Hilton Optimistic Hotel Boom Will Roll On Into Next Year
Photo Caption: The lobby of the new in 2022 Waldorf-Astoria Kuwait. Hilton, which own several brands including Waldorf Astoria. Source: Hilton.
Skift Take
Don't underestimate people's urge to travel after years of pandemic restrictions. Hilton sees strength in leisure, business, and group travel, yes, business and group, through the year-end and beyond.
Third-quarter results at Hilton Worldwide suggest the pent-up demand for travel after the pandemic still has room to run. Most hotels will have pricing power through at least the rest of the year, and probably longer, according to Hilton's executives on Wednesday.
Hilton — which owns several brands including Waldorf Astoria — raised its profit forecast for 2022 after seeing a surge in earnings. In the third quarter, the company generated a net income of $347 million on revenue of $2.37 billion. It predicted that the rest of the year would also be strong as the company runs the highest margins in its history.
"While we're not naive to what's going on with the Fed here and with central banks in other parts of the world in trying to tame inflation by slowing economies, we do think we have a reasonably unique setup that is maybe different than some other industries for a period of time that is going to benefit us, not just in the fourth quarter, but into next ye
