Marriott International Inc.

. The company increased its reported comparable systemwide constant dollar revenue per available room (RevPAR) by 4.2% in the first quarter of 2024, relative to the first quarter of 2023, due to its strong average daily rate (ADR) and a continued recovery in its systemwide occupancy. Marriott expects the pace of the expansion in its worldwide RevPAR will moderate to the 3%-5% range in 2024, down from 15% in 2023, as hotel demand--particularly in the U.S.--normalizes closer to the rates of GDP and real consumer spending growth. The company also anticipates it will increase its system net rooms by approximately 5.5%-6.0%, which includes the addition of 37,000 rooms under its agreement with MGM Resorts International. We expect Marriott will generate

...June 17, 2024 Marriott International Inc.'s fee-based, asset-light, high-margin business typically generates significant cash flow during normal lodging cycles. The company increased its reported comparable systemwide constant dollar revenue per available room (RevPAR) by 4.2% in the first quarter of 2024, relative to the first quarter of 2023, due to its strong average daily rate (ADR) and a continued recovery in its systemwide occupancy. Marriott expects the pace of the expansion in its worldwide RevPAR will moderate to the 3%-5% range in 2024, down from 15% in 2023, as hotel demand--particularly in the U.S.--normalizes closer to the rates of GDP and real consumer spending growth. The company also anticipates it will increase its system net rooms by approximately 5.5%-6.0%, which includes the addition of 37,000 rooms under its agreement with MGM Resorts International. We expect Marriott will generate $2.7 billion-$2.8 billion of free cash flow in 2024, which reflects its high margins,...

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