Hyatt (H 80.54, 0.00) is little changed after reporting a slim fourth quarter beat.
The hotel operator reported above-consensus earnings of $0.23 per share on a 4.0% year-over-year increase in adjusted EBITDA to $179 million. Revenue per available room increased 3.0% in the United States and grew 3.9% systemwide. Comparable owned and leased hotels operating margin grew 150 basis points to 23.7%.
The company added 71 new hotels to its portfolio in 2017 after opening 59 locations in 2016. Net hotel growth hit 9.8% in 2017 while net rooms growth was reported at 7.0%. One year ago, the company's net hotel growth was reported at 9.6% while net rooms growth hit 7.3%.
Revenue per available room in the Owned and Leased Hotels segment rose 4.1% while occupancy increased 120 basis points. One hotel—Hyatt House Irvine—was added to the company's portfolio while three hotels were removed from the portfolio and sold during the fourth quarter.
Total fee revenue grew 12.8% year-over-year to $131 million. Base management fees grew 9.5% to $52 million while incentive management fees rose 13.9% to $36 million thanks to new hotels and improved performance at existing locations. Franchise fees rose 7.6% to $29 million. Other fee revenue grew 38.9% to $14 million.
Comparable revenue per available room in the Americas Management and Franchising segment rose 3.3% while occupancy increased 110 basis points. Group rooms revenue at comparable U.S. full service hotels grew 3.4% while room nights increased 0.8%. Transient room revenue at comparable U.S. full service hotels grew 2.0% while room nights increased 0.5%.