Hilton Worldwide Holdings Inc. (NYSE:HLT) Q1 2024 Earnings Call Transcript

Ben Chaiken: Hey everyone. Great flow-through on revenue to EBITDA in 1Q. That’s in the context of what sounds like some calendar headwinds. Anything you would call out as a tailwind or a comp dynamic or just good blocking and tackling. If I heard correctly, I believe you mentioned there was a $10 million good guy in 1Q that I believe reverses in 2Q? Just anything you could call out as we progress through the year?

Chris Nassetta: A little bit, but I think it’s good blocking and tackling. And we – our flow-through of revenue to EBITDA, we think is consistent with what we have been saying and outlining 50 – low-50s and what we described at Investor Day. So, Q1 is, I think a good demonstration of great discipline in running the business even when top line was a little bit lighter than what we had hoped for.

Kevin Jacobs: Yes. And again, I think I have said this before, but when it comes from fees, right, I mean, that’s obviously our highest margin business. And so an incremental dollar of fees and IMF drops straight to the bottom line. So, when the strength comes from the fees segment, which you probably will continue to because that’s our largest segment in our fastest-growing segment, you are going to continue to see better flow-through and margin growth.

Operator: Thank you. Ladies and gentlemen, this concludes our question-and-answer session. I would now like to turn the call back to Chris Nassetta for any additional closing remarks.

Chris Nassetta: Thanks everybody. As always, we appreciate you dedicating this much time as we have described. We feel good about the business, good about momentum, good about where broadly economies are to deliver the results that we have talked about and super good about the momentum we have on the development side. And we will look forward to talking to you this summer after we complete Q2. Thanks again and talk soon.

Operator: The conference has now concluded. Thank you for your participation. You may now disconnect your lines.