Business transient revenue per available room (RevPAR) at Hilton Worldwide increased 3% in the fourth quarter of 2024 over 2023, according to executives speaking on an earnings call. They attributed much of the growth to big tech and financial services companies. Christopher Nassetta, CEO, said he is confident the trend will continue through 2025.

“If you talk to all accounts, if you talk to large, medium, small, almost without exception,” said Nassetta, “people are broadly saying that they’re going to travel more. And they broadly understand that they’re going to pay more for their travel because they understand the environment they’re living in.”

Hilton’s systemwide fourth-quarter RevPAR increased 3.5% year over year to $110.33, while average daily rate (ADR) increased 1.9% to $157.73 and occupancy increased 1.1 percentage points to 69.9%.

In the US, fourth-quarter RevPAR increased 2.9% year over year to $114.18, while ADR rose 1.2% to $164.66 and occupancy increased 1.1 percentage points to 69.3%.

For the full year, systemwide RevPAR increased 2.7% year over year to $115.09, while ADR increased 1.6% to $159.55 and occupancy increased 0.8 percentage points to 72.1%.

Fourth quarter revenue increased nearly 7% year over year to $2.78 billion. Full-year revenue increased 9% to $11.2 billion.

The company’s development pipeline at the end of 2024 totaled 498,600 rooms, up 8% from the previous year.
Overall, fourth-quarter RevPAR increased 3.5% year over year, and full-year RevPAR increased 2.7% — both numbers higher than forecast in the previous quarter. For 2025, the company projects an overall RevPAR increase of 2%-3%.

Nassetta pointed to an anticipated “lighter regulatory environment” and more favorable tax policy as outcomes he foresees under the Trump presidency. On the subject of tariffs, he said that Hilton had diversified its supply chain in the years following the pandemic, which would reduce their effect.

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