Marriott International Posts Mixed Q2 Results, Expects Material Impact Due To COVID-19

  • Marriott International Inc MAR reported second-quarter FY21 sales growth of 115.1% year-on-year, to $3.149 billion, missing the analyst consensus of $3.16 billion.
  • Comparable systemwide constant dollar revenue per available room (RevPAR) increased 262.6% Y/Y worldwide, 274.6% in the U.S. & Canada, and 223.2% in international markets.
  • Meanwhile, comparable systemwide constant dollar RevPAR declined 43.8% worldwide, 39.5% in the U.S. & Canada, and 55.6% in international markets compared to Q2 of 2019.
  • The operating margin was 15.4%, with $486 million in operating income for the quarter.
  • Total operating costs and expenses increased 64.6% Y/Y to $2.7 billion.
  • Marriott's net debt was $9.5 billion at quarter-end, representing the total debt of $10.2 billion less cash and cash equivalents of $0.7 billion.
  • Marriott added about 25,000 rooms globally during the second quarter.
  • Adjusted EBITDA gained 814.8% Y/Y to $558 million.
  • Adjusted EPS of $0.79 beat the analyst consensus of $0.45.
  • "The rate of global lodging recovery accelerated during the second quarter and momentum has continued into July. We are particularly pleased with the resilience of RevPAR in markets where consumers feel safe traveling," said CEO Anthony Capuano.
  • Marriott expects that COVID-19 will continue to be material to the company's results.
  • Price action: MAR shares are trading lower by 0.60% at $144.00 in premarket on the last check Tuesday.

Posted In: BriefsConsumer DiscretionaryHotels, Resorts & Cruise LinesEarningsNews

Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.

All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.

Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.

Rate collection and criteria: Click here for more information on rate collection and criteria.