Marriott International Inc. (NASDAQ:MAR) shares traded higher after the company reported stronger-than-expected first-quarter results and solid RevPAR growth, signaling continued resilience in travel demand.
Adjusted EPS came in at $2.72, beating analyst estimates of $2.55. Revenue increased 6% year over year to $6.65 billion, topping estimates of $6.59 billion.
Reported diluted EPS increased to $2.43 from $2.39, while adjusted net income rose to $726 million from $645 million. Adjusted EBITDA climbed 15% to $1.40 billion, and adjusted operating margin expanded to 64% from 63%.
RevPAR Growth, Fee Strength
Worldwide RevPAR increased 4.2%, exceeding the high end of Marriott’s expectations, with U.S. and Canada RevPAR up 4% and international RevPAR up 4.6%.
APEC RevPAR rose more than 7%, while Greater China RevPAR increased nearly 6%, driven by leisure demand in Hong Kong and Hainan. EMEA RevPAR grew more than 3%, as gains in Europe and Africa partly offset weakness in the Middle East tied to regional conflict.
Franchise and base management fees rose 13% to $1.21 billion, driven by higher co-branded credit …