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Corporate America has a message for the Fed on inflation

Corporate America has a message for the Fed on inflation

hotels, airlines and related companies benefited as consumers shifted their spending from goods to experiences, giving those companies room to raise prices.

“We don’t see any signs that the fundamentals are weakening,” Christopher J. Nassetta, chief executive of Hilton Worldwide, said during an earnings call with investors. He noted that “rising demand combined with historically low supply growth in the industry should continue to drive strong pricing power.”

Wyndham Hotels reported that the typical decline in demand in the fall was less pronounced than usual. Uber said October should be its best month ever for ride bookings, thanks in part to “the continued shift of consumer spending from retail back to services,” CEO Dara Khosrowshahi said Tuesday.

At JetBlue, “we don’t see any cracks in the underlying demand,” said Joanna Geraghty, the airline’s chief operating officer, describing how it has been recovering its earnings after being hit by the pandemic.

PepsiCo raised its sales and profit forecasts for this year, in large part due to consumers’ willingness to pay more for juice and snacks. “One of our goals is obviously to gain share and increase margins. And frankly, that’s something I think we can do,” Hugh F. Johnston, PepsiCo’s chief financial officer, told analysts.

At Colgate-Palmolive, “we felt it was very important to get ahead of the inflationary environment and take as much price as possible,” said Noel R. Wallace, chief executive of the consumer products maker. The company raised prices in North America by 9 percent in the third quarter from a year earlier, up from 3 percent growth in the second quarter.

Chipotle Mexican Grill has seen “minimal resistance” to price increases, Brian Niccol, the restaurant chain’s chief executive, told investors. In the third quarter, Chipotle raised prices by 13 percent year-over-year, and expects prices to be up more than 15 percent year-over-year in the fourth quarter.



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