Marriott International (MAR) Q3 2025 Financial Results Summary
Marriott International, Inc. (Nasdaq: MAR) reported its third quarter 2025 results on November 4, 2025. The report highlighted significant financial and operational metrics for the company, showcasing its ongoing growth and performance.
Key Financial Highlights:
- RevPAR (Revenue per Available Room):
- Increased 0.5% worldwide compared to Q3 2024.
- International markets experienced a growth of 2.6%.
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U.S. & Canada saw a 0.4% decline in RevPAR.
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Earnings Per Share (EPS):
- Reported diluted EPS was $2.67, increasing by 29% from $2.07 in Q3 2024.
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Adjusted diluted EPS was $2.47, up 9% from $2.26 in the same quarter the previous year.
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Net Income:
- Reported net income totaled $728 million, reflecting a 25% increase compared to $584 million in Q3 2024.
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Adjusted net income was $674 million, a 6% increase from $638 million year-over-year.
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Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization):
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Amounted to $1,349 million, a 10% increase compared to $1,229 million in Q3 2024.
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Room Growth:
- Approximately 17,900 net rooms were added during the quarter.
- Net room growth stood at 4.7% from the end of Q3 2024.
Revenue Breakdown:
- Base Management and Franchise Fees:
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Reached $1,190 million, marking a climbing by 6% from $1,124 million in the prior year.
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Incentive Management Fees:
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Totaled $148 million, down 7% compared to $159 million in Q3 2024.
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Owned, Leased, and Other Revenue:
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Increased to $94 million from $81 million in Q3 2024, showcasing an increase of 16%.
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General, Administrative, and Other Expenses:
- Dropped to $234 million, down 15% from $276 million in the same quarter last year.
Share Repurchase Program:
- The company repurchased 3.0 million shares of common stock at a total cost of $0.8 billion for the third quarter of 2025.
- Year-to-date, Marriott has returned approximately $3.1 billion to shareholders through dividends and share repurchases.
Development Pipeline:
- Marriott’s worldwide development pipeline reached a record high of 3,923 properties with over 596,000 rooms.
- Included in this pipeline are 1,536 properties with more than 250,000 rooms currently under construction.
Future Outlook:
- Marriott expects comparable systemwide constant dollar RevPAR growth for Q4 2025 to be between 1.0% to 2.0% and for the full year 2025 in the range of 1.5% to 2.5%.
- Net rooms growth is projected to approach 5% for the full year 2025.
Conclusion
Marriott International’s third quarter results reflect a solid performance with growth in several key metrics compared to the previous year. The company’s share repurchase activity and expansion of its development pipeline highlight confidence in its future growth trajectory as it continues to adapt to the evolving market conditions.
MARRIOTT INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF INCOME – AS REPORTED
THIRD QUARTER 2025 AND 2024
($ in millions except per share amounts, unaudited)
| REVENUES | Three Months Ended September 30, 2025 | Three Months Ended September 30, 2024 | Percent Better/(Worse) |
|---|---|---|---|
| Base management fees | $314 | $312 | 1 |
| Franchise fees1 | $876 | $812 | 8 |
| Incentive management fees | $148 | $159 | -7 |
| Gross fee revenues | $1,338 | $1,283 | 4 |
| Contract investment amortization2 | -$29 | -$26 | -12 |
| Net fee revenues | $1,309 | $1,257 | 4 |
| Owned, leased, and other revenue3 | $420 | $381 | 10 |
| Cost reimbursement revenue4 | $4,760 | $4,617 | 3 |
| $6,489 | $6,255 | 4 | |
| OPERATING COSTS AND EXPENSES | |||
| Owned, leased, and other – direct5 | $326 | $300 | -9 |
| Depreciation, amortization, and other6 | $50 | $45 | -11 |
| General, administrative, and other7 | $234 | $276 | 15 |
| Restructuring and merger-related | -$40 | $9 | 544 |
| (recoveries) charges, and other | |||
| Reimbursed expenses4 | $4,739 | $4,681 | -1 |
| $5,309 | $5,311 | 0 | |
| OPERATING INCOME | $1,180 | $944 | 25 |
| Gains and other income, net8 | $3 | $7 | -57 |
| Interest expense | -$206 | -$179 | -15 |
| Interest income | $12 | $11 | 9 |
| Equity in earnings9 | $5 | $3 | 67 |
| INCOME BEFORE INCOME TAXES | $994 | $786 | 26 |
| Provision for income taxes | -$266 | -$202 | -32 |
| NET INCOME | $728 | $584 | 25 |
| EARNINGS PER SHARE | |||
| Earnings per share – basic | $2.68 | $2.08 | 29 |
| Earnings per share – diluted | $2.67 | $2.07 | 29 |
| Basic shares | 271.8 | 281.5 | |
| Diluted shares | 272.5 | 282.4 |
MARRIOTT INTERNATIONAL, INC.
CONSOLIDATED BALANCE SHEETS
($ in millions)
| ASSETS | September 30, 2025 | December 31, 2024 |
|---|---|---|
| Current Assets | ||
| Cash and cash equivalents | $700 | $400 |
| Accounts receivable | $1,237 | $1,049 |
| Inventories | $27 | $25 |
| Prepaid expenses | $142 | $123 |
| Total current assets | $2,106 | $1,597 |
| Non-current Assets | ||
| Property and equipment, net | $3,081 | $2,543 |
| Goodwill | $816 | $816 |
| Other intangible assets | $1,317 | $1,292 |
| Deferred tax assets | $292 | $275 |
| Total non-current assets | $5,506 | $4,926 |
| TOTAL ASSETS | $7,612 | $6,523 |
| LIABILITIES | ||
| Current Liabilities | ||
| Accounts payable | $509 | $467 |
| Accrued liabilities | $622 | $663 |
| Long-term financing receivables | $65 | $60 |
| Total current liabilities | $1,196 | $1,190 |
| Non-current Liabilities | ||
| Long-term debt | $16,000 | $14,400 |
| Other liabilities | $251 | $260 |
| Total non-current liabilities | $16,251 | $14,660 |
| TOTAL LIABILITIES | $17,447 | $15,850 |
| STOCKHOLDERS’ EQUITY | ||
| Common stock and additional paid-in capital | $314 | $305 |
| Retained earnings | $2,051 | $2,070 |
| Accumulated other comprehensive income | -$87 | -$86 |
| Total stockholders’ equity | $2,278 | $2,289 |
| TOTAL LIABILITIES AND | ||
| STOCKHOLDERS’ EQUITY | $7,612 | $6,523 |
