Starwood Quarterly Profit Plunges 81%

Starwood Hotels & Resorts Worldwide(HOT Quote) reported an 81% plunge in first-quarter earnings on Thursday, but were able to meet analysts' expectations.

The company earned $6 million, or 3 cents a share, down from $32 million, or 17 cents, in the year-ago period.

Revenue declined 24% to $1.12 billion from $1.47 billion, while worldwide revenue per available room, or RevPar, sank 23.5%.

To offset these step declines, Starwood reduced its selling, general and administrative expenses by 28.5% to $93 million during the quarter.

Starwood also forecast earnings in the range of 14 to 20 cents a share in the second quarter, but pulled its previous full-year guidance of $1.10 a share, citing "uncertainty in the global economy."

On Wednesday rival Wyndham Worldwide(WYN Quote) surprised investors with stronger-than-expected first-quarter results, which boosted shares of the hotel sector across the board.