First-Quarter Profit for Hilton Hotels Advances 80% to $22.2 Million

Hilton Hotels Corp.’s first-quarter profit rose 80% above last year’s Persian Gulf War-depressed levels, with gains in both casino and hotel operations, the company said Monday.

For the January-March quarter, Hilton earned $22.2 million, or 46 cents per share, compared to $12.3 million, or 26 cents per share, during the first quarter of 1991. Revenue rose 3.5%, from $266.9 million to $276.3 million, Hilton said.

Gaming division operating income rose 21% to $40.8 million. Hotel division operating income was up 55% to $13.2 million.

In New York Stock Exchange trading, Hilton stock rose by $2.125 per share to $49.875, equaling its high for the past year.

Barron Hilton, chairman and president, said results improved at all the company’s Nevada casinos. He said the hotel division had mixed results, with improvements in markets such as Hawaii and New Orleans, but overall there were lingering problems due to the recession and overbuilding.

Hilton said the company had continued its expansion plans “on a selective basis.” A hotel in Long Beach was opened during the first quarter, and there are plans to open a hotel-casino in Istanbul, Turkey, next month.

The hotel chain also has announced joint ventures to develop a huge casino and family entertainment center in Chicago and a riverboat gambling boat in New Orleans.