Hyatt Hotels beats by $0.18; Lowers 2016 RevPar guidance
- Reports Q2 (Jun) earnings of $0.64 per share, excluding non-recurring items, $0.18 better than the Capital IQ Consensus of $0.46.
- Adjusted EBITDA increased 5.6% to $227 million, up 7.1% in constant currency.
- Comparable systemwide RevPAR increased 2.3%, including an increase of 4.5% at comparable owned and leased hotels.
- Comparable owned and leased hotels segment operating margins were stable at 27.6%.
2016 OUTLOOK
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The Company is reaffirming the following information for the 2016 fiscal year:
- The Company expects to open more than 60 hotels in 2016.
- Interest expense is expected to be approximately $75 million.
- In addition to the capital expenditures described below, the Company intends to continue a strong level of investment spending.
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The Company is revising the following information for the 2016 fiscal year:
- Comparable systemwide RevPAR is expected to increase approximately 2% to 3% (compared to previous expectation of approximately 3% to 5%), as compared to fiscal year 2015.
- Adjusted selling, general, and administrative expenses are expected to be approximately $280 million (compared to previous expectation of approximately $290 million).
- Capital expenditures are expected to be approximately $260 million (compared to previous expectation of approximately $275 million)