Marriott International Reports Second Quarter 2025 Results
Marriott International (NASDAQ:MAR) reported solid Q2 2025 results with worldwide RevPAR growing 1.5%, driven by a 5.3% increase in international markets. The company posted reported net income of $763 million and adjusted EBITDA of $1,415 million. Key financial metrics include adjusted diluted EPS of $2.65 and base management and franchise fees of $1,200 million, up 5% year-over-year.
The company demonstrated strong growth with 17,300 net rooms added during the quarter, achieving a 4.7% net rooms growth year-over-year. Marriott's development pipeline reached a new record of approximately 3,900 properties and over 590,000 rooms. The company returned significant value to shareholders, repurchasing 2.8 million shares for $0.7 billion in Q2, with year-to-date returns to shareholders totaling $2.1 billion through dividends and share repurchases.
Notable strategic moves include launching Series by Marriott鈩�, a new regional collection brand, and completing the acquisition of citizenM. The company's Marriott Bonvoy membership reached nearly 248 million members.
Marriott International (NASDAQ:MAR) ha riportato solidi risultati nel secondo trimestre 2025 con un RevPAR mondiale in crescita dell'1,5%, trainato da un aumento del 5,3% nei mercati internazionali. La societ脿 ha registrato un utile netto segnalato di 763 milioni di dollari e un EBITDA rettificato di 1.415 milioni di dollari. I principali indicatori finanziari includono un EPS diluito rettificato di 2,65 dollari e commissioni base di gestione e franchising pari a 1.200 milioni di dollari, in aumento del 5% su base annua.
L'azienda ha mostrato una forte crescita con l'aggiunta di 17.300 camere nette nel trimestre, raggiungendo una crescita netta delle camere del 4,7% rispetto all'anno precedente. Il portafoglio di sviluppo di Marriott ha raggiunto un nuovo record con circa 3.900 propriet脿 e oltre 590.000 camere. La societ脿 ha restituito un valore significativo agli azionisti, riacquistando 2,8 milioni di azioni per 0,7 miliardi di dollari nel secondo trimestre, con un ritorno totale agli azionisti da inizio anno di 2,1 miliardi di dollari tra dividendi e riacquisti di azioni.
Tra le mosse strategiche pi霉 importanti si segnalano il lancio di Series by Marriott鈩�, un nuovo marchio regionale, e il completamento dell'acquisizione di citizenM. Il programma fedelt脿 Marriott Bonvoy ha raggiunto quasi 248 milioni di iscritti.
Marriott International (NASDAQ:MAR) report贸 s贸lidos resultados en el segundo trimestre de 2025 con un RevPAR mundial creciendo un 1,5%, impulsado por un aumento del 5,3% en los mercados internacionales. La compa帽铆a registr贸 un ingreso neto reportado de 763 millones de d贸lares y un EBITDA ajustado de 1.415 millones de d贸lares. Los indicadores financieros clave incluyen un EPS diluido ajustado de 2,65 d贸lares y tarifas base de gesti贸n y franquicia de 1.200 millones de d贸lares, un 5% m谩s que el a帽o anterior.
La empresa mostr贸 un fuerte crecimiento con la adici贸n de 17,300 habitaciones netas durante el trimestre, logrando un crecimiento neto de habitaciones del 4,7% interanual. La cartera de desarrollo de Marriott alcanz贸 un nuevo r茅cord con aproximadamente 3,900 propiedades y m谩s de 590,000 habitaciones. La compa帽铆a devolvi贸 un valor significativo a los accionistas, recomprando 2.8 millones de acciones por 0.7 mil millones de d贸lares en el segundo trimestre, con retornos acumulados para los accionistas en el a帽o de 2.1 mil millones de d贸lares a trav茅s de dividendos y recompras de acciones.
Entre las acciones estrat茅gicas destacadas se encuentra el lanzamiento de Series by Marriott鈩�, una nueva marca regional, y la finalizaci贸n de la adquisici贸n de citizenM. La membres铆a de Marriott Bonvoy alcanz贸 casi 248 millones de miembros.
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須岇偓電� 攵勱赴 霃欖晥 靾� 臧濎嫟 17,300臧� 於旉皜頃橂┌ 鞝勲厔 雽�牍� 靾� 臧濎嫟 靹膘灔毳� 4.7%鞚� 雼劚頃橂姅 霌� 臧曤牓頃� 靹膘灔鞚� 氤挫榾鞀惦媹雼�. 氅旊Μ鞏错姼鞚� 臧滊皽 韺岇澊頂勲澕鞚胳潃 鞎� 3,900臧� 順疙厰瓿� 59毵� 臧� 鞚挫儊鞚� 臧濎嫟搿� 靸堧鞖� 旮半鞚� 靹胳洜鞀惦媹雼�. 須岇偓電� 2攵勱赴鞐� 280毵� 欤茧ゼ 7鞏� 雼煬鞐� 鞛Г鞛�頃橂┌ 欤检＜鞐愱矊 靸侂嫻頃� 臧�旃橂ゼ 頇橃洂頄堨溂氅�, 氚半嫻旮堦臣 欤检嫕 鞛Г鞛呾潉 韱淀暣 鞐办磮攵�韯� 順勳灛旯岇 齑� 21鞏� 雼煬毳� 欤检＜鞐愱矊 氚橅櫂頄堨姷雼堧嫟.
欤检殧 鞝勲灥鞝� 鞗�歆侅瀯鞙茧電� 靸堧鞖� 歆�鞐� 敫岆灉霌滌澑 Series by Marriott鈩� 於涤嫓鞕赌 citizenM 鞚胳垬 鞕勲臧� 鞛堨姷雼堧嫟. 氅旊Μ鞏错姼 氤鸽炒鞚� 須岇洂 靾橂姅 瓯办潣 2鞏� 4,800毵� 氇�鞐� 雼暕雼堧嫟.
Marriott International (NASDAQ:MAR) a annonc茅 de solides r茅sultats pour le deuxi猫me trimestre 2025 avec une croissance mondiale du RevPAR de 1,5%, port茅e par une hausse de 5,3% sur les march茅s internationaux. La soci茅t茅 a affich茅 un r茅sultat net d茅clar茅 de 763 millions de dollars et un EBITDA ajust茅 de 1 415 millions de dollars. Les principaux indicateurs financiers comprennent un BPA dilu茅 ajust茅 de 2,65 dollars ainsi que des frais de gestion et de franchise de base de 1 200 millions de dollars, en hausse de 5% sur un an.
L'entreprise a d茅montr茅 une forte croissance avec 17 300 chambres nettes ajout茅es au cours du trimestre, r茅alisant une croissance nette des chambres de 4,7% en glissement annuel. Le portefeuille de d茅veloppement de Marriott a atteint un nouveau record avec environ 3 900 茅tablissements et plus de 590 000 chambres. La soci茅t茅 a rendu une valeur significative aux actionnaires, rachetant 2,8 millions d'actions pour 0,7 milliard de dollars au deuxi猫me trimestre, avec un retour total aux actionnaires depuis le d茅but de l'ann茅e de 2,1 milliards de dollars via dividendes et rachats d'actions.
Parmi les mouvements strat茅giques notables figurent le lancement de Series by Marriott鈩�, une nouvelle marque r茅gionale, et l'ach猫vement de l'acquisition de citizenM. Le programme de fid茅lit茅 Marriott Bonvoy a atteint pr猫s de 248 millions de membres.
Marriott International (NASDAQ:MAR) meldete solide Ergebnisse f眉r das zweite Quartal 2025 mit einem weltweiten RevPAR-Wachstum von 1,5%, angetrieben durch einen Anstieg von 5,3% in den internationalen M盲rkten. Das Unternehmen erzielte einen berichteten Nettogewinn von 763 Millionen US-Dollar und ein bereinigtes EBITDA von 1.415 Millionen US-Dollar. Wichtige Finanzkennzahlen sind ein bereinigtes verw盲ssertes Ergebnis je Aktie (EPS) von 2,65 US-Dollar sowie Basis-Management- und Franchisegeb眉hren von 1.200 Millionen US-Dollar, was einem Anstieg von 5% gegen眉ber dem Vorjahr entspricht.
Das Unternehmen verzeichnete ein starkes Wachstum mit 17.300 netto hinzugef眉gten Zimmern im Quartal und erreichte ein netto Zimmerwachstum von 4,7% im Jahresvergleich. Die Entwicklungspipeline von Marriott erreichte mit etwa 3.900 Immobilien und 眉ber 590.000 Zimmern einen neuen Rekord. Das Unternehmen sch眉ttete einen erheblichen Wert an die Aktion盲re aus, indem es im zweiten Quartal 2,8 Millionen Aktien im Wert von 0,7 Milliarden US-Dollar zur眉ckkaufte. Die Gesamtr眉ckfl眉sse an die Aktion盲re beliefen sich seit Jahresbeginn auf 2,1 Milliarden US-Dollar durch Dividenden und Aktienr眉ckk盲ufe.
Zu den bemerkenswerten strategischen Schritten z盲hlen die Einf眉hrung von Series by Marriott鈩�, einer neuen regionalen Markenlinie, sowie der Abschluss der 脺bernahme von citizenM. Die Marriott Bonvoy-Mitgliedschaft erreichte fast 248 Millionen Mitglieder.
- None.
- U.S. & Canada RevPAR remained flat with declining select service demand
- Net income decreased 1% to $763 million compared to Q2 2024
- Interest expense increased due to higher debt balances
- Total debt increased to $15.7 billion from $14.4 billion at year-end 2024
Insights
Marriott delivered solid Q2 results with resilient international performance offsetting U.S. weakness, maintaining strong development momentum despite economic uncertainty.
