Global RevPAR rose 4.2%, with ADR increasing around 3% and occupancy reaching nearly 66%, up nearly 100 basis points year-over-year.
Group RevPAR globally rose 6%.
Leisure RevPAR up 4% year-over-year.
Business transient RevPAR had a 1% increase.
First quarter total gross fee revenues increased 7% year-over-year to $1.21 billion.
Incentive Management Fees (IMF) rose 4%, reaching $209 million in the first quarter.
First quarter adjusted EBITDA grew 4% to nearly $1.14 billion.
Future Guidance
Global RevPAR is expected to grow 4% to 5% in the second quarter and 3% to 5% for the full year.
Full-year gross fees could rise 7% to 9% to $5.2 billion to $5.3 billion.
Non-RevPAR-related fees expected to rise 9% to 10%, driven by strong credit card and residential branding fee growth.
Owned, leased, and other revenues, net of expenses, could now total $335 million to $345 million.
Full-year adjusted EBITDA is now expected to rise between 7% and 9% to roughly $5 billion to $5.1 billion.
2024 adjusted EPS is expected to be between $9.31 and $9.65.
Net rooms growth of 5.5% to 6% for the full year is anticipated.
Capital returns to shareholders could now be between $4.2 billion and $4.4 billion.
Full-year investment spending is expected to total $1 billion to $1.2 billion.
Trends, Market Conditions, Sentiment
The solid start to 2024 reflects continued resilience and steady demand for travel and strong international performance.
Despite overall industry RevPAR growth normalizing post-COVID, Marriott continues to gain market share.
Group segment is showing strong performance; worldwide group revenues were pacing up 9% year-over-year.
Leisure demand and ADR growth have remained resilient, especially globally.
Business transient segment growth is more moderate but improving.
Difficult financing environment in the U.S. and Europe, but developer interest remains strong especially in Greater China and APAC.
RevPAR growth is expected to remain higher in international markets than in the U.S. & Canada.
The signing of deals and room additions indicating robust development momentum, particularly in the APAC region.
The successful integration and outperforming expectations of the MGM Collection with Marriott Bonvoy highlight strategic growth through partnerships.
Notable Quotes
”2024 is off to a solid start, as Marriott continues to deliver great experiences to travelers around the world.” - Anthony Capuano
”The strength of our diverse global portfolio, the continued resilient and steady demand for travel, our strong international performance and our continued rooms growth.” - Leeny Oberg
”MGM Collection with Marriott Bonvoy has now launched…we’ve been extremely pleased with the initial booking pace and Marriott Bonvoy room contribution, which have both outpaced expectations.” - Anthony Capuano
”We are raising our full year 2024 earnings and capital returns guidance on the back of the strength of our diverse global portfolio.” - Leeny Oberg
