Accor Sa

Well, I guess we're gonna be right on time, which is untypical for me. Welcome, welcome everyone to this session where we're gonna be talking about 2020, 2024, and hopefully about 2025 and onwards. Thanks for those who made the effort to come physically in the room. We're happy to see you and happy to have all of you online. I'm gonna start with, probably what I like the best, which is a 20,000 feet altitude, looking at Earth and looking at the world. Geopolitics, I'm not going to teach you anything that you don't know, but it's probably good to be aware of it. The world is probably more so than ever fragmented in terms of conflict and in terms of accepting differences. Economies are Very contrasted in terms of where you are in the world. If you are in Singapore, in the Middle East, you're a happy guy. If you end up being in Northern Europe, you're certainly less happy. And if you're in America, you are also a happy person. So we have to navigate between a lot of different economies. And I think we're okay at it, trying to anticipate the shocks and what could be in front of us. Global trade volatility, it's only the beginning. So we're hopefully going to do better in the next few months or a few weeks. Inflation and interest rates are under control and normalized. I saw what happened yesterday. Numbers in the UK. So we have to be cautious before we celebrate any victory here. Eco-consciousness, it is a bigger and bigger topic, again, depending on geographies and politics, but it is not going the right direction in terms of climate control. We have to be even more sensitive to other tourism, and ACO is doing quite a bit on that. really putting new destination on the block. But I guess we have to be part of it and we have to act. Diverging climate policies, we just touched upon it two seconds ago. Technology, that's probably where we should be spending most of our time in the next few months before the end of the year is AI. Generative AI has been adopted by many of you in the room and many of you listening to me. But it's even more true for the search and those who are going to be looking for a new destination. The new generation between 18 and 24 years old, 50% of them go on ChatGPT and many other lookalike instruments on selecting where they want to go. One minute on this one or 30 seconds. We had last week in Paris the AI International Summit and a lot of big guys in industry came in Paris And I had the privilege to spend some time with Chuck ZBT, OpenAI, and Sam Altman. And we were 20 or 25 different CEOs in the room. And we talked about impact of drinking AI. And I asked him, I said, can you please help me understand what could be the impact of AI on our hotel industry? And he posed and he said, well, you might be the only lucky guy in the room. And what he meant by it, because we actually went further on his dialogue, he said, well, a lot of different industries, vertical, whether it's healthcare, e-commerce, automotive, and many others, will be severely impacted, probably for the better. When it comes to AI, he said, but on hospitality, food and beverage, experience, AI will be only an enhancer and certainly will not replace what you are doing well. So use the tool, but don't have any fear on basically replacing that human interaction that you have. So it was a fascinating moment, no question, at the bottom right here. We have to be anticipating and we have to be one of the best users of AI, certainly in terms of efficiency, operationally, when in terms of customer relationship with our own end guests. The international travel is back. Is it as strong as we wish? Probably not, but it's certainly back as of 2019 level, and we are expecting a 3-5% growth in 2025. Of course, it diverged on different regions. It is very strongly back and record numbers, plus 32% in the Middle East, and it's not stopping. Middle East is really an incredible destination for a lot of actually new international visitors. It is getting much better in Asia-Pacific and it is getting much better in China. And the one thing which is very encouraging about China is the Chinese are really going internationally almost as much as 2019, probably likely at the end of 2025. So you're going to see a lot of these 150 million Chinese who left their country in 2019 will be back to the same level probably in the next 12 months. Super encouraging in terms of Chinese visiting all Southeast Asia, Australia, Korea, and other countries. 75% of the travelers are really linking their trips to a leisure experience and as a priority. So we have this new name which I think I finally understand is gig tripping or gig travel where it is true that a lot of Visitors go around an event that they really want to attend and they stay longer in that destination. It is true for music, it's true for sport, it's true for culture. We had some news this morning. I think the number was almost 2 million visitors came to Notre Dame to visit over the last 60 days. And many of those are international tourists who spend actually two or three days. But the aim and the objective was to go and visit Notre Dame again. Climate issues, we have to be cognizant of it. We have to basically do a better job on promoting, kind of actually preserve secluded destination. And there is one benefit out of it. People might travel less, but they stay longer. The average lack of stay is probably up 20 to 25% from pre-COVID. New destination, I just touched upon it. Personal balance, it is tough. It is very difficult for us to assess that. Is the trip done on business or only leisure? It's all combined today. Data doesn't really show us what was the main purpose of the trip. But that leisure name, which I still forget who invented it, whether it's one of us, but it is more true today than it's ever been. And you know on working remotely, we still have exact same trend that we had for the last two or three years. People do travel from Thursday night to Tuesday morning. They work remotely on Friday and Monday, but they visit a place a couple of hours away from where they live and they enjoy a longer weekend. But of course, they do work on that Monday and Friday using the Wi-Fi at the hotel. So it's a very good environment in which we live in terms of underlying economics for the travel and hospitality sector. No question about it. But you're going to have to navigate in terms of destination, geography, and economies. So we feel very strong for 2025 and onwards. Give it to you, Martine.

