Hilton Worldwide (HLT) Q1 2026 earnings summary

Executive summary

• Strong Q1 2026 performance with RevPAR and net unit growth exceeding guidance, driven by robust demand, system-wide share gains, and macroeconomic tailwinds, especially in the U.S.

• Net income rose to $383 million from $300 million year-over-year, with revenue growth across all major segments and continued global expansion of the hotel portfolio.

• Achieved the largest development pipeline in company history at 527,000 rooms, with net unit growth of 6.3% year-over-year.

• Asset-light, fee-based model generated significant free cash flow and shareholder returns, with $860M returned in Q1 and $3.5B targeted for the year.

• Launched new brand Select by Hilton and entered exclusive agreement with YOTEL.

Financial highlights

• System-wide RevPAR increased 3.6% year-over-year, with business transient up 2.7%, leisure transient up 3.5%, and group up 4.3%.

• Adjusted EBITDA was $901M in Q1, up 13% year-over-year, exceeding guidance.

• Diluted EPS (adjusted) was $2.01 for Q1; reported diluted EPS was $1.66, up from $1.23 in the prior year.

• Management and franchise fee revenues increased 10.4% year-over-year.

• Total revenues rose to $2.94 billion, up 9% from Q1 2025.

Outlook and guidance

• Full-year 2026 system-wide RevPAR growth expected at 2%-3%.

• Adjusted EBITDA guidance for 2026 is $4.02B–$4.06B; diluted EPS (adjusted) $8.79–$8.91.

• Net unit growth expected at 6%-7% for the year.

• Capital return for 2026 projected at approximately $3.5 billion.

• Q2 guidance: RevPAR growth 2%-3%, Adjusted EBITDA $1.015B–$1.035B, EPS (adjusted) $2.18–$2.24.