CHICAGO RevPAR across Hyatt Hotels Corp.’s owned and leased portfolio improved by 6.9% in the third quarter as demand from business travelers bounced back.
Hyatt’s revenue climbed 9% to US$879 million while net income increased by a staggering 500% year over year to US$30 million, or 17 cents a share. For its full-service properties, Hyatt’s RevPAR climbed 7.5% in North America and 17% internationally.
“During the third quarter, RevPAR, margins and fees increased as a result of improved demand. Higher levels of corporate and group business resulted in improved performance at convention and business hotels in particular,” says CEO Mark Hoplamazian. “International hotels continued to perform well as occupancies and rates increased in several regions, contributing to fee growth of approximately 25% in the quarter.”
The company divested of three properties during the quarter, selling Hyatt Regency Greenville, Hyatt Regency Princeton and an unidentified non-Hyatt-branded property for a combined US$65 millino. Hyatt anticipates selling an additional three to five properties over the next few months to raise money for other projects.