Marriott International Reports Third Quarter 2026 Results
1 increased 6.5 percent worldwide, with 7.4 percent growth in the U.S. & Canada and 4.4 percent
The company added roughly 20,100 net rooms globally during the quarter and net rooms grew 4.6 percent from the end of the third quarter of 2025
• At the end of the quarter, Marriott’s worldwide development pipeline reached a new record and totaled over 4,200 properties and more than 634,000 rooms, with 44 percent of pipeline rooms under construction including hotels that are pending conversion
The company repurchased 3.5 million shares of common stock for $1.3 billion in the
. Year-to-date through October 28, the company has returned approximately $4.0 billion to shareholders through dividends and share repurchases
Fo r a summary of third quarter 2026 highlights, please visit: https://news.marriott.com/static-assets/component- resources/newscenter/earnings/2026/2026-q3-earnings-infographic.pdf
Anthony Capuano, President and Chief Executive Officer, said, “Our excellent third quarter results reflected continued momentum across our business, the benefits of our global scale, and the power of our brands and revenue engines. Global RevPAR increased 6.5 percent in the third quarter, on higher ADR and occupancy. In the U.S. & Canada, RevPAR rose over 7 percent, with broad-based growth across customer segments and chain scales.
“International RevPAR increased over 4 percent in the quarter, led by APEC, which delivered over 9
1 All occupancy, Average Daily Rate (ADR) and Revenue per Available Room (RevPAR) statistics and estimates are systemwide constant dollar. Unless otherwise stated, all changes refer to year-over-year changes for the comparable period. Occupancy, ADR and RevPAR comparisons between 2026 and 2025 reflect properties that are comparable in both years. 1 percent RevPAR growth, supported by robust international inbound demand. EMEA RevPAR rose over 4 percent, thanks to solid growth in Europe. While the ongoing conflict in the Middle East continued to impact results in that region, trends improved meaningfully from the second quarter. For full year 2026, given our strong third quarter performance and expectations for continued healthy demand, we are raising our global RevPAR outlook and now expect growth of 4.5 to 5 percent.
“Our development activity remained strong, and we had record global organic signings year to date through September. Conversions continued to be an important driver of growth, representing over a third of signings and over 40 percent of openings during the first nine months of the year.
“Marriott Bonvoy continued to expand its reach and deliver value to our owners and properties and across the enterprise. Our broad portfolio of brands and experiences and powerful collaborations with Uber, Starbucks and others helped drive membership to approximately 309 million members around the world at quarter-end.
“Our global scale, compelling portfolio of brands, industry-leading Marriott Bonvoy loyalty program and dedicated associates, together with our robust development pipeline and disciplined execution, give us confidence in our ability to deliver sustainable, long-term growth.”
Franchise and base management fees totaled $1,341 million in the 2026 third quarter, a 13 percent increase compared to franchise and base management fees of $1,190 million in the year-ago quarter. The increase was primarily driven by higher co-branded credit card fees, higher RevPAR and rooms growth.
Incentive management fees totaled $181 million in the 2026 third quarter, a 22 percent increase over $148 million in the 2025 third quarter. All regions posted positive growth year over year, with incentive fees in the U.S. & Canada up meaningfully.
Owned, leased, and other revenue, net of owned, leased, and other expense 2 , totaled $41 million in the 2026 third quarter, compared to $70 million in the 2025 third quarter. The decline reflected lower owned and leased hotel results, including the impact of renovations and our 2026 second quarter sale of a U.S. & Canada hotel, and higher costs associated with a third-party agreement, partially offset by a $12 million expected insurance recovery associated with the 2026 second quarter property-related litigation matter ($9 million after-tax impact and $0.03 per share after-tax).
2 In the 2025 fourth quarter, to enhance understanding of the company’s general and administrative costs, we reclassified amounts attributable to other expenses previously reported under the “General, administrative, and other” caption to the “Owned, leased, and other expense” caption of our Income Statements. Please see the Income Statement Reclassification section of this press release for additional information. 2 General and administrative expenses 2 for the 2026 third quarter totaled $214 million, compared to $210 million in the year-ago quarter.
Interest expense, net, totaled $219 million in the 2026 third quarter, compared to $194 million in the year-ago quarter. The increase was primarily due to higher interest expense associated with higher debt balances.
In the 2026 third quarter, the provision for income taxes totaled $266 million, flat compared to the year-ago quarter.
Ma rriott’s reported operating income totaled $1,274 million in the 2026 third quarter, compared to 2025 third quarter reported operating income of $1,180 million. Reported net income totaled $794 million in the 2026 third quarter, a 9 percent increase compared to 2025 third quarter reported net income of $728 million. Reported diluted earnings per share (EPS) totaled $3.04 in the quarter, compared to reported diluted EPS of $2.67 in the year-ago quarter.
Adjusted operating income in the 2026 third quarter totaled $1,267 million, compared to 2025 third quarter Adjusted operating income of $1,119 million. Third quarter 2026 Adjusted net income totaled $790 million, compared to 2025 third quarter Adjusted net income of $674 million. Adjusted diluted EPS in the 2026 third quarter totaled $3.02, compared to Adjusted diluted EPS of $2.47 in the year-ago quarter.