Marriott's Q2 results demonstrate the resilience of its asset-light business model in a challenging environment. The company reported
Global RevPAR grew just
The company's development pipeline remains robust, reaching a new record of approximately 3,900 properties with over 590,000 rooms. Net room additions of 17,300 in the quarter contributed to
Conversions represented about
Balance sheet management remains disciplined with
For Q3 2025, management projects flat to
- Second quarter 2025 RevPAR1 increased 1.5 percent worldwide, with 5.3 percent growth in international markets and
U.S. & Canada RevPAR in line with the year-ago quarter - Second quarter reported diluted EPS totaled
$2.78 $2.65 - Second quarter reported net income totaled
$763 million $728 million - Second quarter adjusted EBITDA totaled
$1,415 million - The company added roughly 17,300 net rooms during the quarter and net rooms grew
4.7% from the end of the second quarter of 2024 - At the end of the quarter, Marriott's worldwide development pipeline reached a new record and totaled approximately 3,900 properties and over 590,000 rooms
- The company repurchased 2.8 million shares of common stock for
$0.7 billion $2.1 billion
For a summary of quarterly highlights, please visit: .
Anthony Capuano, President and Chief Executive Officer, said, "Marriott delivered another solid quarter, highlighted by strong financial results and robust net rooms growth despite heightened macro-economic uncertainty. Global RevPAR increased 1.5 percent in the second quarter primarily driven by the leisure segment. International RevPAR rose over 5 percent, with strong growth in APEC and EMEA. In the
"Development activity remained robust. We signed nearly 32,000 rooms, over 70 percent of which were in international markets, and our quarter-end pipeline stood at a record of more than 590,000 rooms. Conversions continued to be a key driver of growth, representing approximately 30 percent of our room signings and openings in the first half of this year. We still expect full year net rooms growth to approach 5 percent this year.
"With our strategy to be everywhere our guests want us to be, we expanded our industry leading global brand portfolio with the launch of Series by Marriott鈩�, a new regional collection brand targeting the midscale and upscale segments. We are excited about our founding deal to affiliate the Fern portfolio of brands in
"We continue to enhance our powerful Marriott Bonvoy travel platform. Membership reached nearly 248 million members at the end of June, and we are deepening engagement through unique experiences and strategic collaborations.听
"Our results in the second quarter underscore the resiliency of our cash-generating, asset-light business model and the strength of our brands. Year to date through July 30, we have returned approximately
Second Quarter 2025 Results
Base management and franchise fees totaled
Incentive management fees totaled
Owned, leased, and other revenue, net of direct expenses, totaled
General, administrative, and other expenses for the 2025 second quarter totaled
Interest expense, net, totaled
In the 2025 second quarter, the provision for income taxes totaled
Marriott's reported operating income totaled
Adjusted operating income in the 2025 second quarter totaled
Adjusted results excluded cost reimbursement revenue, reimbursed expenses, restructuring and merger-related charges, and, for the 2025 second quarter, income tax special items. See the press release schedules for the calculation of adjusted results and the manner in which the adjusted measures are determined in this press release.
Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) totaled
Selected Performance Information
The company added roughly 17,300 net rooms during the quarter, including more than 8,500 net rooms in international markets. At the end of the quarter, Marriott's global system totaled over 9,600 properties, with approximately 1,736,000 rooms.
At the end of the quarter, the company's worldwide development pipeline totaled 3,858 properties with more than 590,000 rooms, including 234 properties with over 37,000 rooms approved for development, but not yet subject to signed contracts. The quarter-end pipeline included 1,447 properties with over 238,000 rooms under construction, including hotels that are in the process of converting to our system. Over half of the rooms in the quarter-end pipeline are in international markets. The quarter-end pipeline does not reflect any rooms from our acquisition of the citizenM brand or from the launch of Series by Marriott.
In the 2025 second quarter, worldwide RevPAR increased 1.5 percent (a 1.7 percent increase using actual dollars) compared to the 2024 second quarter. RevPAR in the
Balance Sheet & Common Stock
At the end of the quarter, Marriott's total debt was
The company repurchased 2.8 million shares of common stock in the 2025 second quarter for
Company Outlook
The Company's updated outlook generally assumes the continuation of the current macro-economic environment.
Third Quarter 2025 vs. Third Quarter 2024 | Full Year 2025 vs. Full Year 2024 | |
Comparable systemwide constant $ RevPAR growth | ||
Worldwide | flat to | |
鈥� | ||
Year-End 2025 vs. Year-End 2024 | ||
Net rooms growth | Approaching | |
鈥� | ||
($ in millions, except EPS) | Third Quarter 2025 | Full Year 2025 |
Gross fee revenues | ||
Owned, leased, and other revenue, net of direct expenses | ||
General, administrative, and other expenses | ||
Adjusted EBITDA1,2 | ||
Adjusted EPS 鈥� diluted2,3 | ||
Investment spending (including | ||
Capital return to shareholders5 | Approx. | |
鈥� |
1See the press release schedules听for the adjusted EBITDA calculations. |
2Adjusted EBITDA and听Adjusted EPS 鈥� diluted for third quarter and full year 2025 do not include cost reimbursement revenue, reimbursed expenses, restructuring and merger-related charges, income tax special items, or any potential asset sales or property or brand acquisitions that may occur during the year (other than our acquisition of the citizenM brand in the 2025 third quarter), each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant. Adjusted EPS 鈥� diluted for full year 2025 excludes the benefit of income tax special items of |
3Assumes the level of capital return to shareholders noted above. |
4This outlook includes |
5Assumes the level and types of investment spending noted above and that no asset sales, property acquisitions or additional brand acquisitions occur during the year. |
Marriott International, Inc. (Nasdaq: MAR) will conduct its quarterly earnings review for the investment community and news media on Tuesday, August听5, 2025, at 8:30 a.m. Eastern Time (ET). The conference call will be webcast simultaneously via Marriott's investor relations website at (click on "Events & Presentations" and click on the quarterly conference call link). A replay will be available at that same website until August听5, 2026.
The telephone dial-in number for the conference call is US Toll Free: 800-274-8461, or Global:听 +1 203-518-9814. The conference ID is MAR2Q25.听 A telephone replay of the conference call will be available from 1:00 p.m. ET, Tuesday, August听5, 2025, until 8:00 p.m. ET, Tuesday, August听12, 2025.听 To access the replay, call US Toll Free: 800-723-0389 or Global: +1 402-220-2647 using conference ID MAR2Q25.
Note on forward-looking statements:听 All statements in this press release and the accompanying schedules are made as of August听5, 2025. We undertake no obligation to publicly update or revise these statements, whether as a result of new information, future events or otherwise. This press release and the accompanying schedules contain "forward-looking statements" within the meaning of federal securities laws, including statements related to our RevPAR, rooms growth and other financial metric estimates, outlook and assumptions; cash generation and shareholder returns; our growth prospects; our development pipeline; our Marriott Bonvoy travel platform; and similar statements concerning anticipated future events and expectations that are not historical facts. We caution you that these statements are not guarantees of future performance and are subject to numerous evolving risks and uncertainties that we may not be able to accurately predict or assess, including uncertainty resulting from economic, political or other global, national, and regional conditions and events, including related to tariffs, trade, travel and other policies; and the risk factors that we describe in our
