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Revenue
 12 Months Ended
Dec. 31, 2023
Text Block [Abstract]  
Revenue
3. Revenue
Disaggregation of revenue
 
Year ended 31 December 2023
     
 
 
Americas
$m
 
 
   
 
 
 
   
 
 
 EMEAA
$m
 
 
   
 
 
 
   
 
 
 
Greater
China
$m
 
 
 
   
 
 
   Central
$m
  
 
  
 
 
   Group
$m
  
 
Franchise and base management fees
     
 
936
 
   
 
 
 
   
 
253
 
   
 
 
 
   
 
115
 
   
 
–
 
  
 
1,304
 
Incentive management fees
     
 
21
 
   
 
 
 
   
 
101
 
   
 
 
 
   
 
46
 
   
 
–
 
  
 
168
 
Central revenue
     
 
–
 
   
 
 
 
   
 
–
 
   
 
 
 
   
 
–
 
   
 
200
 
  
 
200
 
Revenue from fee business
     
 
957
 
   
 
 
 
   
 
354
 
   
 
 
 
   
 
161
 
   
 
200
 
  
 
1,672
 
Revenue from owned, leased and managed lease hotels
  
  
   
 
148
 
   
 
 
 
   
 
323
 
   
 
 
 
   
 
–
 
   
 
–
 
  
 
471
 
Revenue from insurance activities
     
 
–
 
   
 
 
 
   
 
–
 
   
 
 
 
   
 
–
 
   
 
21
 
  
 
21
 
 
     
 
1,105
 
   
 
 
 
   
 
677
 
   
 
 
 
   
 
161
 
   
 
221
 
  
 
2,164
 
System Fund revenues (note 32)
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 
1,564
 
Reimbursable revenues (note 32)
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 
896
 
Total revenue
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 
4,624
 
 
Year ended 31 December 2022
     
 
 Americas
$m
 
 
   
 
 
 
   
 
 EMEAA
$m
 
 
   
 
 
 
   
 
 Greater
China
$m
 
 
 
   
 
Central
 Re-presented
$m
 
a
 
 
  
 
Group
 Re-presented
$m
 
a
 
 
Franchise and base management fees
  
  
   
 
861
 
   
 
 
 
   
 
215
 
   
 
 
 
   
 
71
 
   
 
–
 
  
 
1,147
 
Incentive management fees
     
 
18
 
   
 
 
 
   
 
69
 
   
 
 
 
   
 
16
 
   
 
–
 
  
 
103
 
Central revenue
     
 
–
 
   
 
 
 
   
 
–
 
   
 
 
 
   
 
–
 
   
 
184
 
  
 
184
 
Revenue from fee business
     
 
879
 
   
 
 
 
   
 
284
 
   
 
 
 
   
 
87
 
   
 
184
 
  
 
1,434
 
Revenue from owned, leased and managed lease hotels
     
 
126
 
   
 
 
 
   
 
268
 
   
 
 
 
   
 
–
 
   
 
–
 
  
 
394
 
Revenue from insurance activities
     
 
–
 
   
 
 
 
   
 
–
 
   
 
 
 
   
 
–
 
   
 
15
 
  
 
15
 
 
     
 
1,005
 
   
 
 
 
   
 
552
 
   
 
 
 
   
 
87
 
   
 
199
 
  
 
1,843
 
System Fund revenues (note 32
)
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 
1,217
 
Reimbursable revenues (note 32)
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 
832
 
Total revenue
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
 
3,892
 
 
a
 
Re-presented
for the adoption of IFRS 17 ‘Insurance Contracts’ (see New accounting standards and other presentational changes).
 
 
Year ended 31 December 2021
     
 
Americas
$m
 
 
     
 
 
 
   
 
 EMEAA
$m
 
 
   
 
 
 
   
 
 Greater
China
$m
 
 
 
   
 
Central
 Re-presented
$m
 
a
 
 
  
Group 
  Re-presented
a
$m 
Franchise and base management fees
  
 
   
 
683
 
     
 
 
 
   
 
120
 
   
 
 
 
   
 
91
 
   
 
–
 
  
894 
Incentive management fees
     
 
8
 
     
 
 
 
   
 
29
 
   
 
 
 
   
 
25
 
   
 
–
 
  
62 
Central revenue
     
 
–
 
     
 
 
 
   
 
–
 
   
 
 
 
   
 
–
 
   
 
188
 
  
188 
Revenue from fee business
     
 
691
 
     
 
 
 
   
 
149
 
   
 
 
 
   
 
116
 
   
 
188
 
  
1,144 
Revenue from owned, leased and managed lease hotels
     
 
83
 
     
 
 
 
   
 
154
 
   
 
 
 
   
 
–
 
   
 
–
 
  
237 
Revenue from insurance activities
     
 
–
 
     
 
 
 
   
 
–
 
   
 
 
 
   
 
–
 
   
 
9
 
  
9 
 
     
 
774
 
     
 
 
 
   
 
303
 
   
 
 
 
   
 
116
 
   
 
197
 
  
1,390 
System Fund revenues (note 32)
     
 
 
 
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
928 
Reimbursable revenues (note 32)
     
 
 
 
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
589 
Total revenue
     
 
 
 
     
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
   
 
 
 
  
