Investing.com -- Marriott International shares rose over 3% in premarket trading on Monday after the hotel operator raised its full-year global revenue per available room (RevPAR) forecast, citing strong U.S. demand that offset the drag from the Middle East conflict.
Marriott now expects 2026 global RevPAR growth of 4.5% to 5%, up from the 3% to 3.5% it forecast in August.
Third-quarter global RevPAR rose 6.5%, with U.S. and Canada up 7.4% and international markets up 4.4%.
Chief Executive Anthony Capuano said the conflict in the Middle East continued to affect results in that region, but trends "improved meaningfully from the second quarter."
Adjusted earnings were $3.02 per share, versus $2.47 a year earlier and the $2.74 to $2.82 Marriott forecast in August for the quarter. Net income was $794 million, up 9% from $728 million a year earlier.
Adjusted EBITDA, a measure of earnings before interest, taxes, depreciation and amortization, was $1.51 billion, up 12% from $1.35 billion a year earlier.
Franchise and base management fees rose 13% to $1.34 billion, driven primarily by higher co-branded credit card fees, higher RevPAR and rooms growth.
Owned, leased and other revenue, net of expenses, fell to $41 million from $70 million, reflecting lower owned and leased hotel results, and higher costs from a third-party agreement, partly offset by a $12 million expected insurance recovery.
Marriott repurchased 3.5 million shares for $1.3 billion in the quarter and has returned approximately $4 billion to shareholders through dividends and share repurchases year-to-date through Oct. 28. It now expects to return at least $4.80 billion in 2026, up from over $4.50 billion forecast in August.
For the fourth quarter, Marriott forecast RevPAR growth of 4.5% to 5% and adjusted earnings of $3.14 to $3.21 per share.
For 2026, it forecast adjusted earnings of $12.07 to $12.14 per share, up from $11.64 to $11.81 in August. It expects net room growth at the low end of 4.5% to 5% by year-end.
Original Article
Marriott shares rise 3% in premarket trade after raising full-year forecast