ABOUT MARRIOTT INTERNATIONAL
Marriott International, Inc.听(狈补蝉诲补辩: MAR) is based in
Marriott encourages investors, the media, and others interested in the company to review and subscribe to the information Marriott posts on its investor relations website at or Marriott's news center website at , which may be material. The contents of these websites are not incorporated by reference into this press release or any report or document Marriott files with the
1All occupancy, Average Daily Rate (ADR) and Revenue Per Available Room (RevPAR) statistics and estimates are systemwide constant dollar. Unless otherwise stated, all changes refer to year-over-year changes for the comparable period. Occupancy, ADR and RevPAR comparisons between 2025 and 2024 reflect properties that are comparable in both years.听 | |||
IRPR#1
Tables follow
MARRIOTT INTERNATIONAL, INC. | |
PRESS RELEASE SCHEDULES | |
TABLE OF CONTENTS | |
QUARTER 2, 2025 | |
鈥� | |
Consolidated Statements of Income - As Reported | A-2 |
Non-GAAP Financial Measures | A-4 |
Total Lodging Products by Ownership Type | A-5 |
Total Lodging Products by Tier | A-7 |
Key Lodging Statistics | A-10 |
Adjusted EBITDA | A-14 |
Adjusted EBITDA Forecast - Third Quarter 2025 | A-15 |
Adjusted EBITDA Forecast - Full Year 2025 | A-16 |
Explanation of Non-GAAP Financial and Performance Measures | A-17 |
听
MARRIOTT INTERNATIONAL, INC. | ||||||
CONSOLIDATED STATEMENTS OF INCOME - AS REPORTED | ||||||
SECOND QUARTER 2025 AND 2024 | ||||||
($ in millions except per share amounts, unaudited) | ||||||
鈥� | ||||||
As Reported | As Reported | Percent | ||||
Three Months Ended | Three Months Ended | Better/(Worse) | ||||
June 30, 2025 | June 30, 2024 | Reported 2025 vs. 2024 | ||||
REVENUES | ||||||
Base management fees | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 340 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 330 | 3 | |||
Franchise fees1 | 860 | 818 | 5 | |||
Incentive management fees | 200 | 195 | 3 | |||
Gross fee revenues | 1,400 | 1,343 | 4 | |||
Contract investment amortization2 | (29) | (27) | (7) | |||
Net fee revenues | 1,371 | 1,316 | 4 | |||
Owned, leased, and other revenue3 | 441 | 395 | 12 | |||
Cost reimbursement revenue4 | 4,932 | 4,728 | 4 | |||
6,744 | 6,439 | 5 | ||||
鈥� | ||||||
OPERATING COSTS AND EXPENSES | ||||||
Owned, leased, and other - direct5 | 328 | 296 | (11) | |||
Depreciation, amortization, and other6 | 53 | 47 | (13) | |||
General, administrative, and other7 | 245 | 248 | 1 | |||
Restructuring and merger-related charges | 8 | 8 | 鈥� | |||
Reimbursed expenses4 | 4,874 | 4,645 | (5) | |||
5,508 | 5,244 | (5) | ||||
鈥� | ||||||
OPERATING INCOME | 1,236 | 1,195 | 3 | |||
鈥� | ||||||
Gains and other income, net8 | 5 | 4 | 25 | |||
Interest expense | (203) | (173) | (17) | |||
Interest income | 12 | 9 | 33 | |||
Equity in earnings9 | 4 | 5 | (20) | |||
鈥� | ||||||
INCOME BEFORE INCOME TAXES | 1,054 | 1,040 | 1 | |||
鈥� | ||||||
Provision for income taxes | (291) | (268) | (9) | |||
鈥� | ||||||
NET INCOME | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 763 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 772 | (1) | |||
鈥� | ||||||
EARNINGS PER SHARE | ||||||
听 Earnings per share - basic | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 2.78 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 2.70 | 3 | |||
听 Earnings per share - diluted | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 2.78 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 2.69 | 3 | |||
鈥� | ||||||
Basic shares | 274.2 | 285.8 | ||||
Diluted shares | 274.7 | 286.7 | ||||
1 Franchise fees include fees from our franchise and license agreements for lodging properties (including our timeshare properties), application and relicensing fees, co-branded credit card fees, and residential branding fees. | ||||||
2 Contract investment amortization includes amortization of capitalized costs to obtain contracts with customers and any related impairments. | ||||||
3 Owned, leased, and other revenue includes revenue from the properties we own or lease, termination fees, and other revenue. | ||||||
4 Cost reimbursement revenue includes reimbursements from hotel owners and certain other counterparties for property-level and centralized programs and services that we operate for their benefit. Reimbursed expenses include costs incurred by Marriott for certain property-level operating expenses and centralized programs and services that we operate for the benefit of our hotel owners and certain other counterparties. | ||||||
5 Owned, leased, and other - direct expenses include operating expenses related to our owned or leased hotels, including lease payments and pre-opening expenses. | ||||||
6 Depreciation, amortization, and other expenses include depreciation for fixed assets, amortization of acquired contracts, software, and other definite-lived intangible assets, and any related impairments, accelerations, or write-offs. | ||||||
7 General, administrative, and other expenses include our corporate and business segments overhead costs and general expenses. | ||||||
8 Gains and other income, net includes gains and losses on the sale of real estate, the sale of joint venture interests and other investments, and adjustments from other equity investments. | ||||||
9 Equity in earnings include our equity in earnings or losses of unconsolidated equity method investments. | ||||||
听
MARRIOTT INTERNATIONAL, INC. | ||||||
CONSOLIDATED STATEMENTS OF INCOME - AS REPORTED | ||||||
SECOND QUARTER YEAR-TO-DATE 2025 AND 2024 | ||||||
($ in millions except per share amounts, unaudited) | ||||||
鈥� | ||||||
As Reported | As Reported | Percent | ||||
Six Months Ended | Six Months Ended | Better/(Worse) | ||||
June 30, 2025 | June 30, 2024 | Reported 2025 vs. 2024 | ||||
REVENUES | ||||||
Base management fees | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 665 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 643 | 3 | |||
Franchise fees1 | 1,606 | 1,506 | 7 | |||
Incentive management fees | 404 | 404 | 鈥� | |||
Gross fee revenues | 2,675 | 2,553 | 5 | |||
Contract investment amortization2 | (57) | (50) | (14) | |||
Net fee revenues | 2,618 | 2,503 | 5 | |||
Owned, leased, and other revenue3 | 802 | 752 | 7 | |||
Cost reimbursement revenue4 | 9,587 | 9,161 | 5 | |||
13,007 | 12,416 | 5 | ||||
鈥� | ||||||
OPERATING COSTS AND EXPENSES | ||||||
Owned, leased, and other - direct5 | 624 | 582 | (7) | |||
Depreciation, amortization, and other6 | 104 | 92 | (13) | |||
General, administrative, and other7 | 490 | 509 | 4 | |||
Restructuring and merger-related charges | 9 | 16 | 44 | |||
Reimbursed expenses4 | 9,596 | 9,146 | (5) | |||
10,823 | 10,345 | (5) | ||||
鈥� | ||||||
OPERATING INCOME | 2,184 | 2,071 | 5 | |||
鈥� | ||||||
Gains and other income, net8 | 3 | 8 | (63) | |||
Interest expense | (395) | (336) | (18) | |||
Interest income | 21 | 19 | 11 | |||
Equity in earnings9 | 5 | 5 | 鈥� | |||
鈥� | ||||||
INCOME BEFORE INCOME TAXES | 1,818 | 1,767 | 3 | |||
鈥� | ||||||
Provision for income taxes | (390) | (431) | 10 | |||
鈥� | ||||||
NET INCOME | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 1,428 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 1,336 | 7 | |||
鈥� | ||||||
EARNINGS PER SHARE | ||||||
Earnings per share - basic | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 5.18 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 4.64 | 12 | |||
Earnings per share - diluted | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 5.17 | $听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听听 4.62 | 12 | |||
鈥� | ||||||
Basic shares | 275.5 | 288.1 | ||||
Diluted shares | 276.2 | 289.1 | ||||
1 Franchise fees include fees from our franchise and license agreements for lodging properties (including our timeshare properties), application and relicensing fees, co-branded credit card fees, and residential branding fees. | ||||||
2 Contract investment amortization includes amortization of capitalized costs to obtain contracts with customers and any related impairments. | ||||||
