Marriott International has posted solid results for the fourth quarter and full year of 2024, reflecting robust demand for its diverse portfolio of brands and a strong development pipeline. The company reported a fourth-quarter net income of $455 million, with adjusted net income reaching $686 million.
For the full year, Marriott saw global Revenue Per Available Room (RevPAR) rise 4.3%, driven by increased demand across its properties. The company’s portfolio grew by 6.8% in net rooms, reaching a total of over 1.7 million rooms worldwide by year-end. Marriott also recorded a record 123,000 gross room additions in 2024, further solidifying its position in the hospitality industry.
Fourth Quarter Highlights
In the fourth quarter, Marriott’s global RevPAR increased by 5%, with notable growth in both Average Daily Rate (ADR) and occupancy rates. International markets saw the strongest performance, particularly in the Asia-Pacific (APEC) and Europe, Middle East, and Africa (EMEA) regions, which benefited from strong leisure demand. RevPAR in the U.S. and Canada also grew by more than 4%, marking the highest increase in the region for the year.
Base management and franchise fees for the quarter totaled $1.13 billion, reflecting a 10% year-over-year increase. This growth was driven by higher RevPAR and unit growth, alongside rising residential and co-branded credit card fees.
However, owned, leased, and other revenue declined to $100 million from $151 million in the previous year, due in part to a $63 million termination fee related to a development project in 2023.
Marriott’s reported operating income for the quarter was $752 million, compared to $718 million in Q4 2023, while adjusted operating income grew 8% to $1.07 billion. Adjusted EBITDA for the quarter totaled $1.29 billion, up 7% from the prior year.
Full Year 2024 Results
For the full year, Marriott’s reported diluted earnings per share (EPS) were $8.33, down from $10.18 in 2023. Adjusted EPS for 2024 was $9.33, slightly lower than the $9.99 reported in 2023. The decline in both reported and adjusted EPS was primarily due to a $19 million reserve related to a U.S. hotel guarantee from the Starwood acquisition. In 2023, the company benefited from tax-related gains that positively impacted earnings.
Development and New Initiatives
Marriott’s development team also had a strong year in 2024, with the company signing a record number of new hotel deals. The company’s development pipeline at the end of the year stood at nearly 3,800 properties, totaling more than 577,000 rooms. Marriott’s commitment to expanding its presence across various segments was reflected in several new brand launches, including 28 Four Points Flex hotels in EMEA and APEC, and the debut of City Express by Marriott in the U.S. and Canada.
Additionally, Marriott entered the outdoor lodging segment with new partnerships with Postcard Cabins and Trailborn, signaling a broader approach to catering to evolving travel preferences.
Looking Ahead
Looking forward, Marriott remains optimistic about its growth prospects. The company continues to benefit from its strong global distribution network, with nearly 228 million members in its Marriott Bonvoy loyalty program, and its powerful, asset-light business model. Marriott is well-positioned to capitalize on the continued momentum in travel, and with its expanding global footprint, it is poised for further growth in 2025 and beyond.
“We are incredibly excited about Marriott’s future,” said Anthony Capuano, President and CEO of Marriott International. “With our unparalleled brand portfolio, global rooms distribution, and commitment to delivering exceptional guest experiences, we are confident in our ability to drive continued success and create valuable growth for our shareholders and customers alike.”
As Marriott prepares to expand its footprint and enhance guest experiences, the company remains committed to long-term, sustainable growth while connecting people through the power of travel.
