Marriott International, Inc. (MAR) has been following an incremental dividend policy since the early 2000s. In sync with this, it recently boosted its investors’ sentiments again with a quarterly dividend hike.The board of directors approved a quarterly dividend payout of 67 cents per share ($2.68 per share annually), which is up 6.3% from the previous dividend payout of 63 cents ($2.52 per share annually). The amount will be paid out on June 30, 2025, to shareholders of record as of May 23. Based on the cl ...

Core Points - Marriott International, Inc. declared a quarterly cash dividend of 67 cents per share, reflecting earnings growth and strong cash generation [1] - The dividend is payable on June 30, 2025, to shareholders of record as of May 23, 2025 [1] Company Overview - Marriott International is based in Bethesda, Maryland, and operates nearly 9,500 properties across more than 30 brands in 144 countries and territories [2] - The company engages in operating, franchising, and licensing various lodging properties, including hotels, residential, and timeshare [2] - Marriott offers the Marriott Bonvoy® travel platform, which is highly awarded [2]

Financial Data and Key Metrics Changes - The company reported its first quarter 2025 earnings recently, indicating ongoing positive trends in financial performance [9]. Business Line Data and Key Metrics Changes - Specific business line performance metrics were not detailed in the provided content, but the company emphasized the integration of AI to enhance operations and guest experiences, which may impact various business lines positively [12]. Market Data and Key Metrics Changes - No specific market data or key metrics changes were mentioned in the provided content. Company Strategy and Development Direction and Industry Competition - The company is focused on leveraging AI to improve operational efficiency and guest personalization while maintaining a high-touch service model [12][13]. - The board is actively overseeing technology trends, including AI, to align with strategic plans and address emerging opportunities and risks [11]. Management's Comments on Operating Environment and Future Outlook - Management highlighted the importance of geopolitical and economic stability for business operations, emphasizing a commitment to working with government leaders for positive outcomes [14]. - The company is dedicated to combating human trafficking and has implemented extensive training programs for associates, showcasing a commitment to social responsibility [15][16]. Other Important Information - The company has not transitioned to a cashless model across its portfolio, continuing to accept various payment methods [18]. Q&A Session Summary Question: What are the board's plans for profits downstream of AI? - The board is focused on overseeing technology trends, including AI, and is optimistic about its potential to enhance business operations [11]. Question: Is democracy good for business? - Management stated that geopolitical and economic stability is beneficial for economies and the company's operations [14]. Question: What practical steps is Marriott taking to combat human trafficking? - The company has trained over 1,500,000 associates to recognize signs of human trafficking and has implemented policies for responsible sourcing [15][16]. Question: Why did Marriott go cashless? - The company clarified that it has not gone cashless and continues to accept various payment methods [18]. No further questions were submitted [19].

Marriott International, Inc. (NASDAQ: MAR ) proves it can still deliver a decent performance amid macroeconomic uncertainties and shifting travel perceptions. Its well-diversified business portfolio and improved metrics remain its core strength. However, it must beware of its high financial leverage and theI have been working in the logistics sector for almost two decades. I have been into stock investing and macroeconomic analysis for almost a decade. Currently, I focus on ASEAN and NYSE/NASDAQ Stocks, par ...

Group 1 - Marriott International, Inc. reported mixed Q1 '25 results, with lowered guidance indicating potential future declines in growth numbers [1] - The expectation is that the worst financial performance is yet to come for the company [1] Group 2 - The analysis suggests a long-term investment horizon of 5-10 years, focusing on a balanced portfolio of growth, value, and dividend-paying stocks [1]