3 Owned, leased, and other revenue includes revenue from the properties we own or lease, termination fees, and other revenue. | ||||||
4 Cost reimbursement revenue includes reimbursements from hotel owners and certain other counterparties for property-level and centralized programs and services that we operate for their benefit. Reimbursed expenses include costs incurred by Marriott for certain property-level operating expenses and centralized programs and services that we operate for the benefit of our hotel owners and certain other counterparties. | ||||||
5 Owned, leased, and other - direct expenses include operating expenses related to our owned or leased hotels, including lease payments and pre-opening expenses. | ||||||
6 Depreciation, amortization, and other expenses include depreciation for fixed assets, amortization of acquired contracts, software, and other definite-lived intangible assets, and any related impairments, accelerations, or write-offs. | ||||||
7 General, administrative, and other expenses include our corporate and business segments overhead costs and general expenses. | ||||||
8 Gains and other income, net includes gains and losses on the sale of real estate, the sale of joint venture interests and other investments, and adjustments from other equity investments. | ||||||
9 Equity in earnings include our equity in earnings or losses of unconsolidated equity method investments. | ||||||
听
MARRIOTT INTERNATIONAL, INC. | |||||||||||
NON-GAAP FINANCIAL MEASURES | |||||||||||
($ in millions except per share amounts) | |||||||||||
鈥� | |||||||||||
The following table presents our reconciliations of Adjusted operating income, Adjusted operating income margin, Adjusted net income, and | |||||||||||
鈥� | |||||||||||
Three Months Ended | Six Months Ended | ||||||||||
Percent | Percent | ||||||||||
June 30, | June 30, | Better/ | June 30, | June 30, | Better/ | ||||||
2025 | 2024 | (Worse) | 2025 | 2024 | (Worse) | ||||||
Total revenues, as reported | $听听听听听听听听听 6,744 | $听听听听听听听听听听听 6,439 | $听听听听听听听 13,007 | $听听听听听听听 12,416 | |||||||
Less: Cost reimbursement revenue | (4,932) | (4,728) | (9,587) | (9,161) | |||||||
Adjusted total revenues鈥� | 1,812 | 1,711 | 3,420 | 3,255 | |||||||
鈥� | |||||||||||
鈥� | |||||||||||
Operating income, as reported | 1,236 | 1,195 | 2,184 | 2,071 | |||||||
Less: Cost reimbursement revenue | (4,932) | (4,728) | (9,587) | (9,161) | |||||||
Add: Reimbursed expenses | 4,874 | 4,645 | 9,596 | 9,146 | |||||||
Add: Restructuring and merger-related charges | 8 | 8 | 9 | 16 | |||||||
Adjusted operating income鈥� | 1,186 | 1,120 | 6 | 2,202 | 2,072 | 6 | |||||
鈥� | |||||||||||
鈥� | |||||||||||
Operating income margin | 18听% | 19听% | 17听% | 17听% | |||||||
Adjusted operating income margin鈥� | 65听% | 65听% | 64听% | 64听% | |||||||
鈥� | |||||||||||
鈥� | |||||||||||
Net income, as reported | 763 | 772 | 1,428 | 1,336 | |||||||
Less: Cost reimbursement revenue | (4,932) | (4,728) | (9,587) | (9,161) | |||||||
Add: Reimbursed expenses | 4,874 | 4,645 | 9,596 | 9,146 | |||||||
Add: Restructuring and merger-related charges | 8 | 8 | 9 | 16 | |||||||
Income tax effect of above adjustments | 18 | 19 | 1 | (1) | |||||||
Less: Income tax special items | (3) | 鈥� | (74) | 鈥� | |||||||
Adjusted net income鈥� | $听听听听听听听听听听听听 728 | $听听听听听听听听听听听听听听 716 | 2 | $听听听听听听听听听 1,373 | $听听听听听听听听听 1,336 | 3 | |||||
鈥� | |||||||||||
鈥� | |||||||||||
Diluted earnings per share, as reported | $听听听听听听听听听听听 2.78 | $听听听听听听听听听听听听听 2.69 | $听听听听听听听听听听听 5.17 | $听听听听听听听听听听听 4.62 | |||||||
Adjusted diluted earnings per share鈥� | $听听听听听听听听听听听 2.65 | $听听听听听听听听听听听听听 2.50 | 6 | $听听听听听听听听听听听 4.97 | $听听听听听听听听听听听 4.62 | 8 | |||||
鈥� Denotes non-GAAP financial measures. Please see Explanation of Non-GAAP Financial and Performance Measures in these Press Release Schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. | |||||||||||
听
MARRIOTT INTERNATIONAL, INC. | ||||||
TOTAL LODGING PRODUCTS BY OWNERSHIP TYPE | ||||||
As of June 30, 2025 | ||||||
US & | Total International1 | Total Worldwide | ||||
Properties | Rooms | Properties | Rooms | Properties | Rooms | |
Managed | 612 | 213,382 | 1,360 | 353,456 | 1,972 | 566,838 |
听Marriott Hotels | 99 | 56,180 | 187 | 59,155 | 286 | 115,335 |
听Sheraton | 25 | 19,769 | 180 | 57,877 | 205 | 77,646 |
听Courtyard by Marriott | 155 | 25,227 | 132 | 28,912 | 287 | 54,139 |
听Westin | 41 | 22,486 | 79 | 23,888 | 120 | 46,374 |
听JW Marriott | 23 | 13,191 | 76 | 27,076 | 99 | 40,267 |
听The Ritz-Carlton | 42 | 12,798 | 79 | 18,394 | 121 | 31,192 |
听Four Points by Sheraton | 1 | 134 | 96 | 25,583 | 97 | 25,717 |
听Renaissance Hotels | 21 | 9,065 | 51 | 16,054 | 72 | 25,119 |
听Le M茅ridien | 鈥� | 鈥� | 67 | 18,286 | 67 | 18,286 |
听W Hotels | 20 | 5,513 | 45 | 12,460 | 65 | 17,973 |
听St. Regis | 13 | 2,669 | 52 | 11,380 | 65 | 14,049 |
听Residence Inn by Marriott | 73 | 12,002 | 9 | 1,116 | 82 | 13,118 |
听Gaylord Hotels | 7 | 11,820 | 鈥� | 鈥� | 7 | 11,820 |
听The Luxury Collection | 6 | 2,296 | 41 | 7,859 | 47 | 10,155 |
听Delta Hotels by Marriott | 24 | 6,622 | 19 | 3,329 | 43 | 9,951 |
听Fairfield by Marriott | 6 | 1,431 | 55 | 8,450 | 61 | 9,881 |
听Aloft Hotels | 2 | 505 | 40 | 8,777 | 42 | 9,282 |
听Autograph Collection | 11 | 3,269 | 16 | 3,209 | 27 | 6,478 |
听Marriott Executive Apartments | 鈥� | 鈥� | 39 | 5,489 | 39 | 5,489 |
听EDITION | 5 | 1,379 | 15 | 2,844 | 20 | 4,223 |
听AC Hotels by Marriott | 8 | 1,512 | 14 | 2,680 | 22 | 4,192 |
听Element Hotels | 3 | 810 | 15 | 2,964 | 18 | 3,774 |
听SpringHill Suites by Marriott | 20 | 3,499 | 鈥� | 鈥� | 20 | 3,499 |
听Moxy Hotels | 1 | 380 | 13 | 2,876 | 14 | 3,256 |
听Protea Hotels by Marriott | 鈥� | 鈥� | 22 | 2,737 | 22 | 2,737 |
听Tribute Portfolio | 鈥� | 鈥� | 11 | 1,415 | 11 | 1,415 |
听TownePlace Suites by Marriott | 6 | 825 | 鈥� | 鈥� | 6 | 825 |
听Bvlgari | 鈥� | 鈥� | 7 | 646 | 7 | 646 |
听Owned/Leased | 14 | 5,539 | 36 | 8,667 | 50 | 14,206 |
听Sheraton | 1 | 1,218 | 3 | 1,724 | 4 | 2,942 |
听Marriott Hotels | 2 | 1,304 | 5 | 1,631 | 7 | 2,935 |
听Courtyard by Marriott | 7 | 987 | 4 | 894 | 11 | 1,881 |
听W Hotels | 2 | 765 | 2 | 665 | 4 | 1,430 |
听Westin | 1 | 1,073 | 鈥� | 鈥� | 1 | 1,073 |
听Protea Hotels by Marriott | 鈥� | 鈥� | 5 | 912 | 5 | 912 |
听The Ritz-Carlton | 鈥� | 鈥� | 2 | 548 | 2 | 548 |
听Renaissance Hotels | 鈥� | 鈥� | 2 | 505 | 2 | 505 |
听JW Marriott | 鈥� | 鈥� | 1 | 496 | 1 | 496 |
听The Luxury Collection | 鈥� | 鈥� | 3 | 383 | 3 | 383 |
听Autograph Collection | 鈥� | 鈥� | 5 | 360 | 5 | 360 |
听Residence Inn by Marriott | 1 | 192 | 1 | 140 | 2 | 332 |
听Tribute Portfolio | 鈥� | 鈥� | 2 | 249 | 2 | 249 |
听St. Regis | 鈥� | 鈥� | 1 | 160 | 1 | 160 |
Franchised, Licensed, and Other | 5,725 | 849,133 | 1,714 | 289,705 | 7,439 | 1,138,838 |
听Courtyard by Marriott | 920 | 123,572 | 137 | 25,379 | 1,057 | 148,951 |
听Fairfield by Marriott | 1,179 | 111,061 | 114 | 15,993 | 1,293 | 127,054 |
听Residence Inn by Marriott | 810 | 96,464 | 38 | 4,766 | 848 | 101,230 |
听Marriott Hotels | 234 | 74,162 | 78 | 22,034 | 312 | 96,196 |
听Autograph Collection | 153 | 34,504 | 159 | 32,171 | 312 | 66,675 |
听Sheraton | 141 | 43,631 | 81 | 22,628 | 222 | 66,259 |
听SpringHill Suites by Marriott | 552 | 64,189 | 鈥� | 鈥� | 552 | 64,189 |
听TownePlace Suites by Marriott | 541 | 54,487 | 鈥� | 鈥� | 541 | 54,487 |
听Westin | 95 | 32,010 | 33 | 9,615 | 128 | 41,625 |
听Four Points by Sheraton | 148 | 21,350 | 108 | 19,600 | 256 | 40,950 |
听AC Hotels by Marriott | 127 | 21,145 | 106 | 15,615 | 233 | 36,760 |
听Aloft Hotels | 167 | 23,904 | 30 | 5,782 | 197 | 29,686 |
听Moxy Hotels | 47 | 8,093 | 111 | 20,848 | 158 | 28,941 |
听Renaissance Hotels | 71 | 19,545 | 33 | 8,347 | 104 | 27,892 |
听MGM Collection with Marriott Bonvoy** | 12 | 26,210 | 鈥� | 鈥� | 12 | 26,210 |
听Tribute Portfolio | 93 | 17,646 | 60 | 8,269 | 153 | 25,915 |
听Timeshare* | 73 | 18,949 | 21 | 3,911 | 94 | 22,860 |
听Delta Hotels by Marriott | 68 | 15,195 | 29 | 6,283 | 97 | 21,478 |
听The Luxury Collection | 15 | 7,812 | 62 | 13,560 | 77 | 21,372 |
听City Express by Marriott | 2 | 258 | 153 | 17,781 | 155 | 18,039 |
听Design Hotels* | 24 | 2,573 | 165 | 11,355 | 189 | 13,928 |
听Element Hotels | 93 | 12,404 | 6 | 827 | 99 | 13,231 |
听Le M茅ridien | 23 | 5,060 | 25 | 7,184 | 48 | 12,244 |
