Marriott International Inc. Reports Strong Second-Quarter Results

Marriott International Inc. (NYSE: MAR) announced its second-quarter financial results today, exceeding expectations and demonstrating noteworthy performance in its international regions. The company also increased its full-year outlook, further solidifying its position in the market. Although Marriott's stock experienced a slight decline of 0.8% in premarket trading, it had reached a record high at the close of business on Monday.

In terms of profitability, net income for the second quarter rose to $726 million, or $2.38 per share, compared to $678 million, or $2.06 per share, in the same period last year. When excluding nonrecurring items, adjusted earnings per share stood at an impressive $2.26, surpassing the FactSet consensus of $2.18.

The exceptional financial performance was complemented by revenue growth of 13.8%, reaching $6.08 billion for the quarter, exceeding the FactSet consensus of $5.98 billion. Marriott experienced a substantial 13.5% increase in worldwide revenue per available room (RevPAR), with remarkable growth in international RevPAR at 39%. Additionally, RevPAR in the U.S. and Canada rose by 6%, driven by growth in group revenue, as well as both leisure and business transient revenue.

Looking ahead to 2023, Marriott has updated its guidance ranges. Adjusted earnings per share are now expected to land between $8.36 and $8.65, compared to the previous range of $7.97 to $8.42. Moreover, the company anticipates worldwide RevPAR growth of 12% to 14%, an increase from the previous forecast of 10% to 13%.

Over the past three months, Marriott's stock has exhibited strong performance, rallying by 18.6%. In contrast, the S&P 500 has advanced by 10.1% during the same period.

Marriott International Inc. continues to prove its resilience and adaptability in the face of challenging market conditions. With its impressive second-quarter results and optimistic outlook, the company demonstrates its commitment to delivering exceptional value to its shareholders and customers alike.