Revenue Performance - In Q1 2025, worldwide RevPAR increased by 4.1%, driven by ADR growth of 2.9% and occupancy improvement of 0.7 percentage points compared to Q1 2024[51]. - In the U.S. & Canada, RevPAR rose by 3.3% in Q1 2025, primarily due to strong demand from group customers[52]. - Internationally, RevPAR grew by 5.9% in Q1 2025, with APEC showing the highest growth at 10.9%[53]. - In Greater China, RevPAR decreased by 1.6% in Q1 2025, primarily due to a 2.7% decline in ADR amid lower domestic demand[53]. Property and Development - The total number of properties increased to 9,463 with 1,718,542 rooms by the end of Q1 2025, reflecting a net addition of approximately 12,200 rooms[56]. - The development pipeline includes approximately 3,800 properties and over 587,000 rooms, with 42% under construction or conversion[58]. - The company expects full-year 2025 net rooms growth to approach 5%, including the citizenM brand acquisition[58]. Revenue Breakdown - Fee revenues for Q1 2025 totaled $1,275 million, a 5% increase from $1,210 million in Q1 2024, with base management fees rising by 4%[64]. - Franchise fees increased by 8% to $746 million in Q1 2025, attributed to higher RevPAR and unit growth[65]. - Owned, leased, and other revenue reached $361 million in Q1 2025, a 1% increase from $357 million in Q1 2024[66]. - Cost reimbursement revenue increased by $222 million, or 5%, from $4,433 million in Q1 2024 to $4,655 million in Q1 2025[67]. - Segment net fee revenues in the U.S. & Canada rose by $24 million, or 4%, from $665 million in Q1 2024 to $689 million in Q1 2025[74]. Financial Position - Total cash, cash equivalents, and restricted cash increased by $121 million to $546 million at March 31, 2025, primarily due to long-term debt issuances[80]. - Capital and technology expenditures for Q1 2025 were $135 million, up from $109 million in Q1 2024, with full-year expectations between $1,355 million and $1,455 million[82]. - Share repurchases totaled 2.8 million shares for $0.8 billion in Q1 2025, with a year-to-date total of 3.9 million shares for $1.0 billion[84]. - Provision for income taxes decreased by $64 million, or 39%, from $163 million in Q1 2024 to $99 million in Q1 2025[72]. - Interest expense increased by $29 million, or 18%, from $163 million in Q1 2024 to $192 million in Q1 2025, primarily due to higher debt balances[71]. - Segment profit in the U.S. & Canada grew by $19 million, or 3%, from $625 million in Q1 2024 to $644 million in Q1 2025[74]. - The ratio of current assets to current liabilities was 0.5 to 1.0 at the end of Q1 2025, indicating significant borrowing capacity under the Credit Facility[81]. - The company expects to continue returning cash to stockholders through share repurchases and cash dividends[85].

Core Insights - Marriott International, Inc. reported first-quarter 2025 results with adjusted earnings exceeding estimates while revenues fell short, indicating a mixed performance despite year-over-year growth [1][3]. Financial Performance - Adjusted earnings per share (EPS) for Q1 2025 were $2.32, surpassing the Zacks Consensus Estimate of $2.27, and up from $2.13 in the prior-year quarter [3]. - Quarterly revenues reached $6,263 million, slightly below the consensus mark of $6,275 million, but represented a 5% increase year-over-year [3]. - Base management and franchise fees were $325 million and $746 million, respectively, reflecting year-over-year increases of 4% and 8% [4]. - Incentive management fees decreased by 2% to $204 million compared to $209 million in the prior-year quarter [4]. Operational Metrics - RevPAR for worldwide comparable system-wide properties increased by 5.2% year-over-year, supported by a 3.4% rise in average daily rate (ADR) and a 1.2% increase in occupancy [5]. - Comparable system-wide RevPAR in the Asia Pacific (excluding China) rose by 10.6% year-over-year, while Greater China experienced a decline of 2.1% [5][6]. - Total expenses decreased by 4% year-over-year to $5.31 billion, attributed to a decline in reimbursed expenses [6]. Development and Growth - The company achieved a record of over 34,000 room signings in Q1 2025, with nearly two-thirds in international markets, and conversions accounted for about one-third of new signings and openings [2]. - As of the end of Q1, Marriott's development pipeline included 3,808 hotels, with 1,447 properties and over 244,000 rooms under construction [9]. Future Outlook - For Q2 2025, management anticipates gross fee revenues between $1.38 billion and $1.39 billion, with adjusted EBITDA expected to range from $1.37 billion to $1.39 billion [10]. - The company projects worldwide system-wide RevPAR growth of 1.5-3.5% year-over-year for 2025, a revision from the previous estimate of 2-4% [10]. - For the full year 2025, gross fee revenues are expected to be between $5.37 billion and $5.48 billion, with adjusted EBITDA projected between $5.3 billion and $5.4 billion [11].