听JW Marriott | 12 | 6,080 | 15 | 3,261 | 27 | 9,341 |
听Sonder by Marriott Bonvoy | 88 | 5,374 | 58 | 2,695 | 146 | 8,069 |
听Four Points Flex by Sheraton | 鈥� | 鈥� | 41 | 6,234 | 41 | 6,234 |
听Protea Hotels by Marriott | 鈥� | 鈥� | 37 | 3,283 | 37 | 3,283 |
听Outdoor-Focused Collection | 32 | 1,532 | 鈥� | 鈥� | 32 | 1,532 |
听W Hotels | 1 | 1,117 | 1 | 226 | 2 | 1,343 |
听Marriott Executive Apartments | 鈥� | 鈥� | 6 | 1,117 | 6 | 1,117 |
听Apartments by Marriott Bonvoy | 2 | 253 | 2 | 231 | 4 | 484 |
听The Ritz-Carlton | 1 | 429 | 鈥� | 鈥� | 1 | 429 |
听The Ritz-Carlton Yacht Collection* | 鈥� | 鈥� | 2 | 377 | 2 | 377 |
听St. Regis | 鈥� | 鈥� | 1 | 172 | 1 | 172 |
听Bvlgari | 鈥� | 鈥� | 2 | 161 | 2 | 161 |
听StudioRes | 1 | 124 | 鈥� | 鈥� | 1 | 124 |
Residences | 72 | 7,670 | 68 | 8,267 | 140 | 15,937 |
听The Ritz-Carlton Residences | 43 | 4,760 | 22 | 1,866 | 65 | 6,626 |
听St. Regis Residences | 11 | 1,267 | 14 | 1,947 | 25 | 3,214 |
听W Residences | 10 | 1,092 | 8 | 768 | 18 | 1,860 |
听Marriott Residences | 鈥� | 鈥� | 5 | 1,337 | 5 | 1,337 |
听JW Marriott Residences | 鈥� | 鈥� | 3 | 767 | 3 | 767 |
听Westin Residences | 3 | 266 | 3 | 413 | 6 | 679 |
听Bvlgari Residences | 鈥� | 鈥� | 5 | 526 | 5 | 526 |
听Sheraton Residences | 鈥� | 鈥� | 3 | 472 | 3 | 472 |
听The Luxury Collection Residences | 1 | 91 | 2 | 85 | 3 | 176 |
听Renaissance Residences | 1 | 112 | 鈥� | 鈥� | 1 | 112 |
听EDITION Residences | 3 | 82 | 1 | 10 | 4 | 92 |
听Le M茅ridien Residences | 鈥� | 鈥� | 1 | 62 | 1 | 62 |
听Autograph Collection Residences | 鈥� | 鈥� | 1 | 14 | 1 | 14 |
Grand Total | 6,423 | 1,075,724 | 3,178 | 660,095 | 9,601 | 1,735,819 |
1 "International" refers to: (i) | ||||||
* Timeshare, Design Hotels, and The Ritz-Carlton Yacht Collection counts are included in this table by geographical location. For external reporting purposes, these offerings are captured within "Unallocated corporate and other." | ||||||
** Excludes five MGM Collection with Marriott Bonvoy properties (two Autograph Collection, one Tribute Portfolio, one The Luxury Collection and one W Hotels) which are presented in "Franchised, Licensed and Other" within their respective brands. | ||||||
Property and room counts presented by brand in the above table include certain hotels in our system that are not yet operating under such brand, but are expected to operate under such brand following the completion of planned renovations. | ||||||
听
MARRIOTT INTERNATIONAL, INC. | ||||||
TOTAL LODGING PRODUCTS BY TIER | ||||||
As of June 30, 2025 | ||||||
US & | Total International1 | Total Worldwide | ||||
Total Systemwide | Properties | Rooms | Properties | Rooms | Properties | Rooms |
Luxury | 208 | 61,341 | 462 | 106,637 | 670 | 167,978 |
听JW Marriott | 35 | 19,271 | 92 | 30,833 | 127 | 50,104 |
听JW Marriott Residences | 鈥� | 鈥� | 3 | 767 | 3 | 767 |
听The Ritz-Carlton | 43 | 13,227 | 81 | 18,942 | 124 | 32,169 |
听The Ritz-Carlton Residences | 43 | 4,760 | 22 | 1,866 | 65 | 6,626 |
听The Ritz-Carlton Yacht Collection* | 鈥� | 鈥� | 2 | 377 | 2 | 377 |
听The Luxury Collection | 21 | 10,108 | 106 | 21,802 | 127 | 31,910 |
听The Luxury Collection Residences | 1 | 91 | 2 | 85 | 3 | 176 |
听W Hotels | 23 | 7,395 | 48 | 13,351 | 71 | 20,746 |
听W Residences | 10 | 1,092 | 8 | 768 | 18 | 1,860 |
听St. Regis | 13 | 2,669 | 54 | 11,712 | 67 | 14,381 |
听St. Regis Residences | 11 | 1,267 | 14 | 1,947 | 25 | 3,214 |
听EDITION | 5 | 1,379 | 15 | 2,844 | 20 | 4,223 |
听EDITION Residences | 3 | 82 | 1 | 10 | 4 | 92 |
听Bvlgari | 鈥� | 鈥� | 9 | 807 | 9 | 807 |
听Bvlgari Residences | 鈥� | 鈥� | 5 | 526 | 5 | 526 |
Premium | 1,240 | 409,347 | 1,408 | 327,398 | 2,648 | 736,745 |
听Marriott Hotels | 335 | 131,646 | 270 | 82,820 | 605 | 214,466 |
听Marriott Residences | 鈥� | 鈥� | 5 | 1,337 | 5 | 1,337 |
听Sheraton | 167 | 64,618 | 264 | 82,229 | 431 | 146,847 |
听Sheraton Residences | 鈥� | 鈥� | 3 | 472 | 3 | 472 |
听Westin | 137 | 55,569 | 112 | 33,503 | 249 | 89,072 |
听Westin Residences | 3 | 266 | 3 | 413 | 6 | 679 |
听Autograph Collection | 164 | 37,773 | 180 | 35,740 | 344 | 73,513 |
听Autograph Collection Residences | 鈥� | 鈥� | 1 | 14 | 1 | 14 |
听Renaissance Hotels | 92 | 28,610 | 86 | 24,906 | 178 | 53,516 |
听Renaissance Residences | 1 | 112 | 鈥� | 鈥� | 1 | 112 |
听Delta Hotels by Marriott | 92 | 21,817 | 48 | 9,612 | 140 | 31,429 |
听Le M茅ridien | 23 | 5,060 | 92 | 25,470 | 115 | 30,530 |
听Le M茅ridien Residences | 鈥� | 鈥� | 1 | 62 | 1 | 62 |
听Tribute Portfolio | 93 | 17,646 | 73 | 9,933 | 166 | 27,579 |
听MGM Collection with Marriott Bonvoy** | 12 | 26,210 | 鈥� | 鈥� | 12 | 26,210 |
听Design Hotels* | 24 | 2,573 | 165 | 11,355 | 189 | 13,928 |
听Gaylord Hotels | 7 | 11,820 | 鈥� | 鈥� | 7 | 11,820 |
听Sonder by Marriott Bonvoy | 88 | 5,374 | 58 | 2,695 | 146 | 8,069 |
听Marriott Executive Apartments | 鈥� | 鈥� | 45 | 6,606 | 45 | 6,606 |
听Apartments by Marriott Bonvoy | 2 | 253 | 2 | 231 | 4 | 484 |
Select | 4,899 | 585,705 | 1,093 | 198,134 | 5,992 | 783,839 |
听Courtyard by Marriott | 1,082 | 149,786 | 273 | 55,185 | 1,355 | 204,971 |
听Fairfield by Marriott | 1,185 | 112,492 | 169 | 24,443 | 1,354 | 136,935 |
听Residence Inn by Marriott | 884 | 108,658 | 48 | 6,022 | 932 | 114,680 |
听SpringHill Suites by Marriott | 572 | 67,688 | 鈥� | 鈥� | 572 | 67,688 |
听Four Points by Sheraton | 149 | 21,484 | 204 | 45,183 | 353 | 66,667 |
听TownePlace Suites by Marriott | 547 | 55,312 | 鈥� | 鈥� | 547 | 55,312 |
听AC Hotels by Marriott | 135 | 22,657 | 120 | 18,295 | 255 | 40,952 |
听Aloft Hotels | 169 | 24,409 | 70 | 14,559 | 239 | 38,968 |
听Moxy Hotels | 48 | 8,473 | 124 | 23,724 | 172 | 32,197 |
听Element Hotels | 96 | 13,214 | 21 | 3,791 | 117 | 17,005 |
听Protea Hotels by Marriott | 鈥� | 鈥� | 64 | 6,932 | 64 | 6,932 |
听Outdoor-Focused Collection | 32 | 1,532 | 鈥� | 鈥� | 32 | 1,532 |
Midscale | 3 | 382 | 194 | 24,015 | 197 | 24,397 |
听City Express by Marriott | 2 | 258 | 153 | 17,781 | 155 | 18,039 |
听Four Points Flex by Sheraton | 鈥� | 鈥� | 41 | 6,234 | 41 | 6,234 |
听StudioRes | 1 | 124 | 鈥� | 鈥� | 1 | 124 |
听Timeshare* | 73 | 18,949 | 21 | 3,911 | 94 | 22,860 |
Grand Total | 6,423 | 1,075,724 | 3,178 | 660,095 | 9,601 | 1,735,819 |
1 "International" refers to: (i) | ||||||
* Timeshare, Design Hotels, and The Ritz-Carlton Yacht Collection counts are included in this table by geographical location. For external reporting purposes, these offerings are captured within "Unallocated corporate and other." | ||||||
** Excludes five MGM Collection with Marriott Bonvoy properties (two Autograph Collection, one Tribute Portfolio, one The Luxury Collection and one W Hotels) which are presented within their respective brands. | ||||||
Property and room counts presented by brand in the above table include certain hotels in our system that are not yet operating under such brand, but are expected to operate under such brand following the completion of planned renovations. | ||||||
听
MARRIOTT INTERNATIONAL, INC. | |||||||||||||
KEY LODGING STATISTICS | |||||||||||||
In Constant $ | |||||||||||||
鈥� | |||||||||||||
Comparable Company-Operated US & Canada Properties | |||||||||||||
Three Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Brand | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
JW Marriott | $听听听听 256.91 | 3.2听% | 73.5听% | -0.1听% | pts. | $听听听听 349.48 | 3.4听% | ||||||
The Ritz-Carlton | $听听听听 379.22 | 5.8听% | 69.1听% | 0.9听% | pts. | $听听听听 548.82 | 4.5听% | ||||||
W Hotels | $听听听听 265.40 | 4.8听% | 72.4听% | 2.4听% | pts. | $听听听听 366.32 | 1.3听% | ||||||
Composite US & Canada Luxury1 | $听听听听 323.19 | 5.0听% | 71.9听% | 0.9听% | pts. | $听听听听 449.29 | 3.6听% | ||||||
Marriott Hotels | $听听听听 186.65 | 0.6听% | 73.5听% | -1.2听% | pts. | $听听听听 253.89 | 2.2听% | ||||||
Sheraton | $听听听听 172.43 | -1.3听% | 70.3听% | -2.5听% | pts. | $听听听听 245.42 | 2.2听% | ||||||
Westin | $听听听听 201.18 | 1.6听% | 73.8听% | -1.0听% | pts. | $听听听听 272.63 | 3.0听% | ||||||
Composite US & Canada Premium2 | $听听听听 184.53 | 0.8听% | 72.9听% | -0.9听% | pts. | $听听听听 252.99 | 2.0听% | ||||||
US & Canada Full-Service3 | $听听听听 214.88 | 2.2听% | 72.7听% | -0.5听% | pts. | $听听听听 295.49 | 2.8听% | ||||||
Courtyard by Marriott | $听听听听 121.91 | -2.2听% | 71.5听% | -0.7听% | pts. | $听听听听 170.39 | -1.2听% | ||||||
Residence Inn by Marriott | $听听听听 158.59 | 0.0听% | 79.4听% | 0.3听% | pts. | $听听听听 199.72 | -0.4听% | ||||||
Composite US & Canada Select4 | $听听听听 135.00 | -1.0听% | 74.3听% | -0.2听% | pts. | $听听听听 181.64 | -0.8听% | ||||||
