Summary
Marriott International reported a net loss of $11 million ($0.03 per diluted share) for the first quarter of 2021, a significant shift from the $31 million net income ($0.09 per diluted share) in the same period of 2020. This downturn is primarily attributed to the ongoing impact of the COVID-19 pandemic on global travel and lodging demand. Total revenues saw a substantial decrease, with net fee revenues down 29% year-over-year, reflecting lower base management and franchise fees. The company's liquidity remains a focus, with efforts to preserve financial flexibility including the suspension of share repurchases and dividends, and managing debt maturities. Despite the challenges, Marriott noted improvements in global demand compared to the lows of early 2020, with particular strength in leisure travel and recovery in China.
Financial Highlights
41 data points| Revenue | $2.32B |
| Operating Expenses | $2.23B |
| Operating Income | $84.00M |
| Interest Expense | $107.00M |
| Net Income | -$11.00M |
| EPS (Basic) | $-0.03 |
| EPS (Diluted) | $-0.03 |
| Shares Outstanding (Basic) | 326.70M |
| Shares Outstanding (Diluted) | 326.70M |
Key Highlights
- 1Net loss of $11 million in Q1 2021, compared to a net income of $31 million in Q1 2020, largely due to COVID-19 impacts.
- 2Total revenues declined significantly, with net fee revenues down 29% to $428 million, driven by lower RevPAR.
- 3Comparable systemwide RevPAR declined 46% year-over-year, but showed sequential improvement, with Greater China leading the recovery.
- 4The company issued $1.1 billion in senior notes to strengthen its liquidity position.
- 5Marriott International ended the quarter with $642 million in cash, cash equivalents, and restricted cash.
- 6Share repurchases and dividends remain suspended as the company prioritizes financial flexibility.
- 7System growth continues, with 7,662 properties and over 1.4 million rooms at the end of Q1 2021.