Hilton Worldwide Holdings (HLT) in Pershing Square Semiannual 2024 Q2

Strong Revenue Growth Supported by Global Demand and New Initiatives

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Apr 15, 2025
Summary
  • Reported strong revenue growth driven by global demand and favorable supply conditions.
  • RevPAR increased by 3.5%, with aggregate fee revenues growing by 10%.
  • Net unit growth accelerating towards long-term targets, supported by new brand concepts.
  • Challenges include a slightly reduced RevPAR guidance due to macroeconomic conditions.
  • Continued focus on cost control and capital return programs to drive earnings growth.

Hilton Worldwide Holdings (HLT, Financial) was featured in the Pershing Square Semiannual 2024 Letter for Q2 as a key holding benefiting from strong global demand and favorable supply conditions. The company reported a 3.5% increase in RevPAR and a 10% growth in aggregate fee revenues. Hilton's strategic focus on net unit growth and new brand concepts is expected to support its long-term growth targets, despite a slight reduction in RevPAR guidance due to macroeconomic challenges.

"Net unit growth continues to accelerate towards Hilton’s 6% to 7% long-term growth target supported by new brand concepts including Spark and LivSmart Studios by Hilton." — Bill Ackman (Trades, Portfolio), Pershing Square, Semiannual 2024 Q2 Fund Letter

Read full letter at gurufocus Bill Ackman's Pershing Square Semiannual 2024 Letter 2024 Q2 page.