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Marriott chief hails consumers’ love of travel as revenues surpass pre-pandemic levels

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he is the boss Marriott welcomed the love of consumers to travel after the company posted earnings that topped analysts’ estimates and surpassed pre-pandemic levels.

The hotelier reported sales of $5.3bn (£4.4bn) in the second quarter of 2022, up 70% from a year earlier and slightly ahead of 2019 levels, with pre-tax profits above 870 million dollars.

Marriott CEO Anthony Capuano said, “Marriott’s second quarter results underscore consumers’ love of travel… as our loyal guests get back on the road.

“Momentum in the global housing recovery continued, with demand increasing across all customer segments throughout the quarter and nearly all countries easing travel restrictions. Looking ahead, we are optimistic about our financial outlook and strong cash flow.”

The company’s revenue per room was just 1% below pre-pandemic levels, while in Europe the figure was slightly ahead of 2019, fueled by a renaissance of international tourism. Room revenue in China remained less than half of 2019 levels amid the country’s continued travel restrictions and quarantine.

Capuano said Marriott is embarking on a $2.2 billion dividend and share buyback plan for 2022. The company expects to expand aggressively, with more than 200,000 rooms currently under construction, including five new all-inclusive resorts.

The results highlight a renewed enthusiasm among holidaymakers for international tourism as the outlook for the tourism industry picks up steam. Last month, British Airways owner IAG reported a 73% rise in sales from the previous quarter to £4.9 billion, while European low-cost airline Wizz Air said it carried 4.3 million passengers in June. which is more than double the figure of the previous year and increased by 5% compared to May figures.

Marriott’s results sent shares up 1.3% after markets opened in New York, while rivals Hilton and Hyatt rose 1.6% and 0.3%, respectively.

Marriott chief hails consumers’ love of travel as revenues surpass pre-pandemic levels

Source link Marriott chief hails consumers’ love of travel as revenues surpass pre-pandemic levels

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