Hilton Worldwide Holdings Inc (HLT.N) reported better-than-expected quarterly profit and revenue on Thursday, as the hotel operator sold rooms at higher prices benefiting from strong travel demand.
The hospitality sector’s recovery from the pandemic has been turbocharged by a strong appetite for travel due to household savings and a hybrid work model, helping the industry offset rising labor costs.
Hilton, which owns brands including Waldorf Astoria Hotels & Resorts, expects to post an adjusted profit per share between $5.42 and $5.68 per share for this year. Analysts polled by Refinitiv expect a 2023 profit of $5.60 per share.
For the fourth quarter, Hilton said revenue per available room, or RevPAR – a key metric for investors – rose 24.8% on a currency neutral basis from a year earlier.
Excluding items, Hilton earned $1.59 per share for the quarter ended Dec. 31, beating analyst expectations of $1.22 per share. Its revenues rose about 33% to $2.44 billion, compared with $2.38 billion as per Refinitiv data.