What is the total reported revenue for the Caption By Hyatt brand after eliminations?
Caption_By_Hyatt Franchise · 2025 FDDAnswer from 2025 FDD Document
| Management and franchising | Owned and leased | Distribution | Segment Total | Eliminations | Total | ||
|---|---|---|---|---|---|---|---|
| Total revenues | $ 3,591 | $ 1,263 | $ 1,123 | $ 5,977 | $ | (86) $ | 5,891 |
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 total revenues, after eliminations, amounted to $5,891. This figure is derived from the sum of revenues across various segments, including management and franchising, owned and leased properties, and distribution channels. The eliminations represent adjustments made to remove intercompany transactions, ensuring that the consolidated revenue figure accurately reflects the brand's performance with external customers.
For a prospective Caption By Hyatt franchisee, understanding the total revenue and its components is crucial for assessing the overall financial health and market position of the brand. The revenue streams are categorized into management and franchising, owned and leased, and distribution, each contributing differently to the total. Management and franchising revenues include fees from managing hotels and franchising agreements, while owned and leased revenues come from properties directly operated by the company. Distribution revenues are generated through vacation packages and destination services.
The "Eliminations" column in the financial table is particularly important. It reflects the removal of revenues recognized internally within different segments of Hyatt Hotels Corporation. For example, if one Hyatt division provides services to another, the revenue associated with that service is eliminated to avoid double-counting in the consolidated total. This ensures that the reported revenue accurately represents income from transactions with external, unaffiliated customers.
Therefore, the total revenue after eliminations provides a clear picture of the actual income Caption By Hyatt generates from its operations, which is a key indicator of the brand's financial performance and attractiveness to potential franchisees. Reviewing these figures in the context of the brand's growth strategy and market conditions can offer valuable insights for making an informed investment decision.