Third quarter 2026 Adjusted results excluded cost reimbursement revenue, reimbursed expenses, and certain impairment charges. See the press release schedules for the calculation of Adjusted results and the manner in which the Adjusted measures are determined in this press release.
Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) totaled $1,512 million in the 2026 third quarter, a 12 percent increase compared to third quarter 2025 Adjusted EBITDA of $1,349 million. S ee the press release schedules for the Adjusted EBITDA calculation.
In the 2025 fourth quarter, to enhance understanding of the company’s general and administrative costs, we reclassified amounts attributable to other expenses previously reported under the “General, administrative, and other” caption to the “Owned, leased, and other expense” caption of our Income Statements. The expenses that were reclassified from “General, administrative, and other” are certain costs associated with our property-related fee revenues, such as guarantee expense, provision for credit losses, and certain brand-related or property-related expenses, as well as costs associated with certain third-party agreements. Please refer to the Expense Captions - As Reclassified section in the 3 press release schedules for information about the affected expense captions, as reclassified, for each quarter and the full fiscal year of 2025.
The company added roughly 20,100 net rooms during the quarter, including over 13,400 net rooms in international markets. At the end of the quarter, Marriott’s global system totaled over 10,200 properties, with nearly 1,834,000 rooms.
At the end of the quarter, the company’s worldwide development pipeline totaled 4,209 properties with more than 634,000 rooms, including 266 properties with over 37,000 rooms approved for development but not yet subject to signed contracts. The quarter-end pipeline included 1,750 properties with over 278,000 rooms under construction, including hotels that are in the process of converting to our system. Over half of the rooms in the quarter-end pipeline were located in international markets.
In the 2026 third quarter, worldwide RevPAR increased 6.5 percent (a 6.4 percent increase using actual dollars) compared to the 2025 third quarter. RevPAR in the U.S. & Canada increased 7.4 percent (a 7.3 percent increase using actual dollars), and RevPAR in international markets increased 4.4 percent (a 4.4 percent increase using actual dollars) compared to the 2025 third quarter.
At the end of the quarter , Marriott’s total debt was $16.8 billion and cash and equivalents totaled $0.5 billion, compared to $16.2 billion in d ebt and $0.4 billion of cash and equivalents at year-end 2025.
The company repurchased 3.5 million shares of common stock in the 2026 third quarter for $1.3 billion. Year-to-date through October 28, the company has repurchased 9.6 million shares for $3.4 billion.
During the 2026 third quarter, the company issued $250 million of Series NN Senior Notes due in 2029 with a 4.875 percent interest rate coupon and $1.0 billion of Series YY Senior Notes due in 2036 with a 5.650 percent interest rate coupon. The company also completed the refinancing of its credit facility, extending the maturity to September 2031 and increasing the facility size from $4.5 billion to $5.0 billion. 4
The company's updated outlook generally assumes the continuation of the current macroeconomic environment.
Fourth Quarter 2026 Full Year 2026 vs. Fourth Quarter 2025 vs. Full Year 2025 Worldwide RevPAR growth 4.5% to 5.0% 4.5% to 5.0%
($ in millions, except EPS) Fourth Quarter 2026 Full Year 2026 Gross fee revenues $1,604 to $1,612 $6,137 to $6,145 Owned, leased, and other revenue, net of $47 to $52 $170 to $175 owned, leased, and other expense General and administrative $237 to $227 $890 to $880 expenses Adjusted EBITDA1,2 $1,573 to $1,596 $6,075 to $6,098 Adjusted EPS – diluted2,3 $3.14 to $3.21 $12.07 to $12.14 Adjusted effective tax rate2 Approx. 26.5% Approx. 26.0% Investment spending4 $1,250 to $1,350 Capital return to shareholders5 At least $4,800
2 Adjusted EBITDA, Adjusted EPS – diluted, and Adjusted effective tax rate for fourth quarter and full year 2026 do not include cost reimbursement revenue, reimbursed expenses, and restructuring and merger-related recoveries/charges, and other expenses, each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant. Our outlook includes the impact of our sale of a U.S. & Canada hotel and our investment in Lefay, each of which occurred in the 2026 second quarter, and our planned sale of a U.S. & Canada hotel, which we assume will occur in the 2026 fourth quarter. Our outlook excludes any other potential asset sales or property or brand acquisitions that may occur during the year, each of which the company cannot forecast with sufficient accuracy and without unreasonable efforts, and which may be significant. In addition, our full year 2026 outlook excludes the adjustments from the 2026 first three quarters related to the Sonder termination of $2 million, an adjustment to a gain on an asset disposition of $(8) million, and asset impairment charges of $(74) million.
4 Investment spending includes contract acquisition costs, capital and technology expenditures (including renovations at owned and leased hotels), loan advances, and other investing activities (including our investment in Lefay, which occurred in the 2026 second quarter), but excluding any potential property or brand acquisitions, which we cannot forecast with sufficient accuracy and which may be significant.
