Demand for hotels boosts Marriott profit

Demand for hotels boosts Marriott profit
By admin

A recovering economy and demand for hotel rooms has helped lift Marriott International Inc's first-quarter net income 26%.

More people stayed in the company's hotels and paid 3.2% more per night.

The company earned $US172 million ($A186.10 million), or 57 US cents per share, beating the 51 US cents expected by Wall Street analysts surveyed by FactSet. That's up from $US136 million, or 43 US cents per share, in the same period last year.

Revenue rose five per cent to $US3.3 billion, in line with Wall Street's expectations.

Those increases come even after Marriott adjusted its reporting period to have three fewer days in the quarter this year.

The company's revenue per available room – a key industry metric known as RevPAR – rose 6.2% in the first quarter, showing both an increase in occupancy rates and how much the hotels can charge for those rooms.

And nearly 6,000 rooms were added during the first quarter, including 3,300 rooms in international markets.

"While hotel industry supply in North America is growing only modestly, particularly in the full-service segment, we are taking a greater share of new hotels being developed around the world, reflecting owners' and franchisees' confidence in our brands and operational strength," chief executive Arne Sorenson said in a statement.

Marriott doesn't own most of the hotels in its system but makes money off either managing or franchising its 18 brands, which include Ritz-Carlton, Fairfield Inn & Suites, Courtyard, SpringHill Suites and Renaissance.

Shares rose 43 US cents to $US57.05 in aftermarket trading. The stock had closed up 1.2% to $US56.62 on Tuesday.

Latest News

  • Hotels

The Gainsborough Bath Spa 2025 line-up in celebration of Jane Austen’s 250th anniversary

To celebrate the 250th anniversary of Jane Austen’s birth, The Gainsborough Bath Spa will host a series of exclusive events in partnership with Strictly Jane Austen. Combining classic architecture and historical elegance, The Gainsborough Bath Spa is the perfect setting for this celebration of Jane Austen. Located just moments away from key sites in Austen’s […]

  • Aviation

Qatar Airways is the official airline partner of Premier Padel

Premier Padel is pleased to announce a multi-year partnership with Qatar Airways as it becomes the new “Title Sponsor”, “Tour Finals Sponsor”, and “Official Airline Partner”. As part of this significant partnership, the official tour will be renamed the “Qatar Airways Premier Padel Tour”. In addition, the tour final taking place in Barcelona on December […]

  • Destinations

Malolo Island Resort Fiji launches its own resort app

Guests at the Malolo Island Resort can now get a better experience even before they arrive with the resort’s newly launched mobile app. Guests are encouraged to download and use the app ahead of their stay to build their itinerary. They can check-in prior to their arrival and make dinner and spa reservations all from […]

  • Tour Operators

France on foot holiday savings

Walking up a steep incline may be painful, but it is all worth it when you see that incredible view.

  • Cruise

Seabourn introduces enhanced groups programs for travel advisors

Leading ultra-luxury cruising and expedition travel company, Seabourne, proudly announces the “Seabourn Enhanced Groups Program” to elevate business prospects for travel advisors. This program introduces a revamped Tour Conductor Credit that offers shipboard credits or bonus commission for bookings. It also eliminates the need for deposits for small group allotments and increases group capacity. “Seabourn […]

  • Cruise

Ponant’s latest luxury cruise expeditions for 2024 and 2025

Head out to see the beauty of unique destinations on three bucket-list explorations of Australia with Ponant Cruise’s new luxury expeditions. Known for their luxury cruises, Ponant offers unique and truly exceptional sea voyage aboard sleek and intimately sized cruise yachts. They offer a range of discovery expeditions, and launched new cruises that take guests […]

  • Aviation
  • News

Christine O’Reilly to replace Peter Hay as chair of Australia Pacific Airports Corporation

Christine O’Reilly has been named as the new chair of Australia Pacific Airports Corporation (APAC) – the owner of Melbourne and Launceston Airports. According to a release, O’Reilly will replace Peter Hay on 1 October, who retires after five years as Chair of APAC. APAC CEO Lorie Argus said O’Reilly’s appointment comes at an exciting […]

  • Tourism

The number one thing you can’t forget if you’re going to Europe & The Olympics

As the Summer Olympics in Paris draws near, travel insurance comparison site Compare the Market is urging travellers to safeguard their European summer sports dreams by getting travel insurance for when the unexpected happens. While France seems like a decently safe country to visit, it’s crucial not to overlook the potential risks that could disrupt a holiday. From bed […]