Marriott sees second quarter profit rise

Marriott sees second quarter profit rise

Marriott International has reported an increase in quarterly earnings in line with analyst estimates.

Maryland-based Marriott said second-quarter net income rose to $135 million, or 37 cents per share from $119 million, or 31 cents per share, in the same period a year ago.

According an analyst survey by Thomson Reuters I/B/E/S, Marriott was expected to earn 37 cents a share.

Revenue per available room, or revPAR, at Marriott was up 6.8 per cent in the quarter.

Marriott - which runs Marriott, Residence Inn and Ritz-Carlton hotels - forecast full year 2011 diluted earnings per share of $1.35 to $1.43.

J.W. Marriott, Jr, Marriott International chairman and chief executive officer, said: “Around the world, we’ve never been more excited about our opportunities.

“Now in 71 countries, the Marriott International brand portfolio, already the broadest in the industry, is growing rapidly.

“We expect to add over 200 hotels to our system in 2011, leveraging the hospitality and local know-how of our associates with our global size, systems, and guest loyalty programs.

“Emerging markets provide especially attractive opportunities. 

“In the past five years, we have increased our hotel distribution in Brazil, Russia, India and China at a 12 percent compound annual growth rate while tripling our development pipeline in those markets,” he concluded.

Marriott shares were 4.1 per cent lower at $35.60 in after-hours trading on Wednesday.

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