Hilton’s Profit Falls; Rising Costs Cited

Hilton Hotels Corp., the No. 3 U.S. hotel company, said third-quarter earnings fell 29%, hurt by rising costs and a slowdown in business-related travel.

Net income for the operator of Hilton and Embassy Suites dropped to $34 million, or 9 cents a share, from $48 million, or 13 cents, a year earlier. Revenue rose 3.2% to $964 million, the Beverly Hills-based company said.

Shares of Hilton fell 72 cents to $16.18 on the NYSE.