Marriott International(US:MAR)2025-02-11 12:30Financial Performance - Full year global RevPAR increased by 4.3%, with fourth quarter worldwide RevPAR rising by 5.0%[3][21] - Fourth quarter reported diluted EPS was $1.63, while adjusted diluted EPS was $2.45[4][15] - Fourth quarter net income totaled $455 million, with adjusted net income reaching $686 million[4][15] - Total revenues for Q4 2024 were $6,429 million, a 5% increase from $6,095 million in Q4 2023[33] - Net income for Q4 2024 decreased to $455 million, down 46% from $848 million in Q4 2023[33] - Earnings per share (EPS) for Q4 2024 were $1.63, a 43% decline compared to $2.87 in Q4 2023[33] - Total revenues for the full year 2024 reached $25,100 million, representing a 6% increase from $23,713 million in 2023[35] - Net income for the full year 2024 was $2,375 million, a 23% decrease from $3,083 million in 2023[35] - Adjusted EBITDA for the fourth quarter was $1,286 million, reflecting a 7% increase compared to the previous year[17] - Adjusted operating income for Q4 2024 was $1,072 million, an 8% increase from $992 million in Q4 2023[37] - Adjusted net income for Q4 2024 was $686 million, a 35% decrease from $1,055 million in Q4 2023[37] - Adjusted EBITDA for Fiscal Year 2024 reached $4,981 million, reflecting a 7% increase compared to 2023[66] - Estimated Adjusted EBITDA for Q1 2025 is projected to be between $1,170 million and $1,195 million, representing a 2% to 5% increase over Q4 2024[68] - Estimated Adjusted EBITDA for the full year 2025 is forecasted to be between $5,295 million and $5,435 million, indicating a 6% to 9% increase over 2024[70] Shareholder Returns - The company returned over $4.4 billion to shareholders through dividends and share repurchases in 2024[4] Development and Expansion - The company achieved record gross room additions of over 123,000 in 2024, resulting in a 6.8% increase in net rooms[4][19] - At year-end 2024, Marriott's worldwide development pipeline included nearly 3,800 properties and over 577,000 rooms[4][20] - As of December 31, 2024, Marriott International operates a total of 9,361 properties with 1,706,331 rooms worldwide[41] - The company has 6,307 properties in the US & Canada, accounting for 1,062,063 rooms, while total international properties stand at 3,054 with 644,268 rooms[41] - The company continues to focus on market expansion and new strategies to enhance its global footprint[42] Revenue Streams - Base management and franchise fees for the fourth quarter totaled $1,128 million, a 10% increase year-over-year[9] - Franchise fees for Q4 2024 increased by 13% to $795 million from $705 million in Q4 2023[33] - Cost reimbursement revenue for Q4 2024 was $4,704 million, a 6% increase from $4,418 million in Q4 2023[33] - Cost reimbursement revenue for Fiscal Year 2024 was reported at $(18,482) million, with reimbursed expenses totaling $18,799 million[66] Debt and Financial Obligations - The total debt at year-end 2024 was $14.4 billion, with cash and equivalents at $0.4 billion[22] - Interest expense for Fiscal Year 2024 amounted to $695 million, with a quarterly breakdown of $163 million in Q1, $173 million in Q2, $179 million in Q3, and $180 million in Q4[66] - Provision for income taxes for Fiscal Year 2024 was $776 million, with quarterly provisions of $163 million in Q1, $268 million in Q2, $202 million in Q3, and $143 million in Q4[66] - Restructuring and merger-related charges for Fiscal Year 2024 totaled $77 million, with $8 million in Q1, $8 million in Q2, $9 million in Q3, and $52 million in Q4[66] Operational Metrics - Revenue per Available Room (RevPAR) is calculated by dividing property level room revenue by total rooms available, serving as a key performance measure[78] - Occupancy is calculated by dividing total rooms sold by total rooms available, indicating the utilization of a property's available capacity[78] - Average Daily Rate (ADR) is calculated by dividing property level room revenue by total rooms sold, useful for assessing pricing levels[78] Brand Performance - The average daily rate (ADR) for JW Marriott increased by 2.9% to $330.63, while occupancy rose by 2.7% to 69.9% compared to the previous year[47] - The REVPAR for The Ritz-Carlton reached $355.73, an increase of 8.5%, with occupancy at 64.7%[47] - Sheraton's REVPAR improved by 9.0% to $155.85, with occupancy at 64.6%[49] - The overall REVPAR for US & Canada properties increased by 4.2% to $173.93, with an occupancy rate of 66.8%[49] - JW Marriott's REVPAR increased to $232.59, up 3.9% compared to 2023, with an occupancy rate of 70.4%, a 0.7 percentage point increase[51] - The Ritz-Carlton's REVPAR reached $343.28, a 4.0% increase year-over-year, with occupancy at 66.0%, up 1.1 percentage points[51] - Sheraton's REVPAR grew by 8.0% to $160.07, with occupancy at 68.1%, an increase of 2.3 percentage points[51] - Overall, the Composite US & Canada Luxury segment saw a REVPAR of $291.59, up 2.4%, with occupancy at 68.5%, a 0.8 percentage point increase[51] International Market Performance - In the international market, Europe reported a REVPAR of $201.35, a 6.2% increase, with occupancy at 72.2%, up 0.9 percentage points[56] - The Middle East & Africa experienced an 8.7% increase in REVPAR to $164.07, with occupancy at 74.1%, a rise of 3.1 percentage points[56] - Greater China saw a decline in REVPAR to $84.87, down 1.8%, with occupancy at 69.1%, an increase of 1.4 percentage points[56] - The Asia Pacific excluding China reported a 11.6% increase in REVPAR to $134.72, with occupancy at 74.1%, up 1.9 percentage points[56] - The Caribbean & Latin America region's REVPAR increased by 9.5% to $188.08, with occupancy at 65.9%, a 0.6 percentage point increase[56] - The overall worldwide REVPAR for the three months ended December 31, 2024, was $150.30, a 5.3% increase, with occupancy at 69.5%, up 1.3 percentage points[56]