Marriott International Announces Strong First Quarter Performance
Marriott International, Inc. (MAR) recently announced its financial results for the first quarter of 2024, demonstrating positive growth across key metrics.
Revenue and Occupancy
The company reported a global increase in comparable systemwide constant dollar Revenue Per Available Room (RevPAR) of 4.2% compared to the same period in 2023. This growth was driven by both occupancy and Average Daily Rate (ADR) gains. International markets performed particularly well, with RevPAR rising by 11.1%, led by nearly 17% year-over-year growth in Asia Pacific excluding China. In the U.S. & Canada, RevPAR increased by 1.5%, with the group segment contributing significantly.
Earnings and Income
Adjusted diluted Earnings Per Share (EPS) rose to $2.13 from $2.09 in the first quarter of 2023. This growth was primarily driven by higher RevPAR and the expansion of units. Total revenue grew by 5.9% to $5.5 billion, primarily due to higher RevPAR and the addition of approximately 46,000 net rooms.
Development and Expansion
During the quarter, Marriott welcomed approximately 46,000 net rooms, including around 37,000 rooms under its agreement with MGM Resorts International. The company’s worldwide development pipeline includes over 3,400 properties and nearly 547,000 rooms, with a significant presence in international markets.
Share Repurchases and Shareholder Returns
Marriott repurchased 4.8 million shares of common stock for $1.2 billion in the first quarter. Year to date through April 26, the company has returned $1.7 billion to shareholders through dividends and share repurchases.
Outlook
Marriott expressed optimism about the rest of the year, raising its full year earnings guidance. The company expects to return between $4.2 billion and $4.4 billion to shareholders in 2024, reflecting its confidence in the continued strength of its business model and brand portfolio.
