Marriott International Reports Second Quarter 2024 Results

Core Insights - Marriott International reported strong second quarter results for 2024, with a 4.9% increase in comparable systemwide constant dollar RevPAR globally, driven by a 7.4% increase in international markets and a 3.9% increase in the U.S. and Canada [1][9][2]. Financial Performance - Reported diluted EPS for the second quarter was $2.69, up from $2.38 in the same quarter last year, while adjusted diluted EPS increased to $2.50 from $2.26 [1][8]. - Reported net income reached $772 million, compared to $726 million in the prior year, with adjusted net income at $716 million, up from $690 million [1][8]. - Adjusted EBITDA for the quarter was $1,324 million, an increase from $1,219 million in the second quarter of 2023 [1][8]. Development and Growth - The company added approximately 15,500 net rooms during the quarter, with a total worldwide development pipeline of about 3,500 properties and over 559,000 rooms [1][9]. - The development pipeline includes over 209,000 rooms currently under construction, with 57% of these rooms located in international markets [1][9]. Shareholder Returns - Marriott repurchased 4.1 million shares for $1.0 billion in the second quarter, and has returned $2.8 billion to shareholders year-to-date through dividends and share repurchases [1][4]. - The company expects to return approximately $4.3 billion to shareholders in 2024 through share repurchases and dividends [4][10]. Revenue Breakdown - Base management and franchise fees totaled $1,148 million in the second quarter, a 9% increase from $1,057 million in the previous year, primarily due to RevPAR increases and unit growth [5][8]. - Non-RevPAR-related franchise fees were $234 million, up from $206 million, driven by a 10% increase in co-branded credit card fees [5][8]. Market Trends - International RevPAR saw a significant increase of over 7%, with Asia Pacific excluding China leading with a 13% increase [2][3]. - In the U.S. and Canada, group RevPAR rose nearly 10% year over year, with both rate and occupancy increasing in the mid-single digits [2][3].