What were the 'Rooms and packages' revenues for the 'Owned and leased' segment of the Caption By Hyatt brand?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
strative expenses assist us in comparing our performance over various reporting periods on a consistent basis because it removes from our operating results the impact of items that do not reflect our core operations, both on a segment and consolidated basis.
The following tables present revenues disaggregated by the nature of the product or service and by segment:
| Year Ended December 31, 2024 | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Management and franchising | Owned and leased | Distribution | Segment Total | Eliminations | Total | ||||||
| Base management fees | $ | 432 | $ | — | $ | — | $ | 432 | $ | (33) $ | 399 |
| Incentive management fees | 252 | — | — | 252 | (10) | 242 | |||||
| Franchise and other fees | 465 | — | — | 465 | (7) | 458 | |||||
| Gross fees | 1,149 | — | — | 1,149 | (50) | 1,099 | |||||
| Rooms and packages | — | 777 | — | 777 | (23) | 754 | |||||
| Food and beverage | — | 279 | — | 279 | — | 279 | |||||
| Other | — | 141 | — | 141 | — | 141 | |||||
| Owned and leased | — |
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 'Rooms and packages' revenues for the 'Owned and leased' segment totaled $777 million for the year ended December 31, 2024. This figure represents the revenue generated specifically from room rentals and package deals within the hotels that Caption By Hyatt owns or leases directly. This revenue is a component of the total 'Owned and leased' segment revenue, which also includes revenue from food and beverage and other sources.
For a prospective Caption By Hyatt franchisee, understanding the revenue streams within the 'Owned and leased' segment provides insight into the performance of properties directly managed by the brand. While franchisees will operate under a franchise agreement rather than direct ownership or lease, this information can be useful for benchmarking and understanding the potential revenue generation of a Caption By Hyatt property. The 'Owned and leased' segment's performance can reflect the overall brand strength and the effectiveness of its operational strategies.
It's important to note that the 'Owned and leased' segment revenues are subject to eliminations, which in this case amounted to $23 million. These eliminations typically represent transactions between different segments of the company, ensuring that the consolidated financial statements accurately reflect the overall performance of Caption By Hyatt. Franchisees should focus on the gross revenue figures to understand the potential market demand and revenue-generating capacity of a Caption By Hyatt location, while also considering the impact of management and franchise fees on their net income.