Marriott Raises Full-Year RevPAR Forecast After Q1 Revenue Jumps 6%
MAR•Marriott’s first-quarter revenue rose 6% year-over-year to $6.65 billion, with adjusted EPS up 17% to $2.72 and global RevPAR increasing 4.2%, prompting a 0.5-point raise in its full-year RevPAR growth forecast to 2%–3%. CEO Anthony Capuano said forward bookings for the July 4 holiday look strong across North America and Europe.
1. Strong Q1 Earnings Beat
Marriott reported first-quarter revenue of $6.65 billion, a 6% increase year-over-year, and adjusted diluted EPS of $2.72, up 17%. Systemwide RevPAR climbed 4.2%, led by a 4% rise in the US and Canada and nearly 6% growth in Greater China.
2. Raised RevPAR Growth Outlook
Management raised its full-year RevPAR growth forecast by 0.5 percentage point to a range of 2%–3%, reflecting robust global group pace near 5% and potential upside from an upcoming credit card renewal, partially offset by an anticipated asset sale.
3. July 4 Weekend Booking Trends
CEO Anthony Capuano highlighted that a dip in gas prices has driven strong forward bookings for the July 4 holiday weekend, with solid demand in both North America and Europe supporting expectations for a strong summer season.
4. Middle East RevPAR Impact
RevPAR in the Middle East is expected to be down roughly 50% in the second quarter due to ongoing regional tensions, though management anticipates a steep recovery once travelers perceive the situation as settled.
