Summary
Marriott International Inc. (MAR) reported robust financial results for the second quarter and first half of 2022, demonstrating a significant recovery from the impacts of COVID-19. Total revenues more than doubled year-over-year for both the quarter and the first half, driven by a strong rebound in lodging demand. Net income saw a substantial increase, reflecting improved operational performance across its global segments. The company also highlighted strong system growth, with a significant number of new properties added and a robust development pipeline, indicating continued expansion. While the company experienced strong revenue growth, it also noted continued investment in its future, including capital expenditures for new developments and technology. Liquidity remains strong, supported by a substantial credit facility and cash on hand. Marriott is actively returning capital to shareholders through dividends and share repurchases, signaling confidence in its ongoing recovery and future prospects. The company continues to monitor the evolving impact of COVID-19, but current trends indicate a positive trajectory.
Financial Highlights
45 data points| Revenue | $5.34B |
| Operating Expenses | $4.39B |
| Operating Income | $950.00M |
| Interest Expense | $95.00M |
| Net Income | $678.00M |
| EPS (Basic) | $2.06 |
| EPS (Diluted) | $2.06 |
| Shares Outstanding (Basic) | 328.20M |
| Shares Outstanding (Diluted) | 329.50M |
Key Highlights
- 1Net income for the three months ended June 30, 2022, was $678 million, a significant increase from $422 million in the same period of 2021.
- 2Gross fee revenues grew by 67% to $1,073 million for the three months ended June 30, 2022, compared to $642 million in the prior year, indicating strong recovery in lodging demand.
- 3Worldwide RevPAR (Revenue Per Available Room) for comparable company-operated properties increased by 70.6% for the three months ended June 30, 2022, compared to the prior year.
- 4Marriott's system grew to 8,120 properties (1,500,744 rooms) by the end of Q2 2022, with over 495,000 rooms in its development pipeline.
- 5The company resumed share repurchases in Q2 2022, purchasing 1.9 million shares for $300 million, and declared a quarterly cash dividend of $0.30 per share.
- 6Liquidity remains strong with $567 million in cash, cash equivalents, and restricted cash as of June 30, 2022, and $4.2 billion in remaining borrowing capacity under its credit facility.
- 7Despite strong recovery, the company continues to monitor the impact of COVID-19, particularly in regions like Greater China and Asia Pacific, and acknowledges ongoing labor shortage challenges in certain U.S. markets.