Breaking News
Get Actionable Insights with InvestingPro+: Start 7 Day FREE Trial Register here
Investing Pro 0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

Marriott sees key revenue metric in US, Canada at pre-COVID levels for rest of year

Stock Markets May 04, 2022 12:10PM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters. People are seen outside of a Courtyard Marriott hotel in Manhattan, New York City, U.S., March 23, 2022. REUTERS/Andrew Kelly

By Kannaki Deka

(Reuters) -Hotel operator Marriott International (NASDAQ:MAR) Inc said on Wednesday it expects a key revenue metric for its United States and Canada markets to hit pre-pandemic levels for the rest of the year, as leisure and business travel pick up pace.

Marriott followed rival Hilton Worldwide Holdings (NYSE:HLT) Inc in reinstating its dividend sooner than expected, but stopped short of offering a profit forecast for the year.

Hotel operators have benefited from higher demand during the first quarter as people spent more on travel, dining out and hotel stays despite rising inflation.

The ability to reprice hotel rooms on a daily basis have also helped hotel operators cope with inflationary pressures.

Marriott forecast RevPAR, or revenue per available room, for the rest of the year to be "roughly flat" with 2019 levels in the U.S. and Canada.

The company also said it expects April RevPAR to have "fully recovered".

"Luxury pricing really led to a bigger RevPAR recovery than we expected," Bernstein analyst Richard Clarke said.

Marriott reported an adjusted profit of $1.25 per share in the first quarter, compared with estimates of 90 cents per share, according to Refinitiv data, helped in part by higher prices at its luxury properties.

The company's comparable RevPAR rose 96.5% in the reported quarter, with gains in every region except Greater China due to the fresh pandemic surge there.

"We are increasingly optimistic that global RevPAR gap compared to pre-pandemic levels will continue to narrow meaningfully in 2022," Marriott Chief Executive Anthony Capuano said.

The company also set a target of resuming share buybacks this year.

Marriott reported revenue of $4.2 billion in the quarter, compared with estimates of $4.11 billion.

The company's worldwide occupancy rose from 45% in January to 64% in March.

Marriott's shares were trading up 1.6% at $175.80.

Marriott sees key revenue metric in US, Canada at pre-COVID levels for rest of year
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email