TSX:HOT.DB.V - Post by User
Post by
nightCruiseon Oct 29, 2021 2:50am
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Post# 34061935
Related US lodging news: Hilton matches earnings estimates
Related US lodging news: Hilton matches earnings estimatesHilton recently posted excellent earnings and their ceo expects this to continue next quarter despite the high inflation environment thanks in part to the daily adjustable nature of Hotel Rates. They have also reduced labor costs and are seeing strong leisure demand.
https://www.bloomberg.com/news/articles/2021-10-27/hilton-ceo-thanks-fed-says-hotel-rates-can-rise-with-inflation
AHIP reit has done a lot of the same and then some. Maybe we can expect them to show the same earnings strength going forward?:
Optimized labor 8/10/2021 MD&A Sedar
'the improvements in NOI margins vs 2019 are also reflective of the modification of certain hotel operating standards put in place to address employee and guest safety in response to the outbreak of the pandemic in 2020. This included the reduction or elimination of daily housekeeping during guest stays; and a reduction in complimentary breakfast and evening reception offerings. These changes have resulted in hourly and salaried labor remaining below prepandemic levels. Management is currently in discussions with Brand partners around service standards and expects that a portion of these changes will remain in effect.'
Sale of economy properties pre pandemic to focus on premium branding offerings, luxury or higher class is more tolerant of inflation
https://www.hoteliermagazine.com/american-hotel-income-properties-reit-sells-economy-lodging-portfolio/