Hilton Being Held Back by China Trade Tussle
Skift Take
Luckily, Hilton has built a strong business model that should see it through any tough times.
Hilton reported solid second quarter earnings for 2019, although an uncertain political environment continues to slow the hotel giant's growth in the U.S. and Asia Pacific.
Net income came in at $261 million for the quarter, a 20 percent increase from a year prior, driven primarily by strong unit growth. Meanwhile, revenue-per-available-room (RevPAR) increased a modest 1.4 percent compared to the year before, as U.S. trade tensions with China dampened both corporate bookings in the U.S. and leisure travel in Asia Pacific.
The company expects this trend to continue throughout the second half of 2019, and potentially into 2020. Hilton shares stayed relatively stable in the hours after the market open.
“More people are putting their caution flags up,” said Hilton CEO Christopher Nassetta in an earnings call Wednesday. “It does