Thank you, Sébastien, and good morning, everyone. So for clarity purposes, before I start with my introductory remarks, I'll just start with a comment on EBITDA. And you may notice that in our financial communication material, we have renamed EBITDA to Recurring EBITDA. And this is strictly to be consistent with the naming convention in our financial statements. It does not impact at all the definition, which is as per previous year and same definition as the CMD. And I'll now start with page eight for those of you who are on the phone. So 2024 illustrated the resilience, continued resilience of the hospitality sector in a context that is normalizing. Following several quarters, of strong performance. We were really happy with the fourth quarter performance, where REFBAR was up 5.8% on a like-for-like basis, and the performance was actually pretty well balanced across occupancy and rate. On a full year basis, REFBAR was up 5.7%, which is above the high end of the guidance, where we disclosed in October. Room revenue growth was actually driven both by business and leisure, which proved remarkably resilient. On the corporate activity, particularly in large account. Room Revenue posted a double-digit growth, and that was really driven by our tech and financial services client. Turning to net unit growth, net unit growth was up 3.5%, which is exactly in line with our 3% to 4% guidance, and that's over a point above the net unit growth of 2023, so clearly a sign of acceleration. Pipeline was also up by 3.8%, so slightly above the net unit growth, and that is supporting our midterm goal of delivering net unit growth of 3% to 5%. And in addition, we reached a record high in the value of our signings, which were up 11% above 2024. And that is really a testimony to the strength of our brands. We translated the solid operating performance into a solid set of financial results. Revenue was $5,606,000,000. That's up 11% versus prior year with a growth of 7% in our management and franchise revenue. Recurring EBITDA reached close to the high end of our guidance at a billion, 120 million, and that's up 12% year over year. And this included a very healthy progression in our M&S margin of 100 basis points, which is in line with the trajectory that we have for this segment. So very good operating leverage in 2024. Turning to recurring free cash flow, we treat 614 million, that's a high for the group, with a cash conversion of EBITDA of 55%, which is in line with the guidance. And finally, shareholder return, we returned 686 million in 2024 to shareholders, and that equates to about a 7.5% yield based on the January 1st market cap. So in summary, following the You know, Capital Market Day, this is the second year in a row where we are consistently delivering in line or above our guidance in both operating and financial metrics. Let's move to REVPAR. So as I just indicated, we closed 2024 on a really strong note with a 5.8% REVPAR growth. You can see on the left side, PME, which was 4%. And you can see that also equally driven by price and occupancy gain. In the quarter, rate was up 2% and occupancy rate was up one point. Occupancy is still about two points behind 2019. In ENA, Q4 REF PAR was up 2%, primarily driven by occupancy rate. The three largest countries in ENA, which are France, UK and Germany, pretty much maintained the momentum from the first nine months. Starting with France, Paris reported low single-digit negative REVPAR in the quarter. Some of that is the effect of the Rugby World Cup in 2023, but we were very pleased following the comments Sébastien just made on the reopening of Notre Dame. REVPAR turned positive in December in Paris, thanks to very strong international demand. And the drivers for that are the strong U.S. dollars. So we saw a lot of Americans coming to Paris for the holidays, the opening of Notre Dame and the post-Olympics effect. Provence was a bit less volatile and reported flattish growth in the fourth quarter. In the U.K., London, as well as province, were pretty flat, which is consistent with the trend that we've seen in the previous quarters. And Germany, REFBAR outperformed both France