Marriott International, Inc. (MAR / NYSE) today reported diluted earnings per share of $1.60 for its fiscal year ended December 31, 1999, compared to $1.46 in 1998. Net income increased to $424 million in 1999 from $390 million in the preceding year, and sales totaled $8.7 billion, up 10 percent from
$8.0 billion a year ago.
Systemwide sales, which also include sales of managed and franchised properties, grew 11 percent to $17.7 billion in 1999.
Profit growth for 1999 was curtailed by preopening expenses and previously announced charges related to its senior living services business. Excluding the impact of these items, diluted earnings per share increased 16 percent in 1999, and net income was up
15 percent compared to 1998.
J.W. Marriott, Jr., chairman and chief executive officer of Marriott International, said he is very pleased with the company`s performance in 1999.
We achieved solid financial results, developed and opened a record number of new properties, and introduced several exciting new brands during the year, Mr. Marriott said. We also made major investments in the infrastructure which supports our worldwide operations.
Marriott International is in excellent position to achieve its long-term goals, including annual earnings growth in the mid-teens, Mr. Marriott added. We have the brands most preferred by travelers and hotel owners, as well as a talented, enthusiastic work force dedicated to customer service. Our worldwide reservations system, frequent guest program (Marriott Rewards), and Internet site (marriott.com) are among the best in the hotel industry, and our abundant cash flow enables us to invest significant capital in expanding our businesses and building our brands.
The company`s prospects are very bright, Mr. Marriott continued. We expect another strong performance in 2000 from Marriott Lodging, which will open its 2,000th hotel during the year. Our senior living and distribution services businesses also are poised to contribute to profit growth.
For the 1999 fourth quarter, Marriott International reported net income of $114 million and diluted earnings per share of 44 cents. Excluding the impact of the noncomparable items cited above, net income and diluted earnings per share rose 15 percent and
14 percent, respectively, in the quarter.
Sales totaled $2.8 billion in the 1999 fourth quarter, a gain of 11 percent compared to the 1998 quarter. Revenue per available room (REVPAR) for comparable company-operated U.S. hotels increased 4.6 percent in the quarter.