Hyatt raises 2026 outlook as luxury drives Q3 U.S. RevPAR up 8.2%

Hyatt raised its full-year RevPAR forecast after third-quarter luxury demand beat Wall Street, and now expects 2026 growth of 5% to 5.5%. The previous range, given in July, was 3.5% to 4.5%. Barclays analysts noted the new guidance is above the 4.7% average analyst estimate.

U.S. RevPAR climbed 8.2% in the third quarter, including roughly 50 basis points from the FIFA World Cup in July. Chief executive Mark Hoplamazian said the performance was driven by durable demand from high-end travellers and continued strength across the luxury portfolio, helped by the timing of the Jewish holidays in September.

Adjusted EBITDA rose 19% to $295 million, after adjusting for hotels sold last year. Hoplamazian credited premium travellers for the result. "Luxury leisure has just remained the juggernaut of growth for us," he said on the earnings call.

Average rates grew in every brand category, and Hoplamazian said they drove nearly 80% of Hyatt's RevPAR growth in the quarter. RevPAR increased across all customer segments: leisure transient and group posted strong gains, while business transient rose in the low single digits.

Where the quarter fell short

The all-inclusive portfolio was the exception. Net package RevPAR fell 2.5%. Cancún demand dropped by more than 10% because airlines cut flight capacity, and on the Riviera Maya the sargassum seaweed that washes ashore held back bookings.

Chief financial officer Joan Bottarini said the segment's 2027 bookings pace is already up in the high single digits. Hoplamazian warned against reading much into October indicators, pointing to market volatility and the U.S. midterm elections.

The Middle East was hit by the U.S.-Iran war, which cut international inbound travel to Hyatt hotels there by 40%. Domestic demand cushioned the blow, and RevPAR in the region fell only about 3%, with Hyatt expecting the region to cost it roughly $10 million in fees this year.

Elsewhere, Europe grew 4.3% and Asia Pacific excluding China grew by more than 10%, while China grew 2.1%. Skift's framing of the quarter is that a luxury-leisure portfolio is a bet on the wealth effect, which could unwind if equity markets fall.

Hyatt is a global hospitality company that runs hotels, resorts and vacation properties. When we covered the first half, luxury hotels led RevPAR growth as budget brands stalled, and this quarter extends that pattern into the autumn.

Hyatt is also among the groups profiled in our guide to the world's most luxurious hotel brands, which spans independent houses such as Aman and Cheval Blanc and brands owned by Marriott, Accor, Hilton, Hyatt and LVMH.

A record pipeline and new brands

Hyatt ended the quarter with a record development pipeline of approximately 158,000 rooms. Hoplamazian described "exceptionally strong development activity" in the quarter, and said more than half of the company's full-year openings are expected in the fourth quarter.

Year to date, Hyatt has signed 70% more deals than last year, and construction starts are up more than 40%. Luxury, lifestyle and Inclusive Collection brands generate the strongest owner interest, he said, while the Essentials brands build momentum and widen Hyatt's reach.

The Hyatt Regency San Diego Mission Valley in California is slated to open later this year. Hoplamazian added that Hyatt sees significant room to expand its brand presence across the United States.

On Wednesday the company announced plans to bring the StandardX brand to North America, with a flagship hotel of approximately 1,800 keys in New York City. Hyatt took on the brand in 2024 when it acquired boutique operator Standard International.

Amar Lalvani joined from that deal, and we reported his appointment as Hyatt's first chief creative officer, with a brief to make each brand distinct enough that guests know why they chose it. Hoplamazian said the role equips colleagues to deliver the brand strategy.

On loyalty, Hyatt entered a long-term strategic collaboration with Delta Air Lines during the quarter. Hoplamazian called the premium travel tie-up a great example of connecting with members beyond their hotel stay.

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Image: Photo Credit: Impression Isla Mujeres by Secrets, an all-inclusive resort available via Hyatt