by Lacey Pfalz
Last updated: 11:11 AM ET, Thu July 29, 2021
Hilton has released its second quarter results for this year, citing a path to recovery with capacities more than doubled from the same time last year.
According to the report, around 300 hotels were suspended during the first half of 2021, mainly located in the United State and Europe, whereas last year's numbers were around 1,205 hotels. All hotels except 100 of them worldwide have opened as of June 30, 2021.
RevPAR, or revenue per available room, is an important metric to analyze hotel revenue. It increased 233.8 percent in the last three months compared to 2020's numbers, while the last half year has seen a RevPAR increase of 23.2 percent.
Additionally, compared with last year's secord quarter results, the company's Adjusted EBITDA (or earnings before interest, taxes, depreciation, and amortization) grew significantly from only $51 million to $400 million. Net income loss dropped from $432 million to $128 million, showing a recovery curve.
"We are excited about our strong second quarter performance, which reflects our ongoing recovery from the negative effects of the COVID-19 pandemic The broader distribution of vaccinations and the easing of travel and other restrictions have allowed for renewed interest in travel and tourism, with families embarking on long-delayed trips, and businesses scheduling in-person meetings again," said Christopher J. Nassetta, President & Chief Executive Officer of Hilton.
"While the pace of recovery varies by region, particularly with the uncertainty surrounding coronavirus variants, we expect continued strength in leisure demand and further upticks in business travel to drive continued resurgence in the back half of the year. We are also increasingly optimistic on our development, with net unit growth for the full year expected to be between 5.0 percent and 5.5 percent," continued Nassetta.
In terms of development, Hilton is still going strong. Over the past three months ending June 30, Hilton opened 119 new hotels with a total of over 19,800 rooms. Hilton has recorded around 2,590 hotels in development totalling 401,000 rooms in 115 countries and territories, including 30 new countries and territories that did not previously have any existing Hilton properties.
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