Hyatt returned to profit in the second quarter of 2022 as corporate demand and group bookings recovered strongly.
The Chicago-based hotel company made a net profit of $206 million in Q2. This compared to a loss of $9 million in the second quarter of 2021. Hyatt saw revenue increase from $663 million to $1.48 billion over the same period.
Mark Hoplamazian, president and CEO of Hyatt Hotels Corporation, said the company’s sales increase had been driven by “a record level of leisure transient revenue and rapidly improving group and business transient demand.”
He added: “Demand broadened both geographically and by segment, with revpar (revenue per available room) in most of our key geographies exceeding the same period in 2019. Our outlook remains optimistic with strong actualised results and booking trends for future periods continuing in July.”
Hyatt said that revpar for the April-June quarter increased by 82 per cent to $130.16, which was higher than its comparable 2019 figure when its operations in China are excluded.
The company said that financial results in its Europe, Africa, Middle East and Southwest Asia region had been “led by Europe and the Middle East as travel restrictions eased, cross-border travel strengthened and airlift improved”.
Like most of its competitors, Hyatt continues to expand with around 5,500 rooms added in the quarter and an overall development pipeline of 113,000 rooms.
“While there have been delays in the timing of openings across the industry, we are particularly encouraged by the volume of conversion opportunities driven by the compelling value of our brands and expect net rooms growth for the full year to be greater than 6 per cent,” said Hoplamazian.