Core Insights - Marriott International reported $6.26 billion in revenue for Q1 2025, a year-over-year increase of 4.8% [1] - The EPS for the same period was $2.32, compared to $2.13 a year ago, with a surprise of +2.20% against the consensus estimate of $2.27 [1] Financial Performance Metrics - Revenue from owned/leased rooms was 14,312, slightly above the average estimate of 14,214 [4] - Managed rooms totaled 567,896, below the estimated 587,915 [4] - Franchised rooms reached 1,120,634, exceeding the estimate of 1,102,261 [4] - REVPAR growth rate was 4.1%, surpassing the average estimate of 2.7% [4] - Gross fee revenues were $1.28 billion, above the estimate of $1.25 billion, reflecting a +5.4% change year-over-year [4] - Net fee revenues were $1.25 billion, compared to the average estimate of $1.23 billion, marking a +5.1% year-over-year change [4] - Franchise fees amounted to $746 million, exceeding the estimate of $727.37 million, with an +8.4% year-over-year change [4] - Base management fees were $325 million, slightly above the average estimate of $319.23 million, representing a +3.8% change year-over-year [4] Stock Performance - Marriott shares returned +15.9% over the past month, outperforming the Zacks S&P 500 composite's +11.5% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market [3]

Marriott International (MAR) came out with quarterly earnings of $2.32 per share, beating the Zacks Consensus Estimate of $2.27 per share. This compares to earnings of $2.13 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 2.20%. A quarter ago, it was expected that this hotel company would post earnings of $2.38 per share when it actually produced earnings of $2.45, delivering a surprise of 2.94%.Over the last four quarters, th ...

Financial Data and Key Metrics Changes - The company reported a global RevPAR increase of 4.1% year-over-year, exceeding the guidance range of 3% to 4% [6][19] - Average Daily Rate (ADR) increased by 3%, while occupancy rose by 1% [6] - Total gross fee revenues increased by 5% year-over-year to $1.28 billion [19] - Adjusted EBITDA totaled $1.22 billion, reflecting a 7% increase [20] Business Line Data and Key Metrics Changes - Group RevPAR rose by 8% globally, while business transient and leisure transient each grew by 2% globally [9] - The U.S. and Canada region saw a RevPAR increase of 2% year-over-year, impacted by a decline in government-related demand [18][19] - International RevPAR increased nearly 6%, with APAC leading at an 11% growth [7][9] Market Data and Key Metrics Changes - RevPAR in Greater China declined by 2% due to a weaker macro environment, although it was better than expected [9] - EMEA region experienced a 6% increase in RevPAR, driven by strong transient demand [9] - The U.S. government segment contributed to a 10% year-over-year decline in RevPAR for the U.S. and Canada region [18] Company Strategy and Development Direction - The company is lowering its full-year RevPAR growth guidance by 50 basis points due to a cautious outlook in the U.S. and Canada [11] - Development activity remains strong, with a record 35% increase in signings year-over-year, totaling over 587,000 rooms in the pipeline [12][13] - The company is focused on enhancing efficiency and productivity, which is expected to yield cost savings for owners and franchisees [20][29] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience despite macroeconomic uncertainties, noting solid demand across group and transient guests [6][10] - The outlook for the second quarter anticipates a global RevPAR increase of 1.5% to 2.5%, with full-year growth expected to be 1.5% to 3.5% [22][23] - Management highlighted the importance of the Marriott Bonvoy loyalty program, which had nearly 237 million members, contributing to strong customer engagement [14] Other Important Information - The company is undergoing a multi-year digital and technology transformation to enhance operational efficiency and customer experience [15] - The CitizenM transaction is expected to close in the latter half of the year, contributing to net rooms growth [20][29] Q&A Session Summary Question: Can you elaborate on the weaker select service performance? - Management noted that March saw softness in the U.S. and Canada, but preliminary April results showed improvement, excluding the impact of Easter [34][36] Question: What is the owner's commitment to the CitizenM brand? - Management indicated strong enthusiasm from owners regarding the CitizenM partnership, leveraging Marriott's extensive developer network for growth [40] Question: How are conversations with developers in the U.S. regarding full-service hotels? - Management reported that signings were up significantly, indicating long-term confidence among owners despite short-term uncertainties [44][46] Question: What is the outlook for inbound international travel to the U.S.? - Management highlighted a positive trend in international room nights, with a mix higher than the previous year, despite a decline from Canada [76][78] Question: How is the group booking pace trending into 2026? - Management reported a 7% increase in forward bookings for 2026, indicating strong demand [84] Question: What are the expectations for conversions in the current economic environment? - Management expressed optimism about conversion volumes remaining steady, supported by low new supply growth and strong demand for conversions [104][108]