Marriott International (MAR)

Marriott International reported second quarter 2026 results on August 3, 2026, with worldwide RevPAR up 3.4 percent from a year earlier 1. RevPAR, revenue per available room, is the hotel industry's standard gauge of what a room earns 1.

RevPAR in the U.S. and Canada rose 5.0 percent, while international RevPAR fell 0.5 percent 1. Marriott said the conflict in the Middle East more than offset growth in its other international regions 1. In the Middle East, RevPAR fell 43 percent 18.

Net income was $766 million, and adjusted diluted earnings per share was $3.19 against $2.65 a year earlier 1. Adjusted results leave out cost reimbursements, certain impairment charges and restructuring items 1.

The company raised its full-year worldwide RevPAR expectation to 3 to 3.5 percent 1. Marriott announced on October 9, 2026 that it will report third quarter results on November 2, 2026, at about 7:00 in the morning Eastern Time 4.

Two matters stay open: how long the Middle East conflict keeps weighing on that region 2, and a group of hotel owners that wants a bigger share of the loyalty program's credit card income 9.

Marriott describes itself as a worldwide franchisor, operator and licensor of hotel, residential, timeshare and other lodging properties 3. It owns or leases very few of its hotels and earns fees from the owners who do 3.

On September 23, 2016, Marriott completed the acquisition of Starwood Hotels & Resorts Worldwide, which became an indirect wholly owned subsidiary 15. Revenue rose from $15,407 million in 2016, which counted Starwood only from the merger date, to $20,452 million in 2017 13.

On November 30, 2018, Marriott announced unauthorized access to the Starwood reservations database, which it stopped using for business at the end of 2018 2. About 100 lawsuits followed in U.S. and Canadian courts 2. In 2024 it reached final resolutions with the Federal Trade Commission and the attorneys general of 49 states and the District of Columbia 3.

Revenue was $20,758 million in 2018 and $20,972 million in 2019, then fell to $10,571 million in 2020 when the pandemic emptied hotels 13. In April 2020, systemwide RevPAR fell 90 percent worldwide and 27 percent of its hotels were temporarily closed 13. The company reported a net loss of $267 million for 2020 13.

Revenue climbed back to $13,857 million in 2021 and $20,773 million in 2022 14. By the 2022 fourth quarter, worldwide RevPAR exceeded 2019 levels by 4.6 percent, helped by higher room rates 14.

Revenue was $23,713 million in 2023, $25,100 million in 2024 and $26,186 million in 2025 3. Net income was $3,083 million, $2,375 million and $2,601 million in those years 3. Operating income was $3,864 million in 2023, $3,767 million in 2024 and $4,141 million in 2025 3.

Net income fell in 2024 even with steady operating income because the tax provision rose to $776 million from $295 million in 2023 3. Interest expense that year was $695 million 3. In 2025 franchise fees rose to $3,325 million from $3,113 million, with co-branded credit card and other brand-related fees adding $105 million 3.

In 2025 Marriott acquired the citizenM brand for $355 million, and it introduced Series by Marriott and the Outdoor Collection by Marriott Bonvoy 3. It also ended its licensing agreement with Sonder Holdings, which cost $23 million in expenses and removed every Sonder property from the system 3. Worldwide RevPAR rose 2.0 percent in 2025 3.

In 2026, worldwide RevPAR grew 4.2 percent in the first quarter, Jen Mason became chief financial officer after Leeny Oberg retired in March, and the Lefay joint venture was agreed 10. In May 2026 Marriott sold a U.S. and Canada hotel and kept a long-term management agreement, after a $68 million impairment charge 2.

How the money is made

At the end of June 2026 the system had 10,082 properties and 1,813,698 rooms 2. At year-end 2025 it had 9,805 properties in 145 countries and territories 3.

For 2025, franchise fees were $3,325 million, base management fees $1,322 million and incentive management fees $791 million 3. Gross fee revenues were $5,438 million, and net fee revenues after contract investment amortization were $5,303 million 3.

