Business transient results in the first quarter into the second quarter were “extraordinarily encouraging,” said Mark Hoplamazian, CEO of Hyatt Hotels Corp., speaking on an earnings call. Business transient hotels, he said, were up almost 16% year over year in the quarter, and convention hotels were up about 11%. The technology transient sector, said Hoplamazian, was up 30% in the first quarter. These numbers, he said, are “staggering.”
The group segment, said Hoplamazian, is “the gift that keeps on giving,” with a pace up 7% year over year for the remainder of the year — and up significantly for both 2025 and 2026, with 50% of the 2025 business and 30% of the 2026 business already on the books. Both numbers, he said, are higher than normal.
Hyatt’s systemwide first-quarter revenue per available room (RevPAR) increased 5.5% year over year to $131.86, while average daily rate (ADR) was up 2% to $202.33, and occupancy increased 2.2 percentage points to 65.2%.
RevPAR in the US was up 0.2% year over year to $132.68, while ADR dropped 0.4% to $205.41 and occupancy increased 0.4 percentage points to 64.4%. Joan Bottarini, CFO, said US RevPAR would have been up about 2% if the effect of the Easter holiday falling in the quarter had been excluded.
The company’s first-quarter revenues increased to $1.71 billion from $1.68 billion one year earlier. Net income increased to $522 million from $58 million in the first quarter of 2023, a figure boosted by the sale of several properties. Net rooms increased 5.5% year over year to more than 323,400, while Hyatt’s pipeline increased 10% to more than 129,000 rooms.
