Hyatt Hotels Corp. (H, +0.26%) reported Thursday fourth-quarter profit that beat expectations by a wide margin, thanks to a noncash benefit of $250 million from the release of a valuation allowance on deferred taxes. Net income of $294 million, or $2.69 a share, was significantly higher than the net loss of $29 million, or 26 cents a share, reported in the year-ago period. The year-ago results are from the earnings release from February 2022, because the hotel operator didn’t provide year-ago results in the latest earnings press release or in the supplemental investor presentation. Excluding nonrecurring items, adjusted earnings per share of $2.55 was above the FactSet consensus of 34 cents.
Total revenue of $1.59 billion was up 47.6% from last year, and above the FactSet consensus of $1.52 billion. Comparable system-wide revenue per available room (RevPAR) rose 2.4% in the fourth quarter but fell 6.1% for 2022, when compared with pre-pandemic 2019 levels.
The stock, which rose 2.1% in premarket trading, has rallied 24.6% over the past three months through Wednesday, while the S&P 500 (SPX, -0.57%) has advanced 4.8%.
Investors have been encouraged by the strong results reported by Hyatt Hotels Corp. as the company has been able to benefit from the gradual recovery of the travel industry. The hotel operator’s fourth-quarter results show that the pandemic’s impact has been less severe than initially feared, and that the company has been able to capitalize on the slowly improving conditions.
Hyatt Hotels Corp. has been able to make up for the losses it suffered during the pandemic by focusing on cost-saving measures, such as reducing staff, temporarily closing some of its properties, and providing discounts to customers. The company has also been able to benefit from the changing consumer preferences, as more people opt for leisure trips and staycations instead of traditional business travel.
The company has also been able to capitalize on the increasing demand for luxury travel as more people look for safe and comfortable accommodations. Hyatt Hotels Corp. has been able to leverage its unique portfolio of properties and offerings to take advantage of the changing consumer preferences and the increasing demand for luxury travel.
The company has also been able to benefit from the increasing demand for digital services, as it has been able to offer customers a seamless and convenient experience through its mobile app and other digital channels. Hyatt Hotels Corp. has been able to take advantage of the digital transformation that is taking place in the hospitality industry and has been able to capitalize on the increasing demand for digital services.
Hyatt Hotels Corp. has been able to make up for the losses it suffered during the pandemic by focusing on cost-saving measures, such as reducing staff, temporarily closing some of its properties, and providing discounts to customers. The company has also been able to benefit from the changing consumer preferences, as more people opt for leisure trips and staycations instead of traditional business travel.
The company has also been able to capitalize on the increasing demand for luxury travel as more people look for safe and comfortable accommodations. Hyatt Hotels Corp. has been able to leverage its unique portfolio of properties and offerings to take advantage of the changing consumer preferences and the increasing demand for luxury travel.
The company has also been able to benefit from the increasing demand for digital services, as it has been able to offer customers a seamless and convenient experience through its mobile app and other digital channels. Hyatt Hotels Corp. has been able to take advantage of the digital transformation that is taking place in the hospitality industry and has been able to capitalize on the increasing demand for digital services.
Overall, Hyatt Hotels Corp. has been able to successfully navigate the pandemic and has been able to capitalize on the slowly improving conditions in the travel industry. The company has been able to benefit from cost-saving measures, changing consumer preferences, and the increasing demand for luxury and digital services. As the travel industry continues to recover, Hyatt Hotels Corp. is well-positioned to capitalize on the improving conditions and continue to deliver strong results.