Owned, leased and other revenue was $1,679 million, and cost reimbursement revenue was $19,204 million 3. Cost reimbursements are money owners pay back for shared services such as the loyalty program, reservations and marketing 3. Over the long term they are not designed to add profit or loss 3.

Franchised and managed hotels

At year-end 2025, 7,644 properties were franchised, licensed or other, and 2,017 were company-operated 3. Franchise royalties typically run four to seven percent of room revenues 3. Management agreements generally run for initial periods of 20 to 30 years 3.

Incentive fees depend on hotel profits 3. In 2025 Marriott earned them from 69 percent of its managed hotels, and 67 percent of incentive fees came from International managed hotels 3.

Luxury brands

At year-end 2025 the luxury tier held JW Marriott with 130 properties, The Ritz-Carlton with 126, W Hotels with 72 and St. Regis with 66 3. The Luxury Collection had 132 3.

Marriott said luxury momentum continued despite talk that luxury demand would run out of steam 8. In the Lefay joint venture, the venture owns the brand and its intellectual property, while the Leali family keeps the Italian real estate 7.

Premium and select brands

Premium brands include Marriott Hotels with 619 properties, Sheraton with 436, Autograph Collection with 362 and Westin with 251 3. Select brands include Fairfield with 1,381, Courtyard with 1,362 and Residence Inn with 937 3.

Other lines include SpringHill Suites with 579 properties, TownePlace Suites with 571 and the all-inclusive and extended stay brands 3. The acquired citizenM brand added 37 hotels and 8,789 rooms 3.

Loyalty and credit cards

Marriott Bonvoy had more than 295 million members at the end of the second quarter of 2026 1. In 2025 about 75 percent of U.S. hotel room nights and 68 percent of global room nights were booked by members 3.

Co-branded cards exist in 11 countries, and in the U.S. the partners are JPMorgan Chase and American Express 3. Marriott said it signed new multi-year agreements with both in 2026, which it expects to lift revenue in later periods 2.

Second quarter franchise fees were $1,023 million against $860 million a year earlier 1. Franchise and base management fees rose 14 percent, mainly on higher co-branded credit card fees, rooms growth and higher RevPAR 1.

Hotels it owns or leases

At the end of 2025, Marriott owned or leased 14 hotels with 5,539 rooms in the U.S. and Canada and 37 hotels with 8,867 rooms internationally 3. Most offices, including headquarters, are leased 3.

Owned and leased results net of expenses were $49 million in the second quarter against $78 million a year earlier, mainly because of a $27 million property-related litigation accrual 1.

People

Anthony Capuano is president and chief executive officer, and David S Marriott is chairman of the board 12. Jen Mason is executive vice president and chief financial officer 10. At year-end 2025, Marriott managed the employment of about 414,000 associates, of whom about 148,000 it employs directly 3.

Rivals

Marriott names Hilton, IHG Hotels & Resorts, Hyatt, Wyndham, Accor, Choice and Best Western as competitors, plus Airbnb and Vrbo for short-term stays 3. It reports about a 17 percent share of U.S. hotel rooms and four percent outside the U.S. 3.

Current problems

Hotel owners are pressing Marriott on loyalty economics: the Wall Street Journal reported on June 16, 2026 that 51 owners with nearly 1,000 hotels sent a letter asking for more of the card income 9. The Middle East conflict cut RevPAR sharply there from March 2026, and Marriott said the effect continued into the third quarter 2.

Marriott says it is progressing in mediation with U.S. consumer plaintiffs in the Starwood data incident cases and believes it is probable that it will incur losses 2. The Canadian cases remain pending 2.

