Hyatt Hotels Corp. revealed its first-quarter profits surged as rates, occupancy and revenue shot up, with results topping expectations.
According to the Wall Street Journal, Hyatt's RevPar rose 6.5 percent at comparable owned and leased hotels during Q1 2014, while the company's occupancy rose 71.3 percent, up from 70.3 percent one year earlier. Hyatt's ADR also rose 5.1 percent to $191.51.
Bloomberg Businessweek reported that Hyatt posted a profit of $56 million, or 36 cents a share, in Q1 2014, a big leap up from $8 million (five cents per share) in Q1 2013.
Hyatt also closed the sale of a 10-hotel portfolio for $313 million during the quarter, and is currently marketing nine more full-service North American properties for potential sale. This is assisted by a rise in revenue from $975 million in 2013 to $1.07 billion in 2014.
Reuters reported that Hyatt expects it's U.S. hotels to remain strong as the country's business travel market continues to gain momentum, with Hyatt reporting a 9.3 percent rise in group room revenue at full service U.S. hotels open at least one year.
"Looking ahead, we expect healthy occupancy and (room) rate growth, particularly in the Americas, as (Hyatt's) group business continues to recover and transient business remains strong," chief executive Mark Hoplamazian said in a statement.