Marriott stock rallies after earnings beat and raised outlook, demand remains strong with signs of a slowdown

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Shares of Marriott International Inc. surged 2.3% in premarket trading Tuesday after the hotel operator reported first-quarter results that rose well above...

Shares of Marriott International Inc. MAR surged 2.3% in premarket trading Tuesday after the hotel operator reported first-quarter results that rose well above expectations and raised its full-year outlook, amid “meaningful gains” in both occupancy and average daily rates. Net income doubled to $757 million, or $2.43 a share, from $377 million, or $1.14 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of $2.09 beat the FactSet consensus of $1.85.

Net income doubled to $757 million, or $2.43 a share, from $377 million, or $1.14 a share, in the year-ago period. Excluding nonrecurring items, adjusted earnings per share of $2.09 beat the FactSet consensus of $1.85. Revenue grew 33.7% to $5.62 billion, above the FactSet consensus of $5.45 billion. Revenue per available room increased 25.6% to $119.74 to beat expectations of $117.0, as occupancy rose 8.2 percentage points to 65.9% and the average daily rate increased 10.1% to $181.61.

 

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