296 | $ | 220 | $ 455 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||||
| (Gains) losses on sales of real estate and other | (1,245) | (18) | (263) | |
| Depreciation and amortization | 333 | 397 | 426 | |
| Amortization of share awards | 64 | 75 | 61 | |
| Amortization of operating lease right-of-use assets | 36 | 42 | 35 | |
| Deferred income taxes | (123) | (125) | (259) | |
| Asset impairments | 213 | 30 | 38 | |
| Equity (earnings) losses from unconsolidated hospitality ventures | (31) | 1 | (5) | |
| Contra revenue | 69 | 47 | 31 | |
| Unrealized (gains) losses, net | (53) | (36) | 55 | |
| Contingent consideration liability fair value adjustment | (39) | 9 | — | |
| Payments for key money assets | (153) | (132) | (165) | |
| Other | 78 | 87 | 98 | |
| Increase (decrease) in cash attributable to changes in assets and liabilities | ||||
| Receivables, net | (15) | — | (209) | |
| Prepaid income taxes | 65 | (24) | 2 | |
| Prepaids and other assets | (116) | (66) | (114) | |
| Other long-term assets | (6) | (92) | (110) | |
| Accounts payable, accrued expenses, and other current liabilities | 56 | (29) | 96 | |
| Contract liabilities | 48 | 290 | 378 | |
| Deferred revenue related to the loyalty program | 203 | 202 | 113 | |
| Operating lease liabilities | (35) | (4 |
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Caption By Hyatt's 2025 Franchise Disclosure Document, the net cash provided by operating activities in 2024 was $633 million. This figure represents the cash generated from the company's core business operations during that year. It's a key indicator of Caption By Hyatt's financial health and its ability to fund ongoing expenses, investments, and potential expansion.
Several adjustments were made to net income to arrive at this figure. These adjustments include gains and losses on sales of real estate, depreciation and amortization, amortization of share awards and operating lease right-of-use assets, deferred income taxes, asset impairments, equity earnings/losses from unconsolidated hospitality ventures, contra revenue, unrealized gains/losses, contingent consideration liability fair value adjustment, payments for key money assets and other adjustments. These adjustments are typical in financial reporting to reconcile net income, which is an accrual-based measure, to actual cash flows.
Additionally, changes in various assets and liabilities impacted the net cash provided by operating activities. These include receivables, prepaid income taxes, prepaids and other assets, other long-term assets, accounts payable, accrued expenses and other current liabilities, contract liabilities, deferred revenue related to the loyalty program, operating lease liabilities, accrued compensation and benefits, and other long-term liabilities. These changes reflect the timing differences between when revenues and expenses are recognized and when cash is actually received or paid out.
For a prospective Caption By Hyatt franchisee, this information is valuable as it provides insight into the financial stability and cash-generating capabilities of the parent company. Strong cash flow from operations suggests that Caption By Hyatt is well-positioned to support its franchisees and invest in the brand's future growth. However, it is important to consider these figures in the context of the company's overall financial performance and industry trends.