Marriott International, Inc. (Nasdaq: MAR) has reported strong fourth quarter and full year 2023 results, showcasing significant growth and performance in its global operations.
During the fourth quarter of 2023, comparable systemwide constant dollar Revenue per Available Room (RevPAR) experienced a substantial increase of 7.2 percent worldwide, with a 3.3 percent increase in the U.S. & Canada, and an impressive 17.4 percent surge in international markets compared to the same period in 2022. This growth reflects the company’s resilience and adaptability in the face of challenging market conditions.
The reported diluted earnings per share (EPS) for the fourth quarter totaled $2.87, a notable improvement from the reported diluted EPS of $2.12 in the year-ago quarter. Moreover, the adjusted diluted EPS for the fourth quarter reached $3.57, surpassing the fourth quarter 2022 adjusted diluted EPS of $1.96. Marriott’s financial performance demonstrated strong momentum and strategic financial management during this period.
Marriott International’s reported net income for the fourth quarter totaled $848 million, compared to $673 million in the year-ago quarter. The adjusted net income for the same period reached $1,055 million, marking a significant increase from the fourth quarter 2022 adjusted net income of $622 million. The company’s robust financial performance reflects its ability to navigate market challenges and capitalize on growth opportunities.
Adjusted EBITDA for the 2023 fourth quarter totaled $1,197 million, compared to the fourth quarter 2022 adjusted EBITDA of $1,090 million. This demonstrates the company’s ability to efficiently manage its operations and drive sustainable financial growth.
Marriott International added nearly 81,300 rooms globally during 2023, including approximately 17,500 rooms associated with the City Express transaction and more than 43,000 other rooms in international markets. The net rooms grew by 4.7 percent from year-end 2022, indicating the company’s strong focus on expanding its global footprint and enhancing its market presence.
At the end of 2023, Marriott’s worldwide development pipeline totaled nearly 3,400 properties and roughly 573,000 rooms, including over 21,000 pipeline rooms approved but not yet subject to signed contracts. Additionally, more than 232,000 rooms in the pipeline were under construction as of the end of 2023, highlighting the company’s commitment to future growth and development.
For the full year 2023, Marriott repurchased 21.5 million shares of common stock for $3.9 billion, including 4.7 million shares for $965 million in the fourth quarter. The company also returned over $4.5 billion to shareholders through dividends and share repurchases in 2023, demonstrating its commitment to delivering value to its shareholders.
Anthony Capuano, President and Chief Executive Officer of Marriott International, commented on the company’s performance, stating, “Our team delivered excellent results in 2023, as demand for our industry-leading portfolio of properties and offerings around the world continued to grow. Full year global RevPAR rose 15 percent, net rooms grew 4.7 percent, and our fee-driven, asset-light business model generated record levels of cash.” He further added, “In the fourth quarter, worldwide RevPAR rose 7 percent. International RevPAR grew 17 percent, with particular strength in Asia Pacific and Europe. In the U.S. & Canada, fourth quarter RevPAR rose over 3 percent, showcasing the resilience and adaptability of our business model in diverse market conditions.”
Marriott International’s strong financial performance and strategic initiatives position the company for continued growth and success in the global hospitality industry.
