Marriott
International and Hyatt Hotels Corp. during separate Wednesday earnings calls
each noted higher 2015 group demand, while Marriott
president and CEO Arne Sorenson said corporate negotiated rates in 2015 would
increase year over year, with "reduced discounting."
Group booking pace at
Marriott-brand properties for 2015, Sorenson said during the call, "is up
at a mid-single digit rate with only about 60 percent of expected group
business volume booked thus far."
Meanwhile,
Hyatt's group booking pace for 2015 "is up
approximately 8 percent, providing further opportunity to grow rates and
improve margins through higher rooms and food and beverage revenues," said
Hyatt president and CEO Mark Hoplamazian during the call.
Hyatt's
average systemwide daily rate during the third quarter increased year over year
5.8 percent to $180.16, and worldwide occupancy increased 1.2 percentage points
to 76.2 percent.
Third-quarter
net income was $32 million compared
to net income of $55 million in the third quarter of 2013.
Marriott's
average systemwide daily rate during the third quarter increased 4.2 percent
year over year to $173.00, with quarterly ADR increasing in the Caribbean and
Latin America (8.2 percent to $201.84), Europe (2.9 percent to $199.06),
Asia/Pacific (2.1 percent to $168.18) but declined in Africa and the Middle
East (down 7.4 percent to $166.85).
Global occupancy
increased 3 percentage points year over year to 76.2 percent.
Third-quarter
2014 net income totaled $192 million, compared with $160 million during the
same time period of 2013.