by Lacey Pfalz
Last updated: 10:13 AM ET, Wed October 27, 2021
Hilton released its third-quarter 2021 report October 26, measuring the steady rise of its recovery over the three months beginning in July and ending September 30, 2021.
The majority of its global hotel operations have resumed since the end of the third quarter, with 335 hotels being suspended for a time during the past nine months of the year, down from 1,270 hotels during the first nine months of 2020. All but 88 hotels have reopened as of September 30, 2021. The corporation expects the rest of its properties to open by the end of this year.
RevPAR, or revenue per available room, is an important metric in determining a hotel or hotel corporation's revenue. The third quarter saw a system-wide RevPAR increase of 98.7 percent from the same time last year. While this rate was still 18.8 percent lower from the same time in 2019, pre-pandemic, it's steadily climbing.
RevPAR for the past nine months has increased 47.6 percent compared to the first nine months of 2020.
Adjusted EBITDA (or earnings before interest, taxes, depreciation and amortization) was $519 million for the third quarter, nearly double that of 2020's third quarter Adjusted EBITDA, which was $224 million. The Adjusted EBITDA of Hilton's second-quarter 2021 was $400 million, showing growth even through the pandemic's various surges.
Net income loss was $240 million, up from 2020's third-quarter net income loss of $81 million.
Hilton is still going strong in its development of new properties, welcoming 96 new hotels with around 14,700 rooms in this year's third quarter alone. The new LXR Hotels & Resorts' first property in Asia opened during this quarter, the Mango House Seychelles. Home2 Suites recently marked its 500th hotel, too.
The hotel corporation is currently developing more than 2,620 hotels with 404,000 rooms across 114 countries and territories. Twenty-seven of these countries and territories do not currently have any Hilton properties.
"We are pleased with our third-quarter results which continue to reflect recovery from the adverse impact of the COVID-19 pandemic. Leisure travel remained strong and business travel continued to pick up during the quarter," said Christopher J. Nassetta, President & CEO of Hilton. "We continue to expand our global footprint driven by the power of our industry-leading brand portfolio. Overall, we remain confident in a strong recovery in global tourism in the months and years ahead, as well as our positioning within the industry, which will enable us to continue to differentiate ourselves and deliver exceptional performance for all of our stakeholders."
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