Marriott Int'l. (MAR) Tops Q3 EPS by 4c, Guides Q4 EPS In-Line at Mid-Point
Marriott Int'l. (NASDAQ: MAR) reported Q3 EPS of $0.65, $0.04 better than the analyst estimate of $0.61. Revenue for the quarter came in at $3.46 billion versus the consensus estimate of $3.43 billion.
Marriott Int'l. sees FY2014 EPS of $2.48-$2.52, versus prior guidance of $2.4-$2.51 and the consensus of $2.53.
Marriott Int'l. sees Q4 2014 EPS of $0.62-$0.66, versus the consensus of $0.64.
OUTLOOKFor the 2014 fourth quarter, the company expects comparable systemwide RevPAR on a constant dollar basis will increase 5 to 7 percent in North America, 4 to 6 percent outside North America and 5 to 7 percent worldwide.
The company anticipates gross room additions of 7 percent worldwide for the full year 2014 including the 10,016 rooms associated with the Protea acquisition. Net of deletions, the company expects its portfolio of rooms will increase by approximately 6 percent in 2014.
The company assumes full year fee revenue could total $1,714 million to $1,724 million, growth of 11 to 12 percent over 2013 fee revenue of $1,543 million.
For 2014, the company anticipates general, administrative and other expenses will total $654 million to $659 million, up 1 to 2 percent compared to 2013 expenses of $649 million.
Given these assumptions, 2014 diluted EPS could total $2.48 to $2.52, a 24 to 26 percent increase year-over-year. This full year EPS outlook includes the $0.07 of unfavorable adjustments reported in the second quarter.
Fourth Quarter 2014 | Full Year 2014 | |
Total fee revenue | $425 million to $435 million | $1,714 million to $1,724 million |
Owned, leased and other revenue, net of direct expenses | Approx. $65 million | Approx. $239 million |
Depreciation, amortization, and other expenses | Approx. $30 million | Approx. $146 million |
General, administrative, and other expenses | $175 million to $180 million | $654 million to $659 million |
Operating income | $280 million to $295 million | $1,148 million to $1,163 million |
Gains and other income | Approx. $3 million | Approx. $7 million |
Net interest expense1 | Approx. $20 million | Approx. $92 million |
Equity in earnings (losses) | Approx. $(2) million | Approx. $4 million |
Earnings per share | $0.62 to $0.66 | $2.48 to $2.52 |
For earnings history and earnings-related data on Marriott Int'l. (MAR) click here.