US & | $听听听听 195.25 | 1.6听% | 73.1听% | -0.4听% | pts. | $听听听听 267.04 | 2.2听% | ||||||
鈥� | |||||||||||||
Comparable Systemwide US & Canada Properties | |||||||||||||
Three Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Brand | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
JW Marriott | $听听听听 246.76 | 1.7听% | 74.4听% | -0.8听% | pts. | $听听听听 331.59 | 2.8听% | ||||||
The Ritz-Carlton | $听听听听 378.95 | 6.0听% | 69.7听% | 0.8听% | pts. | $听听听听 543.79 | 4.7听% | ||||||
W Hotels | $听听听听 265.40 | 4.8听% | 72.4听% | 2.4听% | pts. | $听听听听 366.32 | 1.3听% | ||||||
Composite US & Canada Luxury1 | $听听听听 304.02 | 4.1听% | 72.8听% | 0.5听% | pts. | $听听听听 417.38 | 3.4听% | ||||||
Marriott Hotels | $听听听听 157.02 | 0.6听% | 72.3听% | -0.7听% | pts. | $听听听听 217.09 | 1.5听% | ||||||
Sheraton | $听听听听 140.24 | -0.8听% | 70.7听% | -1.8听% | pts. | $听听听听 198.48 | 1.7听% | ||||||
Westin | $听听听听 179.02 | 1.4听% | 73.9听% | -0.7听% | pts. | $听听听听 242.16 | 2.3听% | ||||||
Composite US & Canada Premium2 | $听听听听 159.60 | 1.0听% | 72.2听% | -0.5听% | pts. | $听听听听 221.04 | 1.7听% | ||||||
US & Canada Full-Service3 | $听听听听 175.79 | 1.6听% | 72.3听% | -0.4听% | pts. | $听听听听 243.23 | 2.2听% | ||||||
Courtyard by Marriott | $听听听听 120.10 | -2.6听% | 72.3听% | -1.7听% | pts. | $听听听听 166.11 | -0.3听% | ||||||
Residence Inn by Marriott | $听听听听 139.07 | -0.8听% | 79.6听% | -0.7听% | pts. | $听听听听 174.62 | 0.0听% | ||||||
$听听听听 101.21 | -1.8听% | 72.8听% | -1.5听% | pts. | $听听听听 139.00 | 0.2听% | |||||||
Composite US & Canada Select4 | $听听听听 120.57 | -1.5听% | 74.9听% | -1.2听% | pts. | $听听听听 160.88 | 0.1听% | ||||||
US & | $听听听听 142.78 | 0.0听% | 73.9听% | -0.9听% | pts. | $听听听听 193.29 | 1.2听% | ||||||
1 Includes JW Marriott, The Ritz-Carlton, W Hotels, The Luxury Collection, St. Regis, and EDITION. | |||||||||||||
2 Includes Marriott Hotels, Sheraton, Westin, Renaissance Hotels, Autograph Collection, Delta Hotels by Marriott, and Gaylord Hotels. Systemwide also includes Le M茅ridien and Tribute Portfolio. | |||||||||||||
3 Includes Composite US & Canada Luxury and Composite US & Canada Premium. | |||||||||||||
4 Includes Courtyard by Marriott, Residence Inn by Marriott, | |||||||||||||
5 Includes US & Canada Full-Service and Composite US & Canada Select. | |||||||||||||
听
MARRIOTT INTERNATIONAL, INC. | |||||||||||||
KEY LODGING STATISTICS | |||||||||||||
In Constant $ | |||||||||||||
鈥� | |||||||||||||
Comparable Company-Operated US & Canada Properties | |||||||||||||
Six Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Brand | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
JW Marriott | $听听听听 262.35 | 4.4听% | 73.3听% | 1.1听% | pts. | $听听听听 358.15 | 2.9听% | ||||||
The Ritz-Carlton | $听听听听 397.01 | 6.9听% | 68.9听% | 1.5听% | pts. | $听听听听 575.98 | 4.5听% | ||||||
W Hotels | $听听听听 264.75 | 4.8听% | 69.2听% | 2.5听% | pts. | $听听听听 382.76 | 1.1听% | ||||||
Composite US & Canada Luxury1 | $听听听听 337.22 | 5.3听% | 71.2听% | 1.4听% | pts. | $听听听听 473.60 | 3.2听% | ||||||
Marriott Hotels | $听听听听 175.96 | 2.9听% | 70.3听% | -0.2听% | pts. | $听听听听 250.27 | 3.3听% | ||||||
Sheraton | $听听听听 166.98 | 0.3听% | 68.0听% | -1.8听% | pts. | $听听听听 245.51 | 3.0听% | ||||||
Westin | $听听听听 184.91 | 3.5听% | 69.4听% | 0.1听% | pts. | $听听听听 266.43 | 3.3听% | ||||||
Composite US & Canada Premium2 | $听听听听 174.32 | 3.0听% | 69.7听% | 0.0听% | pts. | $听听听听 250.04 | 3.0听% | ||||||
US & Canada Full-Service3 | $听听听听 209.98 | 3.8听% | 70.0听% | 0.3听% | pts. | $听听听听 299.80 | 3.3听% | ||||||
Courtyard by Marriott | $听听听听 113.09 | 0.3听% | 67.2听% | 0.2听% | pts. | $听听听听 168.19 | -0.1听% | ||||||
Residence Inn by Marriott | $听听听听 152.98 | 1.4听% | 76.6听% | 0.7听% | pts. | $听听听听 199.76 | 0.5听% | ||||||
Composite US & Canada Select4 | $听听听听 127.71 | 0.9听% | 70.7听% | 0.6听% | pts. | $听听听听 180.60 | 0.1听% | ||||||
US & | $听听听听 189.76 | 3.3听% | 70.2听% | 0.4听% | pts. | $听听听听 270.29 | 2.7听% | ||||||
鈥� | |||||||||||||
Comparable Systemwide US & Canada Properties | |||||||||||||
Six Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Brand | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
JW Marriott | $听听听听 251.03 | 3.3听% | 73.5听% | 0.5听% | pts. | $听听听听 341.34 | 2.6听% | ||||||
The Ritz-Carlton | $听听听听 392.19 | 7.0听% | 69.1听% | 1.6听% | pts. | $听听听听 567.54 | 4.6听% | ||||||
W Hotels | $听听听听 264.75 | 4.8听% | 69.2听% | 2.5听% | pts. | $听听听听 382.76 | 1.1听% | ||||||
Composite US & Canada Luxury1 | $听听听听 312.34 | 4.9听% | 71.6听% | 1.2听% | pts. | $听听听听 436.26 | 3.2听% | ||||||
Marriott Hotels | $听听听听 146.29 | 2.8听% | 68.5听% | 0.3听% | pts. | $听听听听 213.68 | 2.4听% | ||||||
Sheraton | $听听听听 129.22 | 0.8听% | 66.5听% | -0.8听% | pts. | $听听听听 194.27 | 2.0听% | ||||||
Westin | $听听听听 168.82 | 3.4听% | 70.4听% | 0.4听% | pts. | $听听听听 239.87 | 2.8听% | ||||||
Composite US & Canada Premium2 | $听听听听 148.95 | 3.0听% | 68.5听% | 0.3听% | pts. | $听听听听 217.59 | 2.5听% | ||||||
US & Canada Full-Service3 | $听听听听 167.27 | 3.3听% | 68.8听% | 0.4听% | pts. | $听听听听 243.11 | 2.7听% | ||||||
Courtyard by Marriott | $听听听听 109.56 | -1.1听% | 67.8听% | -1.1听% | pts. | $听听听听 161.61 | 0.4听% | ||||||
Residence Inn by Marriott | $听听听听 129.43 | 0.1听% | 76.0听% | -0.2听% | pts. | $听听听听 170.37 | 0.4听% | ||||||
$听听听听听听 90.95 | -0.5听% | 67.7听% | -0.8听% | pts. | $听听听听 134.28 | 0.7听% | |||||||
Composite US & Canada Select4 | $听听听听 110.68 | -0.2听% | 70.7听% | -0.6听% | pts. | $听听听听 156.58 | 0.7听% | ||||||
US & | $听听听听 133.45 | 1.6听% | 69.9听% | -0.2听% | pts. | $听听听听 190.83 | 1.9听% | ||||||
1 Includes JW Marriott, The Ritz-Carlton, W Hotels, The Luxury Collection, St. Regis, and EDITION. | |||||||||||||
2 Includes Marriott Hotels, Sheraton, Westin, Renaissance Hotels, Autograph Collection, Delta Hotels by Marriott, and Gaylord Hotels. Systemwide also includes Le M茅ridien and Tribute Portfolio. | |||||||||||||
3 Includes Composite US & Canada Luxury and Composite US & Canada Premium. | |||||||||||||
4 Includes Courtyard by Marriott, Residence Inn by Marriott, | |||||||||||||
5 Includes US & Canada Full-Service and Composite US & Canada Select. | |||||||||||||
听
MARRIOTT INTERNATIONAL, INC. | |||||||||||||
KEY LODGING STATISTICS | |||||||||||||
In Constant $ | |||||||||||||
鈥屸赌� | |||||||||||||
Comparable Company-Operated International Properties | |||||||||||||
Three Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Region | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
$听听听听 266.53 | 3.3听% | 77.1听% | 2.5听% | pts. | $听听听听 345.92 | -0.1听% | |||||||
$听听听听 135.25 | 13.4听% | 68.8听% | 4.2听% | pts. | $听听听听 196.52 | 6.4听% | |||||||
$听听听听听听 80.06 | -0.5听% | 68.6听% | 0.5听% | pts. | $听听听听 116.78 | -1.2听% | |||||||
$听听听听 122.60 | 7.5听% | 69.4听% | 0.9听% | pts. | $听听听听 176.58 | 6.1听% | |||||||
$听听听听 186.34 | 6.9听% | 65.0听% | -2.1听% | pts. | $听听听听 286.47 | 10.4听% | |||||||
鈥� | |||||||||||||
International - All1 | $听听听听 126.06 | 5.5听% | 69.5听% | 1.3听% | pts. | $听听听听 181.50 | 3.5听% | ||||||
鈥� | |||||||||||||
Worldwide2 | $听听听听 154.88 | 3.4听% | 71.0听% | 0.6听% | pts. | $听听听听 218.20 | 2.6听% | ||||||
鈥屸赌� | |||||||||||||
Comparable Systemwide International Properties | |||||||||||||
Three Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Region | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
$听听听听 178.96 | 3.8听% | 75.3听% | 1.6听% | pts. | $听听听听 237.71 | 1.5听% | |||||||
$听听听听 125.23 | 14.0听% | 68.2听% | 3.8听% | pts. | $听听听听 183.59 | 7.6听% | |||||||
$听听听听听听 73.75 | -0.5听% | 66.9听% | 0.3听% | pts. | $听听听听 110.29 | -0.9听% | |||||||
$听听听听 127.23 | 8.8听% | 70.5听% | 1.1听% | pts. | $听听听听 180.35 | 7.0听% | |||||||
$听听听听 121.22 | 3.0听% | 62.0听% | -1.7听% | pts. | $听听听听 195.51 | 5.8听% | |||||||
鈥� | |||||||||||||
International - All1 | $听听听听 122.49 | 5.3听% | 69.0听% | 0.9听% | pts. | $听听听听 177.52 | 3.9听% | ||||||
鈥� | |||||||||||||
Worldwide2 | $听听听听 136.00 | 1.5听% | 72.2听% | -0.3听% | pts. | $听听听听 188.25 | 1.9听% | ||||||
1 Includes | |||||||||||||
2 Includes US & | |||||||||||||
听
MARRIOTT INTERNATIONAL, INC. | |||||||||||||
KEY LODGING STATISTICS | |||||||||||||
In Constant $ | |||||||||||||
鈥� | |||||||||||||
Comparable Company-Operated International Properties | |||||||||||||
Six Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Region | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
$听听听听 208.40 | 4.2听% | 69.7听% | 2.6听% | pts. | $听听听听 299.19 | 0.2听% | |||||||
$听听听听 141.06 | 8.6听% | 69.5听% | 2.3听% | pts. | $听听听听 203.09 | 5.0听% | |||||||
