(Bloomberg) -- Hilton Worldwide Holdings Inc. reported earnings that beat analyst estimates as strong demand for international trips made up for slowing leisure travel in the US.

• Hilton had adjusted earnings per share of $1.67 in the third quarter, according to a statement Wednesday. That was higher than an average analyst estimate of $1.65, according to data compiled by Bloomberg.

Key Insights

• The post-pandemic travel surge in the US is starting to slow, but bookings at Hilton’s international hotels made up for the pullback. Revenue per available room, or revpar, increased by 39% in Asia, compared to the same period of 2022. It grew just 3% in the US.
• Hilton has sought to juice growth by rolling out new brands focused on lower-price points. The company created Spark, aimed at economy travelers, at the beginning of the year, and has a new lower-cost extended-stay brand in the works.
• Hilton raised its estimates for full-year adjusted EPS to between $6.04 and $6.09, slightly higher than an outlook the company put out in July.

Market Reaction

• Hilton shares are up 18% since the beginning of the year, outpacing a Bloomberg index of Americas lodging companies.

©2023 Bloomberg L.P.