and Germany with low single-digit growth in the quarter. And we still have a fairly large occupancy recovery to take place in Germany. Turning to Mayapak, where we had a 5% REFBAR in the quarter, which was a bounce back after what we had experienced in Q3, which was somewhat weak. And the performance is driven two-thirds by rates and one-third by occupancy. In Middle East Africa, Turkey, which is really the part of this region that drove the improvement with high single-digit growth, was really driven by the recovery in Saudi Arabia, which was no longer affected by some of the seasonal comps we have in this region, where demand is tied to the calendar of some of the religious pregnancies. very strong occupancy in this region, actually in this region in Middle East Africa, Turkey. the occupancy is 10 points above pre-crisis level. In Southeast Asia, continued strong momentum, double-digit red bar in this part of the world, which highlights the continued attractiveness of the region. Occupancy is actually also above 2019 level in Southeast Asia. Pacific returned to positive growth in the fourth quarter, mid-single-digit growth, with very strong leisure demand. And finally, China, China sequentially improved. So Q4 was better than Q3, but still negative in the mid-single digits. America's continued strong momentum, double-digit growth. You see 12% in the fourth quarter. America's, I remind you, is mostly Brazil for Accor. And we still have very good, very good momentum in occupancy and rate. Moving to luxury and lifestyle on the right. Ref bar in the quarter was up 10%, and you can see it's pretty balanced across both luxury and lifestyle. On luxury, which was up 9%, that was driven by occupancy and rates. Red bar performance was actually very solid across all brands and across all regions. And actually, if you look at comparable regions, luxury had a better performance than PME, and that is a testimony of the resilience of the luxury sector. We were particularly pleased with the strong performance in North America and Europe. Lifestyle aligned with the performance throughout the year, with a REF PAR growth of 11% in the quarter, and that is particularly driven by Turkey, Egypt, and the United Arab UAE, where we have a lot of results. Moving to the portfolio on slide 10. And I'll start on the left with PME. So net UD growth 2.8%. That's in line with the two and a half to three and a half guidance that we've communicated. We had a bit higher churn in 2024, like we did in 23. And that really is a reflection of the continued pruning of the portfolio. And that's mostly affecting the ANA region. Although I will point out that the properties that churn have a lower fee per room than the property that we open and therefore over time we should see an accretion in the value of our keys. The pipeline was up 3.2% year over year, 177,000 room. And a few milestones just to illustrate the openings. We opened our 1,000th Mercure and the first premium signing in LATAM, which is, again, just another sign of the success of refocusing on premiums. And the M&F revenue per room, you know that's a very important KPI for us, was actually stable at 1200 euros per room. Turning to luxury and lifestyle, on the right, Q4 was a very active quarter for this division. We opened 6,000 rooms, and that allowed us to actually, that was a record, three times higher than the pre-COVID level. Notable openings in the year were Fairmont Long Beach, the SLS Cancun, and Mama Shelter in Dubai. LNN pipeline growth continued to grow at a sustained pace, but more importantly, the value of the signings is quite dynamic. Signings in value grew 39% for the luxury and lifestyle division in 2024. And we also have a very healthy MNF revenue per room at 3,900 euros, which is slightly up from where it was in 2023. So at group level, again, 3.5% net unique growth in line with the 3 to 4% guidance we had communicated for 2024 with a record level of opening growth. in Q4. I know you guys often want to know our conversions. Conversions were 55% for 2024. Moving to the revenue on page 11. So revenue 5.6 billion in 2024, that's up 11%. You can see here the makeup of