Marriott International Inc. (NASDAQ: MAR), an international hotel company, had one of its finest quarters since the outbreak began. The company benefited from the travel industry’s resurgence and significantly above Wall Street analysts’ expectations for first-quarter revenue and profitability. On May 5, MAR was trading at $177.66, up more than 25% over the previous year.
Marriott International’s sales climbed by 81 percent year over year to $4.1 billion in the last quarter. The company’s net income increased to $413 million, or $1.25 per share. In comparison, net income was $34 million in the same quarter a year ago. Both metrics were much better than Wall Street’s estimates, notably for Marriott International’s results.
It’s worth noting that Marriott is one of several enterprises that has profited from the tourism industry’s resurgence. According to business management, the hotel chain recorded the highest rise in global demand since the epidemic began in 2020 in the first quarter. Tourist interest is growing at a rapid pace. If Marriott International hotels had a 45 percent average occupancy in January, it had a 64 percent average occupancy in March, which was just 10% lower than the same period before the pandemic.
Marriott International followed the lead of many other travel companies in not providing a precise prognosis for future periods, instead stating that the company is hopeful about the future. Business travel sales, in particular, are predicted to expand even faster, as is overseas travel activity.
However, due to inflation, the hotel chain’s stock may stay volatile, affecting tourists’ plans.
Marriott International Inc.’s stock declined -1.98 percent on Thursday, closing at $177.66. The total number of shares exchanged was 3.17 million, up from 2.60 million on average during the previous three months. The stock fluctuated between $175.18 and $183.51 during the trading session.