Hilton Raises Full-Year Earnings Outlook but Shares Drop on Weak Q3 Guidance

Hilton lifted its annual profit forecast but shares fell after third-quarter guidance missed analyst estimates. Hilton Worldwide Holdings Inc (HLT) increased its full-year adjusted earnings per share forecast to $8.89 to $9.01 from $8.79 to $8.91 previously. Adjusted EBITD

Hilton lifted its annual profit forecast but shares fell after third-quarter guidance missed analyst estimates.

Hilton Worldwide Holdings Inc (HLT) increased its full-year adjusted earnings per share forecast to $8.89 to $9.01 from $8.79 to $8.91 previously. Adjusted EBITDA guidance was also raised to $4.04 billion to $4.08 billion, up from $4.02 billion to $4.06 billion.

Second-quarter adjusted earnings of $2.29 per share beat estimates of $2.27, with adjusted EBITDA at $1.05 billion, above the $1.04 billion expected. However, third-quarter guidance fell short, with adjusted earnings projected at $2.28 to $2.34 per share versus analysts’ $2.42 estimate.

Shares dropped 3.4% following the announcement. Management cited a World Cup boost for third-quarter RevPAR growth but noted headwinds from US midterm elections in the fourth quarter.

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