Marriott revenue, FY forecast miss estimates on weak demand

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Marriott revenue, FY forecast miss estimates on weak demand
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Marriott International Inc on Thursday missed Wall Street estimates for quarterl...

- Marriott International Inc on Thursday missed Wall Street estimates for quarterly revenue and forecast a lower-than-expected full-year profit, blaming weak demand in North America, its largest market.

Marriott’s revPAR growth - a key measure of hotel health - during the fourth quarter was hurt by labor strikes in eight markets in North America and weaker-than-expected demand for the industry. The hotel operator’s worldwide RevPAR growth of 1.3 percent in the fourth quarter missed analysts’ expectations of 2.04 percent.The world’s largest hotel chain lowered its full-year worldwide revPAR forecast between 1 percent and 3 percent, from a previously announced range of 2 percent to 3 percent.

The company also said North America’s RevPAR to grow in the range of 1 percent to 2 percent in the current quarter, reflecting the impact of the government shutdown offset by a favorable calendar comparison.

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