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Shares of Hyatt Hotels fell as the company said fourth-quarter business was hurt by the presidential election—and the High Holy Days.
Hyatt (H) on Thursday on Thursday reported its latest financial results, which came in worse than Wall Street expected. The news sent its shares down nearly 11% in early trading.
Part of the reason, the company said: group demand that was impacted by the election—something other travel companies have noted in their own results—but also "the shift of the Jewish holidays."
Rosh Hashanah and Yom Kippur occurred in early October last year after falling in September, or the third quarter, of 2023, which could have kept more Jewish travelers home to observe the holidays during the period.
"Group rooms revenue was flat in the quarter and was up 5% when adjusting for the timing of the Jewish holidays in October and the U.S. elections in November," CEO Mark Hoplamazian said on the company's earnings call, according to a Hyatt spokesperson, who added, "We typically see lower group business during holidays."
Hyatt reported Q4 adjusted earnings per share (EPS) of $0.42 on revenue of $1.60 billion. Analysts polled by Visible Alpha expected $0.71 and $1.65 billion, respectively.
Hyatt's shares are up about 14% over the past 12 months.
UPDATE—This article has been updated with the latest share price information and Hyatt's comment.
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