Hyatt Hotels Corporation reported adjusted earnings per share of $1.12 for the second quarter of 2026, exceeding the consensus estimate of 90 cents by 24.4% and rising 64.7% from $0.68 a year earlier. Revenues increased 1.2% to $1.829 billion, surpassing the $1.815 billion consensus. Gross fees rose 7.8% year over year to $324 million, supported by growth in management and franchise fees.
Regional RevPAR and Occupancy Trends
Comparable system-wide hotel revenue per available room (RevPAR) grew 5.9% year over year in Q2 2026. Average daily rate climbed 5% to $216.81 while occupancy increased 0.6 percentage points to 73.2%. Luxury and upper-upscale hotels led the RevPAR
gains. U.S. RevPAR rose 6.7%; Asia Pacific excluding Greater China increased 10.3%; Americas excluding U.S. advanced 9.5%; and Greater China grew 7.2%. The Middle East and Africa region experienced a 28.3% decline in RevPAR, negatively impacted by regional conflict. Comparable all-inclusive resort Net Package RevPAR fell 1.2%, led by a 2.3% drop in the Americas outside the U.S., partly due to security concerns in Mexico and lower airlift. Net package occupancy declined 2.1 percentage points to 72.8%, offset by an average daily rate increase of 1.7% to $271.25. Temporary closures in Jamaica related to Hurricane Melissa adversely affected distribution adjusted
EBITDA, which decreased to $27 million from $43 million.
Hotel Openings, Pipeline and Financial Results
Hyatt opened 3,585 rooms in Q2 2026, including Miraval The Red Sea, its first Miraval-branded property outside the United States, and The Barai Hua Hin, introducing The Unbound Collection by Hyatt brand to Thailand. The company’s pipeline of executed management and franchise contracts expanded 10% year over year to roughly 154,000 rooms. Trailing 12-month net rooms growth reached 3.9%, or 4.4% excluding rooms from the Playa Hotels acquisition removed in the second half of 2025. Adjusted EBITDA rose 3.4% year over year to $297 million, or 8.8% excluding 2025 asset sales.
Owned and leased adjusted EBITDA declined from $47 million to $40 million but improved 16% after adjusting for asset sales. Hyatt reported net income attributable to the company of $110 million compared to a net loss of $3 million a year prior, while adjusted net income increased to $108 million from $66 million. As of June 30, 2026, Hyatt held $4.3 billion in total debt and $2.1 billion in liquidity. The company returned $175 million to shareholders through dividends and share repurchases in the first half of 2026, with full-year capital returns expected between $325 million and $375 million.
Revised Growth Outlook and Mid-Tier Development Acceleration
Hyatt
lowered its 2026 net rooms growth forecast to approximately 6% from an earlier range of 6-7%, citing delays in some hotel openings initially planned for late 2026, which are now expected to open in 2027. CEO Mark Hoplamazian stated, “We’re taking a measured view on the timing of openings later this year.” The company is accelerating development of mid-tier properties through a $500 million credit facility backing projects under its Hyatt Studios brand. Hyatt signed a master franchise agreement with Dossen Group to develop Hyatt Select hotels in Mainland China as part of this mid-tier expansion.
Pressure in Middle East and Mexico Markets
Ongoing challenges in the
Middle East and Mexico markets continue to pressure Hyatt’s fee growth and RevPAR performance. Lower incentive management fees from these regions, combined with temporary closures in Jamaica due to Hurricane Melissa, limited overall upside. The conflict in the Middle East subtracted approximately 110 basis points from total RevPAR growth in the quarter. Softer demand and security concerns in Mexico contributed to declines in all-inclusive resort Net Package RevPAR and occupancy. These factors have constrained Hyatt’s overall fee growth despite expansion in other regions.
