Hilton profits more than triple in first quarter


McLean-based Hilton said profits grew to $123 million during the first quarter of 2014. (Brendan Mcdermid/Reuters)

Profits at Hilton Worldwide grew more than three-fold during the first quarter of the year, lifted by an increase in group travel and rising nightly rates, the company reported Friday.

Hilton posted first-quarter earnings of $123 million, or 12 cents, up from $34 million, or 3 cents per share, a year earlier. Revenue per available room — a key industry metric — grew 6.6 percent from the same period last year.

“It feels like the business is really hitting on all cylinders,” Christopher J. Nassetta, president and chief executive, said in a conference call with investors.

The McLean-based hotel company also said it has plans to introduce two new brands this year: A four-plus-star brand focused on urban and resort hotels (slated to debut this summer), and a “lifestyle” brand (coming this fall). The company currently has 10 hotel brands, including Waldorf Astoria Hotels & Resorts and Embassy Suite Hotels.

“We are working on a meaningful number of deals in both new brands,” Nassetta said in the call.

The company, which went public in December, continues to grow at a rapid clip. During the first quarter, Hilton opened 51 hotels with more than 9,000 rooms.

Abha Bhattarai covers local retail, hospitality and banking for The Washington Post. She has previously written for The New York Times, The Wall Street Journal, Reuters and the St. Petersburg (Fla.) Times.

business

capitalbusiness

Success! Check your inbox for details. You might also like:

Please enter a valid email address

See all newsletters

Comments
Show Comments
Most Read Business

business

capitalbusiness

Success! Check your inbox for details.

See all newsletters

To keep reading, please enter your email address.

You’ll also receive from The Washington Post:
  • A free 6-week digital subscription
  • Our daily newsletter in your inbox

Please enter a valid email address

I have read and agree to the Terms of Service and Privacy Policy.

Please indicate agreement.

Thank you.

Check your inbox. We’ve sent an email explaining how to set up an account and activate your free digital subscription.