Overview Key strengths Key risks Leading position in Mexico?s lodging market, with 197 urban and coastal hotels. Unhedged debt position and step-up interest rate on its international notes. Diversified hotel brands tapping different economic segments. Highly cyclical nature of lodging, which is exposed to public health, security, and economic events. Low capital investment needs given greater developments in managed and franchised hotels. Highly competitive and fragmented industry, coupled with limited geographic diversification outside of its domestic market. With high general prices and interest rates, consumers may moderate spending on leisure and travel activities. For 2024, we forecast Posadas? revenue to decline by about 2.0% from 2023, reflecting lower consolidated occupancy rates of about 64% (from 66% in 2023) and 12%