$听听听听听听 79.55 | -1.2听% | 66.6听% | 0.6听% | pts. | $听听听听 119.50 | -2.1听% | |||||||
$听听听听 127.75 | 9.1听% | 70.4听% | 1.3听% | pts. | $听听听听 181.54 | 7.1听% | |||||||
$听听听听 215.47 | 9.3听% | 67.8听% | 0.2听% | pts. | $听听听听 317.70 | 9.0听% | |||||||
鈥� | |||||||||||||
International - All1 | $听听听听 124.32 | 5.5听% | 68.5听% | 1.2听% | pts. | $听听听听 181.48 | 3.5听% | ||||||
鈥� | |||||||||||||
Worldwide2 | $听听听听 151.61 | 4.3听% | 69.2听% | 0.9听% | pts. | $听听听听 219.04 | 3.0听% | ||||||
鈥� | |||||||||||||
Comparable Systemwide International Properties | |||||||||||||
Six Months Ended June 30, 2025 and June 30, 2024 | |||||||||||||
RevPAR | Occupancy | Average Daily Rate | |||||||||||
Region | 2025 | vs. 2024 | 2025 | vs. 2024 | 2025 | vs. 2024 | |||||||
$听听听听 141.66 | 5.0听% | 68.1听% | 2.4听% | pts. | $听听听听 208.14 | 1.3听% | |||||||
$听听听听 129.96 | 9.3听% | 68.6听% | 2.2听% | pts. | $听听听听 189.40 | 5.8听% | |||||||
$听听听听听听 73.19 | -1.0听% | 65.1听% | 0.5听% | pts. | $听听听听 112.36 | -1.7听% | |||||||
$听听听听 129.68 | 9.8听% | 71.0听% | 1.6听% | pts. | $听听听听 182.57 | 7.3听% | |||||||
$听听听听 136.36 | 5.4听% | 63.6听% | -0.8听% | pts. | $听听听听 214.38 | 6.8听% | |||||||
鈥� | |||||||||||||
International - All1 | $听听听听 117.35 | 5.7听% | 67.3听% | 1.2听% | pts. | $听听听听 174.37 | 3.8听% | ||||||
鈥� | |||||||||||||
Worldwide2 | $听听听听 128.08 | 2.8听% | 69.1听% | 0.3听% | pts. | $听听听听 185.47 | 2.4听% | ||||||
1 Includes | |||||||||||||
2 Includes US & | |||||||||||||
听
MARRIOTT INTERNATIONAL, INC. | |||||
NON-GAAP FINANCIAL MEASURES | |||||
ADJUSTED EBITDA | |||||
($ in millions) | |||||
鈥� | |||||
Fiscal Year 2025 | |||||
First Quarter | Second Quarter | Total | |||
Net income, as reported | $听听听听听听听 665 | $听听听听听听听 763 | $听听听听 1,428 | ||
Cost reimbursement revenue | (4,655) | (4,932) | (9,587) | ||
Reimbursed expenses | 4,722 | 4,874 | 9,596 | ||
Interest expense | 192 | 203 | 395 | ||
Interest expense from unconsolidated joint ventures | 1 | 3 | 4 | ||
Provision for income taxes | 99 | 291 | 390 | ||
Depreciation and amortization | 51 | 53 | 104 | ||
Contract investment amortization | 28 | 29 | 57 | ||
Depreciation and amortization classified in reimbursed expenses | 57 | 61 | 118 | ||
Depreciation, amortization, and impairments from unconsolidated joint | 4 | 4 | 8 | ||
Stock-based compensation | 52 | 58 | 110 | ||
Restructuring and merger-related charges | 1 | 8 | 9 | ||
Adjusted EBITDA鈥� | $听听听听 1,217 | $听听听听 1,415 | $听听听听 2,632 | ||
鈥� | |||||
Change from 2024 Adjusted EBITDA鈥� | 7听% | 7听% | 7听% | ||
听
Fiscal Year 2024 | |||||||||
First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Total | |||||
Net income, as reported | $听听听听听听听听听 564 | $听听听听听听听听听 772 | $听听听听听听听听听 584 | $听听听听听听听听听 455 | $听听听听听听 2,375 | ||||
Cost reimbursement revenue | (4,433) | (4,728) | (4,617) | (4,704) | (18,482) | ||||
Reimbursed expenses | 4,501 | 4,645 | 4,681 | 4,972 | 18,799 | ||||
Interest expense | 163 | 173 | 179 | 180 | 695 | ||||
Interest expense from unconsolidated joint ventures | 2 | 2 | 1 | 3 | 8 | ||||
Provision for income taxes | 163 | 268 | 202 | 143 | 776 | ||||
Depreciation and amortization | 45 | 47 | 45 | 46 | 183 | ||||
Contract investment amortization | 23 | 27 | 26 | 27 | 103 | ||||
Depreciation and amortization classified in reimbursed expenses | 48 | 50 | 52 | 56 | 206 | ||||
Depreciation, amortization, and impairments from unconsolidated joint | 5 | 3 | 4 | 3 | 15 | ||||
Stock-based compensation | 53 | 57 | 63 | 64 | 237 | ||||
Restructuring and merger-related charges | 8 | 8 | 9 | 52 | 77 | ||||
Gain on asset dispositions | 鈥� | 鈥� | 鈥� | (11) | (11) | ||||
Adjusted EBITDA鈥� | $听听听听听听 1,142 | $听听听听听听 1,324 | $听听听听听听 1,229 | $听听听听听听 1,286 | $听听听听听听 4,981 | ||||
鈥� Denotes non-GAAP financial measures. Please see Explanation of Non-GAAP Financial and Performance Measures in these Press Release Schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. |
听
MARRIOTT INTERNATIONAL, INC. | |||||
NON-GAAP FINANCIAL MEASURES | |||||
ADJUSTED EBITDA FORECAST | |||||
THIRD QUARTER 2025 | |||||
($ in millions) | |||||
鈥� | |||||
Range | |||||
Estimated | Third Quarter 2024 | ||||
Net income excluding certain items1 | $听听听听听听听听听 629 | $听听听听听听听听听 651 | |||
Interest expense | 207 | 207 | |||
Interest expense from unconsolidated joint ventures | 1 | 1 | |||
Provision for income taxes | 237 | 245 | |||
Depreciation and amortization | 52 | 52 | |||
Contract investment amortization | 30 | 30 | |||
Depreciation and amortization classified in reimbursed expenses | 68 | 68 | |||
Depreciation, amortization, and impairments from unconsolidated joint | 6 | 6 | |||
Stock-based compensation | 58 | 58 | |||
Adjusted EBITDA鈥� | $听听听听听听 1,288 | $听听听听听听 1,318 | $听听听听听听听听听听听听听听听听听听听听听听听听听听 1,229 | ||
鈥� | |||||
Increase over 2024 Adjusted EBITDA鈥� | 5听% | 7听% | |||
鈥� Denotes non-GAAP financial measures. Please see Explanation of Non-GAAP Financial and Performance Measures in these Press Release Schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. | |||||
鈥� | |||||
1 Guidance excludes cost reimbursement revenue, reimbursed expenses, and restructuring and merger-related charges, each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant, except for depreciation and amortization classified in reimbursed expenses, which is included in the caption "Depreciation and amortization classified in reimbursed expenses" above. Guidance does not reflect any potential asset sales or property or brand acquisitions that may occur during the year (other than our acquisition of the citizenM brand in the 2025 third quarter), each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant. | |||||
听
MARRIOTT INTERNATIONAL, INC. | |||||
NON-GAAP FINANCIAL MEASURES | |||||
ADJUSTED EBITDA FORECAST | |||||
FULL YEAR 2025 | |||||
($ in millions) | |||||
鈥� | |||||
Range | |||||
Estimated | Full Year 2024 | ||||
Net income excluding certain items1 | $听听听听听听 2,771 | $听听听听听听 2,833 | |||
Interest expense | 815 | 815 | |||
Interest expense from unconsolidated joint ventures | 7 | 7 | |||
Provision for income taxes | 889 | 912 | |||
Depreciation and amortization | 205 | 205 | |||
Contract investment amortization | 120 | 120 | |||
Depreciation and amortization classified in reimbursed expenses | 260 | 260 | |||
Depreciation, amortization, and impairments from unconsolidated joint ventures | 18 | 18 | |||
Stock-based compensation | 225 | 225 | |||
Adjusted EBITDA鈥� | $听听听听听听 5,310 | $听听听听听听 5,395 | $听听听听听听听听听听听听听听听听听听听听听听听听听 4,981 | ||
鈥� | |||||
Increase over 2024 Adjusted EBITDA鈥� | 7听% | 8听% | |||
鈥� Denotes non-GAAP financial measures. Please see Explanation of Non-GAAP Financial and Performance Measures in these Press Release Schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. | |||||
鈥� | |||||
1 Guidance excludes cost reimbursement revenue, reimbursed expenses, and restructuring and merger-related charges, each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant, except for depreciation and amortization classified in reimbursed expenses, which is included in the caption "Depreciation and amortization classified in reimbursed expenses" above. Guidance does not reflect any potential asset sales or property or brand acquisitions that may occur during the year (other than our acquisition of the citizenM brand in the 2025 third quarter), each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant. | |||||
MARRIOTT INTERNATIONAL, INC.
EXPLANATION OF NON-GAAP FINANCIAL AND PERFORMANCE MEASURES
In our press release and schedules, on the related conference call, and in the infographic made available in connection with our press release, we report certain financial measures that are not required by, or presented in accordance with,
Adjusted Operating Income and Adjusted Operating Income Margin.听Adjusted operating income excludes cost reimbursement revenue, reimbursed expenses, restructuring and merger-related charges, and certain non-cash impairment charges (when applicable). Adjusted total revenues excludes cost reimbursement revenue. Adjusted operating income margin reflects Adjusted operating income divided by Adjusted total revenues. We believe that these are meaningful metrics because they allow for period-over-period comparisons of our ongoing operations before these items and for the reasons further described below.
