Marriott shares rise 4% after Q3 profit tops estimates

Marriott International (MAR) shares rose 4.3% in regular trading as of 3:59 p.m. ET on Nov. 2, from a regular-session close of $399.30. The company said on Nov. 2 that third-quarter adjusted earnings per share were $3.02, topping the $2.87 consensus estimate compiled by Finnhub. The company also raised its global RevPAR outlook, or revenue per available room growth, for full-year 2026 to 4.5% to 5%.

Marriott is a hotel franchisor, operator and licensor with more than 10,200 properties in 148 countries and territories, as of Sept. 30, 2026.

Total revenue was $7.01 billion, in line with the $6.99 billion consensus estimate compiled by Finnhub.

Here's how the company did:

• Adjusted EPS: $3.02 vs. $2.47 a year earlier, against $2.87 expected, according to Finnhub
• Reported diluted EPS: $3.04 vs. $2.67 a year earlier
• Total revenue: $7.01 billion vs. $6.49 billion a year earlier, against $6.99 billion expected, according to Finnhub
• Adjusted EBITDA: $1.51 billion vs. $1.35 billion a year earlier
• Net income: $794 million vs. $728 million a year earlier

Adjusted net income rose 17% from a year earlier, to $790 million. Adjusted EBITDA, or earnings before interest, taxes, depreciation and amortization after certain items are excluded, rose 12%.

“Our excellent third quarter results reflected continued momentum across our business, the benefits of our global scale, and the power of our brands and revenue engines,” President and Chief Executive Officer Anthony Capuano said. Global RevPAR increased 6.5% in the quarter, on higher average daily rate and occupancy.

Guidance raised

For full-year 2026, the company now expects adjusted EPS of $12.07 to $12.14, up from the $11.64 to $11.81 range it gave in its previous results release on Aug. 3.

Adjusted EBITDA for 2026 is forecast at $6.08 billion to $6.10 billion, compared with the $5.97 billion to $6.03 billion range given on Aug. 3.

For the fourth quarter, the company expects adjusted EPS of $3.14 to $3.21 and adjusted EBITDA of $1.57 billion to $1.60 billion. The company's updated outlook generally assumes the continuation of the current macroeconomic environment.

It expects investment spending of $1.25 billion to $1.35 billion in 2026 and capital return to shareholders of at least $4.80 billion.

Segment and development results

RevPAR rose 7.4% in the U.S. and Canada and 4.4% in international markets, according to the company's press release.

Franchise and base management fees totaled $1.34 billion, up 13% from $1.19 billion a year earlier. Incentive management fees were $181 million, a 22% increase over $148 million.

Owned, leased, and other revenue, net of related expenses, was $41 million, compared with $70 million a year earlier. The company cited lower owned and leased hotel results, including the impact of renovations and its second-quarter sale of a U.S. and Canada hotel.

The company's development pipeline reached 4,209 properties with more than 634,000 rooms. It added roughly 20,100 net rooms during the quarter.

Capital returns and financing

The company repurchased 3.5 million shares for $1.3 billion in the quarter. It has returned approximately $4.0 billion to shareholders year to date through Oct. 28, through dividends and buybacks.

Total debt was $16.8 billion at quarter-end, and cash and equivalents were $0.5 billion. The company also completed the refinancing of its credit facility, extending maturity to September 2031 and increasing the facility from $4.5 billion to $5.0 billion.