the revenue growth by segment. This revenue for the group was impacted positively by the full impact of the consolidation of Foutel-Echabaut and the acquisition of RICAS, but we also had a partial negative offset from FX. So if you look at it on a like-for-like basis, the revenue growth was 9% for the year. For PME, revenue was up 5%, which is in line with REF PARC. services to owner grew at a higher pace than Refbar and that's a reflection of the positive channel mix we have in distribution. And hotel assets another pretty much flat in 2024. The performance remains driven by Australia and Brazil. We did dispose Arco Vacation Club in Australia, which had a negative scope impact. And then we had the impact of FX, primarily the Real, which really started declining in the back end of the year. Turning to luxury and lifestyle, very impressive growth, 19%. You can see that M&F revenue is up 11%, so that's four points above the RFPAR growth for this division. Positive impact of openings as well as the growth of our branded resi business. Services to owner also grew at a slightly higher pace than Refbar, also due to the positive mix in Chanel. And hotel and assets pretty much reflects the acquisition of Peter Chabot and Ricas, as mentioned previously. Turning to MNF revenue. So MNF revenue up 7% for the year, so that is above Refbar. You can see here the breakdown by division. So I'll start with PME. PME was up 5%. And the growth was robust pretty much across all the regions. What you see here in America is up 2%, which is obviously less than the rest bar, is a reflection of the erosion of the real. For luxury and lifestyle, 11% growth for the MNF. You can see pretty much driven by lifestyle, 31% growth year over year, which is obviously a combination of the good activity in Refbar, great openings, but also very strong activity in branded resis. Luxury growth was a bit below REF PAR and this is impacted by the end of some of the incentive waivers that we had in some Sofitel primarily in France. I'll now turn to EVDA on slide 13. So the group EBITDA was a billion, 120 million. That's a record for the group. That was up 12% on a year-over-year basis. And it pretty much reflects a very strong top-line growth, coupled with sound operating leverage with 100 basis points improvement in M&S margin. STO. positive, as was our commitment. It's actually positive across both divisions, and it's a combination of distribution channel mix as well as cost discipline. And for hotel assets and others, it's really a reflection of the growth in profitability in our restaurant business, but also the integration of some acquisitions. Regarding PME, you can see that PME EBITDA was up 8% in 2024, reflecting the activity. Very, very healthy growth in margin, in MNF margin for PME, which was up 130 basis points, so slightly above the 100 basis points commitment that we have in this division. Positive STO and hotel assets and other, again, a reflection of some scope effect, but also some FX impact. Luxury and lifestyle, very healthy growth, 21% growth in EBITDA, with 12% growth in M&F. Again, positive STO, and then obviously very strong growth in HEA and other primarily acquisition-driven, but also good margin improvement in restaurant. I'll now turn to the rest of the P&L on page 14. So we achieved a net profit of 610 million in 2024. Our earnings per share on a diluted basis were two euros, sorry, and 33 cents. That's up 5% versus prior. So I won't go through all the lines of the P&L. I'm just going to call out the main highlights. starting with DNA, which you can see here, increased to 341 million. And that's a reflection of the full year impact of some of those acquisitions that I previously mentioned, as well as the full year impact of the Paris headquarter, which you may recall that we had to sell these back in the Paris headquarter in the first half of 23. The other line to note is our share of profit losses and associates, which went from 44 million to 188 million. That is really related to our 30% stake in AccorInvest. As you know, AccorInvest is engaged in a very large asset disposal plan. They've actually completed 50% of their