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The hotel industry has benefited from people spending on travel as well as hotel stays, though rising interest rates and tight financial conditions are stoking fears of a recession.
However, credit card and other data indicate that travel demand is likely to remain robust.
Shares of Hilton, which owns brands including the Waldorf Astoria Hotels & Resorts, were up 4.9% at $126.1.
The hotel operator said it expects net income of $1.15 billion to $1.22 billion this year, compared to its previous guidance of $1 billion to $1.07 billion.
The Virginia-based company expects full-year capital return between $1.5 billion and $1.9 billion, compared to its prior guidance of $1.4 billion to $1.8 billion.
The company expects its full-year system-wide comparable RevPAR, or revenue per available room, to increase between 37% and 43% compared to a year earlier.
Hilton reported revenue of $2.24 billion for the second quarter, compared with average analysts’ expectations of $2.08 billion, according to Refinitiv data.
On an adjusted basis, the company earned $1.29 per share, better than the average analyst expectation of $1.04.
