This photo taken on January 11, 2018 shows a woman walking past Marriott signs in Hangzhou in the Chinese province of Zhejiang.
– | AFP | Getty Images
U.S. hotel operator Marriott International posted a larger-than-expected quarterly loss Monday as the coronavirus pandemic restricted worldwide travel and led to a downturn in room bookings.
Marriott’s shares, down 40.3% this year, fell 3.8% in premium trading, as the company also reported an 84.4% increase in revenue per available room (RevPAR) – a key performance measure for the hotelindustry.
However, Marriott said it now expects a slow increase in occupancy rates worldwide, although it may be a few years before it sees a return to COVID period demand levels, reflecting smaller rivals from Hilton last week.
“While our business remains deeply affected by COVID-19, we are seeing stable signs of demand returning,” Marriott Chief Executive Officer Arne Sorenson said in a statement.
For the full year, the company currently estimates that rooms could grow by 2 to 3 percent.
The company’s loss attributable to shareholders was $ 234 million, or 72 cents per share, in the second quarter ended June 30, compared to net income of $ 232 million, or 69 cents per share, a year earlier.
Marriott reported a quarter loss last quarter in 2011.
Total revenue fell 72.4% to $ 1.46 billion.
On a adjusted basis, Marriott reported a loss of $ 0.64 per share.
Analysts averaged an estimate of $ 1.68 billion and loss of $ 0.42 per share for the quarter, according to Refinitiv IBES data.
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