A balance of a very positive year

The other day I was "chatting" with Chat GPT. I asked it what Iberostar is and I was pleasantly surprised by three elements of its answer: this artificial intelligence application identifies us as an international hotel reference that stands out for quality, for our focus on customer experience and for the depth and breadth of our sustainability actions. When asked what the Iberostar Group is, the tool was much less accurate and identified us as a tourism group with diversification in the production of virgin olive oil. I clarified that the Group also has the W2M travel division and our vacation club, Iberostar The Club.

However, the three dimensions that rightly define us according to AI, are the foundations of the very positive balance that 2023 leaves us with. If, from a macroeconomic point of view, this year has been marked by political wars, inflation and high interest rates, from a tourism point of view, the resilience of the sector and the recovery of demand has been confirmed: people understand travel and rest as a priority need. And Iberostar Group has been able to address this growth in demand by working with a clear purpose: we want to inspire a change in the sector to promote a model of responsible tourism. A model that balances economic profitability with a positive impact on people and the environment. From the attributes within our DNA, we want to satisfy and leave a mark on millions of customers who pass through our doors: no less than 2.7 million in the hotel division and almost seven million in the travel division. And we also have the ambition to continue growing and generating value.

Two aspects have marked the Iberostar Group's strategy in 2023: on the one hand, this year has been very focused on people. We are constantly thinking about the challenges we face and investing time and resources to ensure that the organization is prepared to meet them. We have created almost 2,000 more jobs as a group. And we work to boost the capabilities of internal talent by seeking inclusion, diversity and equity. We have continued to make progress in talent development, both in leadership programs for hotel executives and managers, and through many training programs in different areas and geographies of the organization. 2023 has also been the year of a pioneering agreement with the administration of the Canary Islands that has launched a quality dual vocational training program in this region. We have signed a similar agreement in Quintana Roo, Mexico, to promote dual vocational training within the tourism sector in the 32 states of the country, because we want to contribute to the social improvement of each community that welcomes us.

Alongside people, 2023 has been a year of strong investments: more than 216 million across the Group. An investment earmarked for asset maintenance and repositioning, comprehensive refurbishments and the construction of new hotels, including our first hotel in Aruba, which we will open in 2024. We also continued to invest in our ambitious sustainability roadmap: we have made progress in the electrification of our kitchens and hotels, we have already reduced waste by 56% and in 2024 we will open the world's first hotel with a green fuel cell in Mallorca. In addition, we have just presented our roadmap towards circularity and launched our decarbonization business case with Harvard, which allows us to drive the systemic change we seek with the promotion of our responsible tourism model. We also continue to address numerous coastal health projects in our destinations.?

Of course, we’ve invested in technology, which is now an essential enabler and prepares us, among other things, for the adoption of generative AI. The investment has enabled us to achieve excellent results which, together with our IHG alliance, will enable us to take a great leap forward in the coming years.

The essential thing about 2023 is that we have worked in line with the values on which we are built. As a family business, we rely on the responsibility of each one of us, on transparency and passion. With the humbleness of knowing that we all have limits but with the creativity to face the challenges that will come in 2024.

Thanks to all of you who choose us for your vacations, to those who travel with us and, above all, to those who are part of the Iberostar Group. This is a company of people and for people. My sincere thanks to the Iberostar family - every day you put the best of who you are at the service of everyone. Your daily enthusiasm is the best energy for my own work.

I wish you all a very happy holiday and a prosperous New Year.