2,907 
 
a
 
Re-presented
for the adoption of IFRS 17 ‘Insurance Contracts’ (see New accounting standards and other presentational changes).
Contract balances
 
         
  2023 
$m 
       
  2022 
$m 
Trade receivables (note 17)
     
580 
     
493 
Contract assets
  
 
   
459 
  
 
   
367 
Deferred revenue
     
(1,848)
     
(1,724)
Contract assets
 
         
  2023 
$m 
       
  2022 
$m 
At 1 January
     
367 
     
346 
Additions
     
129 
     
70 
Recognised as a deduction to revenue
  
 
   
(37)
  
 
   
(32)
Impairment charges (note 6)
     
– 
     
(5)
Impairment reversals (note 6)
     
– 
     
3 
Repayments
     
(7)
     
(3)
Exchange and other adjustments
     
7 
     
(12)
At 31 December
     
459 
     
367 
Analysed as:
     
 
     
 
Current
     
35 
     
31 
Non-current
     
424 
     
336 
 
     
459 
     
367 
The Group also has future commitments for key money payments which are contingent upon future events and may reverse.
At 31 December 2023, the maximum exposure remaining under performance guarantees was $80m (2022: $75m).
 
 
 
Deferred revenue
 
         
Loyalty
programme
$m
    
Other
 co-brand

fees
$m
    
Application &
re-licensing

fees
$m
    
  Other
$m
    
   Total  
$m  
At 1 January 2022
  
 
   
 
1,292
 
  
 
44
 
  
 
163
 
  
 
114
 
  
1,613 
Increase in deferred revenue
     
 
532
 
  
 
–
 
  
 
27
 
  
 
44
 
  
603 
Recognised as revenue
     
 
(413
) 
  
 
(11
) 
  
 
(23
) 
  
 
(44
) 
  
(491)
Exchange and other adjustments
     
 
–
 
  
 
–
 
  
 
–
 
  
 
(1
) 
  
(1)
At 31 December 2022
     
 
1,411
 
  
 
33
 
  
 
167
 
  
 
113
 
  
1,724 
Increase in deferred revenue
     
 
672
 
  
 
–
 
  
 
27
 
  
 
63
 
  
762 
Recognised as revenue
     
 
(554
) 
  
 
(11
) 
  
 
(23
) 
  
 
(48
) 
  
(636)
Exchange and other adjustments
     
 
–
 
  
 
–
 
  
 
–
 
  
 
(2
) 
  
(2)
At 31 December 2023
     
 
1,529
 
  
 
22
 
  
 
171
 
  
 
126
 
  
1,848 
Analysed as:
     
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
Current
     
 
649
 
  
 
11
 
  
 
22
 
  
 
70
 
  
752 
Non-current
     
 
880
 
  
 
11
 
  
 
149
 
  
 
56
 
  
1,096 
 
     
 
1,529
 
  
 
22
 
  
 
171
 
  
 
126
 
  
1,848 
At 31 December 2022:
     
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
Current
     
 
584
 
  
 
11
 
  
 
23
 
  
 
63
 
  
681 
Non-current
     
 
827
 
  
 
22
 
  
 
144
 
  
 
50
 
  
1,043 
 
     
 
1,411
 
  
 
33
 
  
 
167
 
  
 
113
 
  
1,724 
This table does not include amounts which were received and recognised as revenue in the same year. Amounts recognised as revenue were included in deferred revenue at the beginning of the year.
Loyalty programme revenues, shown gross in the table above, are presented net of the corresponding redemption cost in the Group income statement.
Other deferred revenue includes technical service fees and guest deposits received by owned, leased and managed lease hotels.
Transaction price allocated to remaining performance obligations
The expected timing of recognition of amounts received and not yet recognised relating to performance obligations that were unsatisfied at the year end are as follows:
 
        
2023
         
2022
         
Loyalty and
co-brand

$m
     
   Other
$m
     
   Total
$m
         
Loyalty and
co-brand

$m
     
  Other
$m
     
    Total  
$m  
Less than one year
  
 
   
 
660
 
   
 
92
 
   
 
752
 
  
 
   
 
595
 
   
 
86
 
   
681 
Between one and two years
     
 
346
 
   
 
43
 
   
 
389
 
     
 
339
 
   
 
46
 
   
385 
Between two and three years
     
 
195
 
   
 
32
 
   
 
227
 
     
 
199
 
   
 
32
 
   
231 
Between three and four years
     
 
118
 
   
 
24
 
   
 
142
 
     
 
114
 
   
 
27
 
   
141 
Between four and five years
     
 
73
 
   
 
20
 
   
 
93
 
     
 
70
 
   
 
22
 
   
92 
More than five years
     
 
159
 
   
 
86
 
   
 
245
 
     
 
127
 
   
 
67
 
   
194 
 
     
 
1,551
 
   
 
297
 
   
 
1,848
 
     
 
1,444
 
   
 
280
 
   
1,724 
Contract costs
 
           
  2023  
$m  
         
   2022  
$m  
At 1 January
     
80 
     
77 
Costs incurred
     
15 
     
13 
Charged to income statement
     
(8)
     
(8)
Exchange and other adjustments
     
– 
     
(2)
At 31 December
     
87 
     
80 
Analysed as:
     
 
     
 
Current
     
5 
     
5 
Non-current
     
82 
     
75 
 
     
87 
     
80