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Sep 30, 2024

Hilton Q3 2024 Earnings Report

Reported third quarter results with diluted EPS of $1.38 and adjusted EPS of $1.92, net income of $344 million, and adjusted EBITDA of $904 million.

Key Takeaways

Hilton's third quarter 2024 results showed strong bottom-line performance exceeding guidance despite slower top-line growth due to macro trends and weather impacts. The company opened a record 36,600 rooms, surpassing 8,000 hotels, and achieved net unit growth of 7.8 percent.

Diluted EPS was $1.38 for the third quarter, and diluted EPS, adjusted for special items, was $1.92.

Net income was $344 million for the third quarter.

Adjusted EBITDA was $904 million for the third quarter.

System-wide comparable RevPAR increased 1.4 percent, on a currency neutral basis, for the third quarter compared to the same period in 2023.

Total Revenue
$2.87B
Previous year: $2.67B
+7.3%
EPS
$1.92
Previous year: $1.67
+15.0%
System-wide RevPAR
$1.4
Previous year: $6.8
-79.4%
Gross Profit
$789M
Previous year: $1.12B
-29.3%
Cash and Equivalents
$1.66B
Previous year: $779M
+112.5%
Free Cash Flow
$647M
Previous year: $652M
-0.8%
Total Assets
$1.66B
Previous year: $15.2B
-89.1%

Hilton

Hilton

Forward Guidance

Hilton provided guidance for the full year and fourth quarter of 2024, including system-wide RevPAR, diluted EPS, net income, and Adjusted EBITDA.

Positive Outlook

  • Full year 2024 system-wide RevPAR is projected to increase between 2.0 percent and 2.5 percent compared to 2023.
  • Full year 2024 net income is projected to be between $1,405 million and $1,429 million.
  • Full year 2024 Adjusted EBITDA is projected to be between $3,375 million and $3,405 million.
  • Full year 2024 capital return is projected to be approximately $3.0 billion.
  • Net unit growth for 2025 is expected to be between 6.0 percent and 7.0 percent.

Challenges Ahead

  • System-wide comparable RevPAR for fourth quarter 2024 is projected to increase between 1.0 percent and 2.0 percent compared to the fourth quarter of 2023.
  • Diluted EPS for fourth quarter 2024 is projected to be between $1.49 and $1.59.
  • Diluted EPS, adjusted for special items, for fourth quarter 2024 is projected to be between $1.57 and $1.67.
  • Net income for fourth quarter 2024 is projected to be between $371 million and $395 million.
  • Adjusted EBITDA for fourth quarter 2024 is projected to be between $804 million and $834 million.