Adjusted Net Income and Adjusted Diluted Earnings Per Share. Adjusted net income and Adjusted diluted earnings per share reflect our net income and diluted earnings per share excluding the impact of cost reimbursement revenue, reimbursed expenses, restructuring and merger-related charges, certain non-cash impairment charges (when applicable), and gains and losses on asset dispositions made by us or by our joint venture investees (when applicable and if above a specified threshold). Additionally, Adjusted net income and Adjusted diluted earnings per share exclude the income tax effect of the above adjustments (calculated using an estimated tax rate applicable to each adjustment) and income tax special items, which in 2025 primarily related to the release of tax reserves. We believe that these measures are meaningful indicators of our performance because they allow for period-over-period comparisons of our ongoing operations before these items and for the reasons further described below.
Adjusted Earnings Before Interest Expense, Taxes, Depreciation and Amortization ("Adjusted EBITDA"). Adjusted EBITDA reflects net income excluding the impact of the following items: cost reimbursement revenue and reimbursed expenses, interest expense, depreciation and amortization, provision (benefit) for income taxes, restructuring and merger-related charges, and stock-based compensation expense for all periods presented. When applicable, Adjusted EBITDA also excludes certain non-cash impairment charges and gains and losses on asset dispositions made by us or by our joint venture investees (if above a specified threshold).
In our presentations of Adjusted operating income and Adjusted operating income margin, Adjusted net income and Adjusted diluted earnings per share, and Adjusted EBITDA, we exclude restructuring and merger-related charges as well as non-cash impairment charges (if above a specified threshold) related to our management and franchise contracts (if the impairment is non-routine), leases, equity investments, and other capitalized assets, which we record in the "Contract investment amortization," "Depreciation, amortization, and other," and "Equity in earnings" captions of our Consolidated Statements of Income (our "Income Statements"), to allow for period-over period comparisons of our ongoing operations before the impact of these items. We exclude cost reimbursement revenue and reimbursed expenses, which relate to property-level and centralized programs and services that we operate for the benefit of our hotel owners and certain other counterparties, and for which we receive reimbursement under our agreements with hotel owners and certain other counterparties with no added mark-up. We do not operate these property-level and centralized programs and services to generate a profit over the long term, and accordingly, when we recover the costs that we incur for these programs and services from our hotel owners and certain other counterparties, we do not seek a mark-up. For property-level services, we recognize cost reimbursement revenue at the same time that we incur expenses, and property-level services have no net impact on our Income Statements in the reporting period. However, for centralized programs and services, we may be reimbursed before or after we incur expenses, causing timing differences between the costs we incur and the related reimbursement from hotel owners and certain other counterparties in our operating and net income. Over the long term, these programs and services are not designed to impact our economics, either positively or negatively. Because we do not retain any such profits or losses over time, we exclude the net impact when evaluating period-over-period changes in our operating results.
We believe that Adjusted EBITDA is a meaningful indicator of our operating performance because it permits period-over-period comparisons of our ongoing operations before these items. Our use of Adjusted EBITDA also facilitates comparison with results from other lodging companies because it excludes certain items that can vary widely across different industries or among companies within the same industry. For example, interest expense can be dependent on a company's capital structure, debt levels, and credit ratings. Accordingly, the impact of interest expense on earnings can vary significantly among companies. The tax positions of companies can also vary because of their differing abilities to take advantage of tax benefits and because of the tax policies of the jurisdictions in which they operate. As a result, effective tax rates and provisions for income taxes can vary considerably among companies. Our Adjusted EBITDA also excludes depreciation and amortization expense, which we report under "Depreciation, amortization, and other" as well as depreciation and amortization classified in "Contract investment amortization," "Reimbursed expenses," and "Equity in earnings" of our Income Statements, because companies utilize productive assets of different ages and use different methods of both acquiring and depreciating productive assets. Depreciation and amortization classified in "Reimbursed expenses" reflects depreciation and amortization of Marriott-owned assets, for which we receive cash from hotel owners and certain other counterparties to reimburse the company for its investments made for the benefit of the system. These differences can result in considerable variability in the relative costs of productive assets and the depreciation and amortization expense among companies. We exclude stock-based compensation expense in all periods presented to address the considerable variability among companies in recording compensation expense because companies use stock-based payment awards differently, both in the type and quantity of awards granted.
RevPAR. In addition to the foregoing non-GAAP financial measures, we present Revenue per Available Room ("RevPAR") as a performance measure. We believe RevPAR, which we calculate by dividing property level room revenue by total rooms available for the period, is a meaningful indicator of our performance because it measures the period-over-period change in room revenues. RevPAR may not be comparable to similarly titled measures, such as revenues, and should not be viewed as necessarily correlating with our fee revenue. We also believe occupancy and average daily rate ("ADR"), which are components of calculating RevPAR, are meaningful indicators of our performance. Occupancy, which we calculate by dividing total rooms sold by total rooms available for the period, measures the utilization of a property's available capacity. ADR, which we calculate by dividing property level room revenue by total rooms sold, measures average room price and is useful in assessing pricing levels. Comparisons to prior periods are on a constant
We define our comparable properties as hotels in our system that were open and operating under one of our brands since the beginning of the last full calendar year (since January 1, 2024 for the current period) and have not, in either the current or previous year: (1) undergone significant room or public space renovations or expansions, (2) been converted between company-operated and franchised, or (3) sustained substantial property damage or business interruption. Our comparable properties also exclude MGM Collection with Marriott Bonvoy, Design Hotels, The Ritz-Carlton Yacht Collection, residences, and timeshare properties.
We use the term "hotel owners" throughout these schedules to refer, collectively, to owners of hotels and other lodging offerings operating in our system pursuant to management agreements, franchise agreements, license agreements or similar arrangements, and we use the term "hotels in our system" to refer to hotels and other lodging offerings operating in our system pursuant to such arrangements, as well as hotels that we own or lease. The terms "hotel owners" and "hotels in our system" exclude Homes & Villas by Marriott Bonvoy庐 (which we also exclude from our property and room count), timeshare, residential, and The Ritz-Carlton Yacht Collection庐.
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SOURCE Marriott International, Inc.
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