By Marriott International, a hotel operator based in Bethesda, Maryland, experienced a profitable fourth quarter with a net income of $848 million, or $2.87 per share. This is an increase from the previous year’s fourth-quarter profit of $673 million, or $2.12 per share. Adjusted earnings were reported at $3.57 per share, surpassing analysts’ expectations of $2.12 per share.
Although revenue showed a modest increase of approximately 3%, reaching $6.1 billion, it fell slightly short of the projected $6.2 billion revenue forecasted by analysts.
A crucial industry metric, global revenue per available room (RevPAR), demonstrated robust growth in the quarter, rising by 7.2%. Notably, the United States and Canada experienced a RevPAR of 3.3%.
Looking ahead to 2024, Marriott aims to achieve adjusted earnings between $9.18 and $9.52 per share. However, this falls short of analysts’ initial expectations of $9.68 per share. Furthermore, the company anticipates a more moderate RevPAR growth rate of 3% to 5% compared to the substantial 15% growth experienced in 2023.
Marriott’s Chief Executive, Tony Capuano, highlighted the ongoing upward trend in leisure travel demand in the United States and Canada during the fourth quarter. Business-travel revenue rose by 3%, while the return of significant group events contributed to a 7% boost in group revenue.
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