Debt and financing

Total debt was $16.9 billion at the end of the second quarter of 2026, against $0.5 billion of cash 1. On August 13, 2026 Marriott issued $250 million of Series NN Notes and $1,000 million of Series YY Notes 6. On September 23, 2026 it raised its revolving credit facility from $4.50 billion to $5.00 billion, with maturity extended to September 23, 2031 5.

The umbrella, in words

Marriott's main brands, grouped by tier in its annual report, are JW Marriott, The Ritz-Carlton, St. Regis, W, EDITION, Marriott Hotels, Sheraton, Westin, Courtyard, Fairfield, Residence Inn, AC Hotels, Moxy, Aloft and Gaylord Hotels 3. The annual report lists the whole portfolio 3.

Its subsidiaries exhibit lists operating and property entities across many countries, including Luxembourg, Bermuda and Canada, and leaves out joint ventures 16. The exhibit does not say which subsidiaries are listed companies, so none is named as listed here 16.

Marriott Vacations Worldwide is a licensee: it pays Marriott royalty fees, a fixed annual fee adjusted for inflation plus variable fees based on sales volumes 3. That is a contract, not a stake 3.

Other licences cover MGM Collection with Marriott Bonvoy, Design Hotels and The Ritz-Carlton Yacht Collection, under which Marriott receives royalty and other fees 3. In the Lefay joint venture, Marriott invested with the Leali family, and the ownership split is not stated in the sources read 7.

The proxy gives the combined beneficial ownership of J W Marriott Jr, Deborah Marriott Harrison and David S Marriott as 13.22 percent of outstanding shares as of March 1, 2026 12.

David S Marriott's own beneficial ownership is 28,310,277 shares, and J W Marriott Jr's is 30,840,908, both counted on March 1, 2026 and overlapping with the family figure 12. Each is a person's holding, not the company's 12.

The Vanguard Group reported 20,978,577 shares as of December 29, 2023, in a Schedule 13G/A filed February 13, 2024 12. BlackRock reported 15,212,482 shares as of December 31, 2023, in a Schedule 13G/A filed January 31, 2024 12.

Marriott lists one class of common stock, Class A, with 264,984,554 shares outstanding at January 31, 2026 3.

Marriott said on October 9, 2026 that it will report third quarter results on November 2, 2026, with a call at 8:00 in the morning Eastern Time led by Anthony Capuano and Jennifer Mason 4.

In its August 3, 2026 release, the company expects third quarter worldwide RevPAR growth of 3.5 to 4.0 percent and full-year growth of 3.0 to 3.5 percent 1. It expects net rooms growth at the low end of 4.5 to 5 percent by year-end 2026 1.

For full-year 2026 the company's outlook shows gross fee revenues of $6,025 million to $6,055 million, adjusted EBITDA of $5,965 million to $6,025 million and adjusted diluted earnings per share of $11.64 to $11.81 1. Adjusted EBITDA is earnings before interest, taxes, depreciation and amortization with the same exclusions as above 1.

The outlook assumes investment spending of $1,250 million to $1,350 million and capital return to shareholders of over $4,500 million for 2026 1. It excludes any other asset sales or property or brand acquisitions 1.

The development pipeline stood at 4,186 properties and about 629,000 rooms at June 30, 2026, with 1,757 properties and over 279,000 rooms under construction 1. Marriott's own wording counts conversions of existing hotels as part of what is under construction 1.

Hotel Dive reported on June 10, 2026 that Lefay's integration into Marriott's system is expected to be complete in late 2026 7. Hotel Dive reported on May 6, 2026 that Marriott would begin a phased rollout of natural language search on Marriott.com and its app in the second quarter 10.

Capuano said the benefit from the new U.S. co-branded card deals is expected to build as refreshed card products arrive 11. Doctor of Credit's summary of the call put the gain at about $30 million for the rest of this year and $100 million to $125 million by 2028 11.

Marriott said in its quarterly report that it is progressing in mediation with U.S. consumer plaintiffs over the Starwood data incident and that a final settlement is not yet recorded 2.