plan. And that has triggered some important capital gains of which we capture 30%. But operating performance at Corinvest was actually very solid. Net financial expense went up, and that's driven by the increase in our debt. The average cost of debt is stable, 2.5%, no change versus last year. And we also had some non-cash negative impact due to some adjustment in the fair value of some financial instruments. which flow into this line. And finally, income tax. Income tax is actually, if we were to look at first half, second half, you will see that it's quite equivalent. It is normalizing in 2023. I recall, I remind you that in 2023, we had a very large impact from deferred taxes, 125 million, of which 100 million from deferred taxes. The 24 income tax line includes a one-off impact, negative impact from taxation related to our reorganization by division, which we offset by some deferred taxes as well, but not in the magnitude of 2023. Moving to cash flow. So recurring free cash flow, 614 million. That's a 55% cash conversion ratio. If you look at the main line, you can see that the cost of debt is quite stable. Cash income stack increased to 169 million. That's a reflection of the increase in taxable basis, but also the fact that we have some countries for which we have extinguished our NOLs, and therefore we're starting to pay taxes. Lease liability, pretty flat. Recurring investment capex, that includes key money. You can see that that was pretty flat versus prior, $221 million versus $218 million. And finally, working capital. I remind you that in 2023, we had a favorable impact of $52 million in working capital from the final payment from some deferred fees from Accorinvest, and you can see that. If you normalize for that, working capital is actually pretty flat year over year. And net debt reached almost $2.5 billion. At the end of 2024, as a reminder, net debt was $2.9 billion at the end of H1, so that's a $400 million reduction. And the main movement in the second half were on the positive side, obviously the generation of cash flow. As you know, our cash flow is quite seasonal. Most of it is in the second half, as well as the capital injection in aqua invests. So zooming on the balance sheet and shareholder return on page 16. We pursue, we continue to pursue our active liability management. We did a couple of issuance in 2024. Mainly we issued a seven year bond for 600 million with the slightly under 4% coupon and we successfully refinanced our second hybrid. Debt average maturity actually went up in 2024. We're now above three years for a stable cost of debt. And our net debt leverage is managed at a level which is consistent with our investment grade rating, which we intend to keep as it is defined by rating agency. On the right side, you have the trend in shareholder return. Again, 686 million in 2024. That's a 7.5% yield. And we will be – our policy is to distribute 50% of our recurring free cash flow. So if you do the math, that equates to a dividend of €26, which is 7% higher than the dividend for 2023. And that's what we will propose as an ordinary dividend in the shareholder assembly In me. And I will conclude my introductory remarks on the slide 17. You can see that is the scorecard. I'm almost tempted to say that is our Bible. In 2024, Accor is well in line with its guidance on every indicator and our results are also fully consistent with our CMD guidance, which is the last column on the right side of this slide. So we delivered again, very solid operational and financial metrics. which coupled with a strong financial discipline led to a 12% EBITDA growth and a 55% cash conversion. We continue to execute our shareholder return program as we committed to during the CMD in June of 23, and we exited 2024 on a strong note, which we hope bodes well for 2025. And as for 25 onwards, and this will not be a surprise, consistent with our standard practice, we do not disclose specific guidance at this point in time in the year. But that being said, we are very confident with our ability to deliver our midterm perspective, again, as disclosed during the CMD. And with this, I'll turn back to Sébastien.

