Waldorf Astoria New York - Grand Reopening in Summer 2025. Photo: Shutterstock Hilton Unveils Strong Q2 2025 Results.
Despite a slight decline in occupancy rates, the hotel chain Hilton achieved an impressive net profit of $442 million, a significant increase compared to the same quarter last year.
The adjusted operating profit (EBITDA) increased to $1.008 billion compared to $917 million in the corresponding quarter of 2024.
Despite a 0.5% drop in RevPAR (Revenue Per Available Room) due to holidays and weakness in government tourism, Hilton reports a 7.9% increase in management and franchise revenues for the quarter. This increase is attributed partly to an improvement in room rates (ADR) and strong demand in key markets.
The president and CEO, Christopher Nassetta, noted: “Our business model continues to prove resilient. We are poised for a period of accelerated growth, particularly in the U.S., against a backdrop of an improving economy and limited room inventory.”
The quarter included an exceptional achievement in development: 36,200 new rooms were approved, and the pipeline reached an all-time high with 510,600 rooms in 3,636 hotels across 128 countries, including 29 countries where the company has no presence yet.
Notable Launches Include:
Sax Paris Hotel - The first for the LXR brand in Paris
Hotel Astoria Vienna - Debut in Austria for the Curio brand
Waldorf Astoria New York - Grand reopening in summer 2025
The first launch for the LivSmart Studios brand in Tennessee
Hilton presented an impressive financial balance:
- Cash reserves of $448 million
- Net debt of approximately $10.9 billion with an average interest rate of only 4.75%
- Share repurchases totaling $791 million in the quarter and $1.88 billion year-to-date. Additionally, Hilton issued $1 billion in bonds in July at a 5.75% interest rate to finance operations.
Despite a slight slowdown in international markets, Hilton anticipates stable or up to 2% RevPAR growth annually, a net profit of $1.64–1.68 billion for 2025, and an expected annual EBITDA of $3.65–3.71 billion.
In conclusion, Hilton reports strong results, maintaining high growth rates, brand expansion, and impressive financial stability – a sign that even in economic uncertainty, the combination of luxury branding, operational efficiency, and global investments continues to deliver results.