Proactive Investors - Marriott International (NYSE:MAR) Inc shares rose Tuesday after the hotel chain’s fourth-quarter results beat expectations on the top and bottom lines.
The Bethesda, Maryland-based company posted $5.92 billion in revenue, up from $4.45 billion in 2021 and ahead of Street expectations of $5.47 billion. Adjusted diluted earnings came in at $1.96 per share, compared to $1.30 per share a year earlier and topping analyst expectations of $1.83.
Base management and franchise fees totaled $945 million in the fourth quarter, compared to base management and franchise fees of $737 million in the year-ago quarter.
Marriott shares climbed 1.1% to $176.35 Tuesday morning.
"Our performance in 2022 was terrific,” CEO Anthony Capuano said. “Just two years after experiencing the sharpest downturn in our company's history, we reported record financial results.”
Looking forward, global booking trends have remained robust in January, the company said. Last month, global revenue per available room (RevPAR) was up 51.6% year-over-year. That said, this is due in part to Omicron’s impact in early 2022.
Marriott projected first-quarter adjusted EPS between $1.82 and $1.88 and full-year 2023 EPS between $7.23 and $7.91.
“Given short-term booking windows and a high level of macroeconomic uncertainty, there is less visibility in forecasting the company's financial performance for full year 2023,” the company said.
“The high end of the range reflects relatively steady global economic conditions throughout 2023, with continued resilience of travel demand across customer segments and markets. The low end of the range reflects a meaningful softening of the global economy beginning in the second quarter with worldwide RevPAR roughly flat compared to 2022 in the second half of the year.”