Merci beaucoup, Martine. So we're going to go to the final four slides. The one we probably should be the proudest about is ESG. You know this company has been doing quite a lot for the last 45 years when it comes to engagement, diversity, social elevator, hiring a lot of people with less privileges, and of course, anything which is environmental. And one of the things that we've been lacking, and feel a bit sorry to admit it, whether we have the right tools, the right technology, and then the right measurements. And just for you to understand, when you deal with 127 countries and some very remote places in Sub-Saharan Africa, in South America, in the Middle East or Australia, it is tough. to have a systematic management tool to understand and how to benchmark how much are you consuming when it comes to carbon emission, energy, water, food waste, so many different things that I guess we are committed to. But you need a common system, a common tool to understand what you are trying to resolve. So we had an engagement in the S-TIP of all the employees of this company on saying, well, we need to get our act together and we need to get that common tool for water consumption. And we said, let's have it for 80% of the managed hotel in the world and let's try to get it for 50% of the franchise hotel in the world. That tool is called Gaia 2.0 and there is also kind of actually sub-tools. And I was extremely happy to realize that, I guess, in a matter of 12 months, we got 90% of all the managed hotels of our core on this planet and 67% of all the franchise hotels to really give us that benchmark, that measurement number that will be the base upon which you're going to see in the 2025 resolution. Now that we have the benchmark, well, now we're going to have to reduce the water consumption. Two, eco-certified. It's not a gimmick. When you have an eco-certification, we said 30% of the hotels should have it. We ended up at 36%. That means you have commitments, you have engagement, and those are in between different KPIs. And it's not as easy as people would think to get a certification because that means that, I guess, you're undertaking something big over the next two to three years. And, of course, people could relate to it, both customers and owners. And that 36% is good, but that's not good enough. So we're going to go to a higher number in the next 12 months. Diversity, inclusion, gender parity, we've been trying to attack and we are getting where we want on could we get that gender parity between men and women in this company. We got it resolved a long time ago, actually, probably four or five years ago. One of the engagements of eight years ago was to have salary equity in between men and women within Accor. And it is, and it has been the case for the last two years. Now we want to make sure we have the same level of expertise and position and leadership between men and women. 39% was the number for 2024. This is what we got. And you're going to see for 2025 and onwards, we need that number to go up and clearly to a 50-50 benchmark. I'm not going to spend too much time on the key takeaways. Some of it you've seen with Martine. I just want to, and there's only four of them. The first one is important, probably critical or indispensable, which is we'd better meet on guidelines. When we project yourself and you expose it to the outside world, well then, whatever it takes, just get there. And I'm happy, and Martine as well, on being totally fully in line with the guidance, with all the numbers that Martine exposed to you. Two, When we've done Turbo in 1st of January 2023, Turbo was the split in between two autonomous business units, which is PME on one side and Lux Lifestyle on the other side. That was probably an easy decision. That was not an easy project to execute in terms of assignment, in terms of autonomy, in terms of leadership, in terms of accountability. And I talked about it last time we were together in 2024. It went quicker than expected and now it's a walk in the park. We're never going to go back. People have ownership, accountability. They actually enjoy having their own turf. What I'm trying to preserve is even if they have total ownership of what they do, which was the aim and the objective, that they understand not to be alone in their own swim lane, that we're all battling together as a collective intelligence, and so we still have to interact quite a bit between the PMECOs and, of course, between the left-to-left ICOs and the PMECOs. There is... Last line here, it's called increase value from development. I'm going to spend two minutes in exactly 30 seconds on why what I told you over the last few years on fees per room matter, why it is now demonstrated over the last four years. Strong dynamic from all loyalty members enrollment. We have over 10 million new members per year joining our Co-Live Limitless. And I don't know the date, but probably March, we will have the 100 million new Accor member existing. I don't know where that guy is going to be. in Africa or in America or in the Middle East, but we'll find him. And of course, when we find him, he will be a lucky guy because then we'll be celebrating with him. So it's a very strong, vibrant program with a lot of new partnership. And some of you were in Berlin with me before COVID. That was really the objective, to get that program started. better placed, better used, with a greater agility. So it's extremely happy with the team who put all of this together. And then the shareholder return and the 7.5% of market cap, we need to get to that 6% to 7.5% of market cap return every year. And, of course, being consistent upon shareholder buyback. That's a slide that I was anxious to spend time was to show to many of you the last four years. You heard me and many of you were probably a bit kind of tired of my mantra and it sounded like a broken record. And I told