By Connor Hart

Marriott International's profit fell in the fourth quarter, though increased prices and occupancy, as well as strong demand for international travel, drove revenue higher.

The Bethesda, Md., hotel operator on Tuesday reported a profit of $455 million, or $1.63 a share, compared with $848 million, or $2.87 a share, in last year's quarter.

Adjusted per-share earnings were $2.45, beating the $2.39 that analysts polled by FactSet had forecast.

Revenue increased 5.5% to $6.43 billion, in line with analyst expectations, according to FactSet.

Revenue per available room, or RevPAR, an important performance metric in the hospitality industry, increased 5% worldwide, boosted by 4.1% growth in the U.S. and Canada and a 7.2% rise in international markets.

Chief Executive Anthony Capuano attributed the increase to higher average daily rates and occupancy. The company benefited from strong international leisure demand in Asia-Pacific, as well as Europe, the Middle East and Africa, he added.

Capuano said the company's development team signed a record number of new deals in 2024, bringing its development pipeline to more than 577,000 rooms at the end of the year. "Looking ahead, I am incredibly optimistic about Marriott's future," he said.

In the first quarter, Marriott expects adjusted per-share earnings of $2.20 to $2.26, missing the $2.37 that analysts polled by FactSet had modeled. It guided for RevPAR to grow 3% to 4%.

For 2025, the company forecasts adjusted per-share earnings between $9.82 and $10.19, also below the $10.64 that analysts are looking for. Worldwide RevPAR is expected to increase 2% to 4%.

Shares fell 3% to $295.38, in premarket trading.

Write to Connor Hart at connor.hart@wsj.com

(END) Dow Jones Newswires

February 11, 2025 07:43 ET (12:43 GMT)

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