USA – Hilton Worldwide has reported a 9% decrease in net income to US$344 million in the third quarter (Q3) of 2024, from US$379 million in the same period last year.
Despite the dip in net profit, the company’s total revenue saw a significant rise, reaching US$2.86 billion, up from US$2.66 billion in the same quarter of 2023.
The adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) for Q3 2024 was US$904 million, an improvement from US$834 million in the previous year.
For the nine months ending 30 September 2024, Hilton’s net income and adjusted EBITDA stood at US$1.034 billion and US$2.571 billion, respectively.
These figures represent an increase from US$1.001 billion in net income and US$2.286 billion in adjusted EBITDA reported for the same period in 2023.
Hilton’s operating income for Q3 2024 experienced a slight decline to US$623 million, down from US$653 million in the corresponding quarter of the previous year.
The company’s total expenses in Q3 2024 increased to US$2.24 billion from US$2.02 billion in Q3 2023.
System-wide comparable RevPAR grew by 1.4% for Q3 2024, attributed to increases in both occupancy and ADR.
Additionally, management and franchise fee revenues saw an 8.3% increase compared to the same period in 2023.
For the nine months, system-wide comparable RevPAR increased by 2.4%, while management and franchise fee revenues grew by 10.7% compared to the same period in 2023.
Looking ahead, Hilton projects its full-year net income to be between US$1.405 billion and US$1.429 billion, with full-year adjusted EBITDA anticipated to be between US$3.375 billion and US$3.405 billion.
“We were pleased to deliver continued strong bottom line results that exceeded our guidance, despite slower top-line growth which was driven by modestly slower macro trends, weather impacts and unfavourable calendar shifts,” Hilton president and CEO Christopher J Nassetta said.
“We continued to demonstrate the strength of our model, opening more rooms than any other quarter in our history, surpassing 8,000 hotels and achieving net unit growth of 7.8%.”
The company opened 531 hotels, totalling 36,600 rooms in Q3 2024.
Earlier this month, Hilton partnered with Be My Eyes, an app designed to assist the blind or those with low vision, to provide a more accessible hotel experience.
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