Name: Hilton Worldwide Holdings Inc. (NYSE:HLT) | Liabilities and Stockholders’ Equity
Creator: Stock Analysis on Net

Balance Sheet: Liabilities and Stockholders’ Equity

The balance sheet provides creditors, investors, and analysts with information on company resources (assets) and its sources of capital (its equity and liabilities). It normally also provides information about the future earnings capacity of a company assets as well as an indication of cash flows that may come from receivables and inventories.

Liabilities represents obligations of a company arising from past events, the settlement of which is expected to result in an outflow of economic benefits from the entity.

Download chart

Hilton Worldwide Holdings Inc., consolidated balance sheet: liabilities and stockholders’ equity

US$ in millions

	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Accrued employee compensation and benefits	592)	555)	514)	404)	554)
Accounts payable	457)	368)	274)	224)	303)
Operating lease liabilities, current	116)	112)	140)	170)	133)
Insurance reserves, current	99)	86)	84)	68)	95)
Other current liabilities and accrued expenses	715)	669)	556)	436)	618)
Accounts payable, accrued expenses and other	1,979)	1,790)	1,568)	1,302)	1,703)
Current maturities of long-term debt	39)	39)	54)	56)	37)
Current portion of deferred revenues	502)	433)	350)	370)	332)
Current portion of liability for guest loyalty program	1,202)	1,110)	1,047)	703)	799)
Current liabilities	3,722)	3,372)	3,019)	2,431)	2,871)
Long-term debt, excluding current maturities	9,157)	8,708)	8,712)	10,431)	7,956)
Operating lease liabilities, non-current	808)	832)	870)	971)	1,037)
Deferred revenues	1,132)	986)	896)	1,004)	827)
Deferred income tax liabilities	401)	735)	700)	649)	795)
Liability for guest loyalty program	1,530)	1,285)	1,317)	1,766)	1,060)
Other long-term tax liabilities	645)	349)	385)	400)	369)
Insurance reserves	154)	146)	151)	189)	178)
Deferred employee compensation and benefits	86)	91)	111)	116)	118)
Pension obligations	34)	40)	25)	143)	134)
Other	79)	66)	74)	141)	84)
Other long-term liabilities	998)	692)	746)	989)	883)
Long-term liabilities	14,026)	13,238)	13,241)	15,810)	12,558)
Total liabilities	17,748)	16,610)	16,260)	18,241)	15,429)
Common stock, $0.01 par value	3)	3)	3)	3)	3)
Treasury stock, at cost	(8,393)	(6,040)	(4,443)	(4,453)	(4,169)
Additional paid-in capital	10,968)	10,831)	10,720)	10,552)	10,489)
Accumulated deficit	(4,207)	(5,190)	(6,322)	(6,732)	(5,965)
Accumulated other comprehensive loss	(731)	(706)	(779)	(860)	(840)
Total Hilton stockholders’ deficit	(2,360)	(1,102)	(821)	(1,490)	(482)
Noncontrolling interests	13)	4)	2)	4)	10)
Total deficit	(2,347)	(1,098)	(819)	(1,486)	(472)
Total liabilities and equity (deficit)	15,401)	15,512)	15,441)	16,755)	14,957)

Based on: 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31).

Total liabilities exhibited a fluctuating trend over the five-year period, increasing from 15.43 billion USD in 2019 to a peak of 18.24 billion USD in 2020, before stabilizing and ending at 17.75 billion USD by December 31, 2023. This trajectory suggests a significant capital expansion or liquidity securing event in 2020, followed by a period of gradual deleveraging and subsequent modest growth.

Long-Term Debt and Obligations: Long-term debt, excluding current maturities, saw a sharp increase from 7.96 billion USD in 2019 to 10.43 billion USD in 2020. This was followed by a reduction to approximately 8.71 billion USD in 2021 and 2022, with a slight uptick to 9.16 billion USD in 2023. Operating lease liabilities showed a consistent downward trend, decreasing from 1.04 billion USD in 2019 to 808 million USD in 2023, indicating a reduction in long-term lease commitments.
Current Liabilities and Operational Obligations: Current liabilities grew steadily from 2.43 billion USD in 2020 to 3.72 billion USD in 2023. A primary driver of this increase is the liability for the guest loyalty program; the combined current and non-current loyalty obligations rose from approximately 1.86 billion USD in 2019 to 2.73 billion USD in 2023. Additionally, accounts payable and other accrued expenses demonstrated a recovery and growth trend, rising from 1.30 billion USD in 2020 to 1.98 billion USD in 2023.
Stockholders' Equity and Capital Management: The company maintains a stockholders' deficit, which deepened from 482 million USD in 2019 to 2.36 billion USD in 2023. This deficit is primarily driven by an aggressive treasury stock repurchase program, with treasury stock at cost increasing from 4.17 billion USD in 2019 to 8.39 billion USD in 2023. Conversely, the accumulated deficit improved significantly, narrowing from 5.97 billion USD in 2019 to 4.21 billion USD in 2023, suggesting consistent positive net earnings over the analyzed period.
Tax and Deferred Liabilities: Deferred income tax liabilities experienced a notable decrease in 2023, dropping to 401 million USD from 735 million USD in 2022. In contrast, other long-term tax liabilities saw a significant increase in the final year of the period, rising to 645 million USD from 349 million USD in 2022.

The overall financial structure is characterized by a high reliance on long-term debt and a negative equity position resulting from substantial capital returns to shareholders via stock buybacks. The growth in guest loyalty liabilities indicates an expanding customer base or increased point accrual, while the improvement in the accumulated deficit points toward operational recovery and profitability.

AI Ask an analyst for more

My previous chats

Add tokens

Hi, I’m an AI-powered financial analyst at Stock Analysis on Net.
Without a user account, I tend to respond rather slowly.

How can I help you?