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Hilton Worldwide Holdings Inc‘s quarterly profit nearly quadrupled as increased business and leisure travel drove up occupancy and room rates.
The world’s largest hotel operator said its net income attributable to shareholders rose to $123 million, or 12 cents per share, in the first quarter ended March 31, from $34 million, or 3 cents per share, a year earlier.
On an adjusted basis, the company earned 13 cents per share.
Revenue rose 4 percent to $2.36 billion. (Reporting by Rohit T. K. in Bangalore; Editing by Simon Jennings)
Highlights from Press Release
- EPS, adjusted for special items, for the first quarter tripled from the same period in 2013 to $0.13; without adjustments, EPS was $0.12
- Net income attributable to Hilton stockholders for the first quarter was $123 million, an increase of $89 million from the same period in 2013
- Adjusted EBITDA for the first quarter increased 22 percent from the same period in 2013 to $544 million and Adjusted EBITDA margin increased 400 basis points
- Management and franchise fees for the first quarter increased 17 percent from the same period in 2013 to $331 million
- System-wide comparable RevPAR increased 6.6 percent for the first quarter on a currency neutral basis from the same period in 2013
- Gross operating profit margins at owned and operated hotels increased 174 basis points for the first quarter compared to the same period in 2013
- Opened more than 9,000 rooms in the first quarter
- Approved 15,000 new rooms for development during the first quarter, growing its industry-leading development pipeline to 1,165 hotels, consisting of approximately 200,000 rooms as of March 31, 2014
- Reduced long-term debt by $200 million through voluntary prepayments on its senior secured term loan facility
- Increased outlook for full year 2014 Adjusted EBITDA to between $2,415 million and $2,465 million, up from $2,365 million to $2,435 million
Hilton Worldwide Rooms Under Construction
|Market||% of Total||Industry Rank|
|Middle East and Africa||23.0%||#1|