•
Mar 31, 2020

Marriott Q1 2020 Earnings Report

Marriott's first quarter earnings were significantly impacted by the COVID-19 pandemic, resulting in declines in RevPAR, net income, and EPS.

Key Takeaways

Marriott International's first quarter 2020 results were severely affected by the COVID-19 pandemic. Worldwide RevPAR declined 22.5%. Reported EPS was $0.09, and adjusted EPS was $0.26. Net income totaled $31 million, and adjusted EBITDA was $442 million. The company added over 14,500 rooms globally and increased net liquidity to approximately $4.3 billion.

Worldwide RevPAR decreased by 22.5% due to the COVID-19 pandemic.

Reported diluted EPS was $0.09, while adjusted diluted EPS was $0.26, including impairment charges, bad debt expense, and guarantee reserves.

Net income was $31 million, and adjusted net income was $85 million, including impairment charges, bad debt expense, and guarantee reserves.

Adjusted EBITDA totaled $442 million, including $79 million of bad debt expense and guarantee reserves.

Total Revenue
$4.68B
Previous year: $5.01B
-6.6%
EPS
$0.26
Previous year: $1.41
-81.6%
Worldwide RevPAR growth
-22.5%
Adjusted EBITDA
$442M
Previous year: $821M
-46.2%
Gross Profit
$532M
Previous year: $795M
-33.1%
Cash and Equivalents
$3.9B
Previous year: $258M
+1411.6%
Free Cash Flow
$455M
Previous year: $85M
+435.3%
Total Assets
$25.5B
Previous year: $24.7B
+3.2%

Marriott

Marriott

Marriott Revenue by Segment

Forward Guidance

Due to the numerous uncertainties associated with COVID-19, Marriott cannot presently estimate the financial impact of this unprecedented situation, which is highly dependent on the severity and duration of the pandemic and its impacts, but expects that COVID-19 will continue to be material to the company’s results.

Revenue & Expenses

Visualization of income flow from segment revenue to net income