the street and I told the financial analyst, I said, please don't talk to me again about the net unique growth. The net unique growth 3.5%. Of course, this is one of the KPIs we gave you. But I've been advocating for the last four years, can we please have a better priority, which is not volume, but which is exactly the reverse, contribution. Do we have a better fee per room for every hotel you open? Because better fee per room means a greater number of absolute dollars, both in revenues and in EBITDA. First time we're showing to you, and I apologize, of course there's a lot of details behind this, We decided not to show to you every detail because then you're going to be asking for more and then the poor guy who's going to have to dance with you is Pierre-Lou and he's going to be doing very well. But we're showing to you what was the pipeline in 2019. That number you have is roughly 210,000 rooms at the time. You have the pipeline in 2024 and it's an up 12% from 2019. But what's so noticeable It's the same pipeline that you knew of in 2019 compared to that new pipeline of 2024. The aggregate revenues that we are getting from the signed pipeline is 90%, non-zero, richer to our course benefit. So then, many of you, page 10, you have the 1,200 fee per room for PME. Page 10, you have the 3,900 fee per room for last lifetime. then you'll do your own math. But I can guarantee you that fee per room for the next five years is going to be increasing by way more than double-digit items when you look at the last four-year period. So that's what it is. It's very important for us because we've been talking. We knew what we were doing. First time we decided to show to you that I guess everything we do actually enriching the quality and the absolute dollars back to your company. Priorities, the first one is no negotiation. 2023, 2027, we committed to you, we committed to ourselves to deliver the 9% to 12% EBDA growth and all the numbers you've seen. Whatever it takes, we'll better get there and we should get there. In order to get to those KPIs on capital market day, well, you'd better be right on where do you want to play. And what you want to play is obviously in region where you have the fastest growth. In region where you have the strongest economy, the lesser geopolitical volatility. And those region happens to be in the Middle East, India and Asia Pacific. Which is why 60% of the openings in 2025 happen to be in those precise region because this is the easiest way to play. And this is where we have a true leadership ahead of many of our competitors. Three, you never know what's going to be hitting you. Of course, you're going to have new conflicts, new uncertainty, new social events. So you'd better adapt. So in order to adapt, you need to build buffers. And building buffers means you need to have a greater operating model efficiencies, agility, and you need to find within your own system what you may not be finding elsewhere. That number three is back to what I said on number one, whatever it takes. And Jean-Jacques, myself, Martine, and a lot of the leaders in this company, they know they have to find efficiencies within their own system, which is probably why AI is going to help us in terms of process and automation. Number four, we talked about it, but now we act. We got... a lot of discussion with the management of ACO Invest, which I have to salute because they've done a hell of a job in 2024 in going back on their feet and having also great numbers and moved away from both COVID and financial debt restructuring. And then we had several discussions with our fellow board members and stakeholders, i.e. partners, investors within ACO Invest. And we've announced to them in the full transparency that we decided to launch the sale of our 30, whatever, 31% stake in ACO Invest. It's not going to be easy. The launch is being decided, has been announced, confirmed to you this morning. It is a 12- to 18-month process because of the complexity of both governance and the assets and the management contracts. So it's doable, of course, otherwise we would not be launching it. But I guess give us the benefit of the time we need to get to full realization. But it's launched, and there is no way back. And finally, the $440 million buyback is – Not anecdotic, we've uplifted the 400 million many of you expected for the year by another 40 million to show true confidence in our ability to reach cash flow targets, EBITDA targets, and certainly confirming that there's no better use than available cash from Accor to buy shares. You've seen the share price performances and the uplift. Whatever you can buy today is certainly cheaper than what you would be buying in a year from today. So feel very comfortable. with the $440 million. Last word, which is not on the slide here because that was not totally done at the time we put the slide together. I just need to thank, and some of you are in the room, I need to thank the board members of this company who basically made a decision yesterday morning at the board approving for the 2024 numbers and recommending to the General Assembly of 2025 the renewal of myself and indirectly the leadership and management team of this company and that will be for another three-year mandate from 25 onwards until 2028 and I can tell you and I won't share with you a lot of the board discussions but I can tell you the principle upon which they've made the decision which is super simple they are very happy with our core performances they're very comfortable with the vision and the business company and We are cognizant that I guess we need to finish and to execute successfully as we start the 2023 to 2027 target. So that renewal is 90% directly linked, put aside the ambition and the vision to finish the job that got started in 2023. So that's where we are with this. I'm going to turn to questions in the room and questions online.