5 Assumes the level of investment spending noted above and that no other asset sales, property acquisitions or brand acquisitions occur during the year. 5 Marriott International, Inc. (Nasdaq: MAR) will conduct its quarterly earnings review for the investment community and news media on Monday, November 2, 2026, at 8:00 a.m. Eastern Time (ET). The conference call will be webcast simultaneously via Marriott’s investor relations website at www.marriott.com/investor (click on “Events & Presentations” and click on the quarterly conference call link). A replay will be available at that same website until November 2, 2027.
Note on forward-looking statements: All statements in this press release and the accompanying schedules are made as of November 2, 2026. We undertake no obligation to publicly update or revise these statements, whether as a result of new information, future events or otherwise. This press release and the accompanying schedules contain "forward-looking statements" within the meaning of federal securities laws, including statements related to our RevPAR, rooms growth and other financial metric estimates, outlook and assumptions; shareholder returns; our growth prospects; our development pipeline; our Marriott Bonvoy loyalty program; property performance; our expectations about the current macroeconomic environment; our planned hotel sale; and similar statements concerning anticipated future events and expectations that are not historical facts. We caution you that these statements are not guarantees of future performance and are subject to numerous evolving risks and uncertainties that we may not be able to accurately predict or assess, including the risk factors that we describe in our U.S. Securities and Exchange Commission filings, including our most recent Annual Report on Form 10-K or Quarterly Report on Form 10-Q. Any of these factors could cause actual results to differ materially from the expectations we express or imply in this press release.
(Nasdaq: MAR) is based in Bethesda, Maryland, USA, and encompasses a portfolio of compelling brands across luxury, premium, select, midscale, extended stay, and all-inclusive, w ith over 10,200 properties in 148 c ountries and territories, as of September 30, 2026. Marriott franchises, operates, and licenses hotel, residential, timeshare, yacht, outdoor, and other lodging products all around the world. The company offers Marriott Bonvoy®, its highly awarded travel platform. Fo r more information, please visit our website at www.marriott.com , and for the latest company news, visit www.marriottnewscenter.com . I n addition, connect with us on Facebook and @MarriottIntl on X and Instagram .
Marriott encourages investors, the media, and others interested in the company to review and subscribe to the information Marriott posts on its investor relations website at www.marriott.com/investor or Marriott’s news center website at www.marriottnewscenter.com , which may be material. The contents of these websites are not incorporated by reference into this press release or any report or document Marriott files with the U.S. Securities and Exchange Commission, and any references to the websites are intended to be inactive textual references only. 6
MEDIA & INVESTOR RELATIONS CONTACTS: Melissa Froehlich Flood Senior Vice President, Global Corporate Communications & Public Policy Marriott International newsroom@marriott.com Jackie Burka McConagha Senior Vice President, Investor Relations Marriott International jackie.mcconagha@marriott.com Pilar Fernandez Senior Director, Investor Relations Marriott International pilar.fernandez@marriott.com
MARRIOTT INTERNATIONAL, INC. PRESS RELEASE SCHEDULES TABLE OF CONTENTS QUARTER 3, 2026 Consolidated Statements of Income A-2 Non-GAAP Financial Measures A-4 Expense Captions - As Reclassified A-5 Total Lodging Products by Ownership Type A-6 Total Lodging Products by Tier A-8 Key Lodging Statistics A-10 Adjusted EBITDA A-14 Adjusted EBITDA Forecast - Fourth Quarter 2026 A-15 Adjusted EBITDA Forecast - Full Year 2026 A-16 Explanation of Non-GAAP Financial and Performance A-17 Measures
MARRIOTT INTERNATI… INC. CONSOLIDA… STATEMENTS OF INCOME THIRD QUARTER 2026 AND 2025 ($ in millions except per Three share Months Three Months Percent amounts, Ended Ended Better/(Wo… unaudited) September September 2026 vs. REVENUES 30, 2026 30, 2025 2025 ────────────────────────────────────────────────────────────────────────────── Franchise $ 1,007 $ 876 15 fees1 Base management 334 314 6 fees Incentive management 181 148 22 fees Gross fee 1,522 1,338 14 revenues Contract investment -33 -29 -14 amortizat… Net fee 1,489 1,309 14 revenues Owned, leased, 436 420 4 and other revenue3 Cost reimburse… 5,080 4,760 7 revenue4 7,005 6,489 8 OPERATING COSTS AND EXPENSES Owned, leased, 395 350 -13 and other expense5* Depreciat… amortizat… 55 50 -10 and other6 General and 214 210 -2 administr… Restructu… and merger-re… — -40 -100 recoverie… and other Reimbursed 5,067 4,739 -7 expenses4 5,731 5,309 -8 OPERATING 1,274 1,180 8 INCOME Gains and other 4 3 33 income, net8 Interest -227 -206 -10 expense Interest 8 12 -33 income Equity in 1 5 -80 earnings9 INCOME BEFORE 1,060 994 7 INCOME TAXES Provision for income -266 -266 0 taxes NET INCOME $ 794 $ 728 9 EARNINGS PER SHARE Earnings per share $ 3.05 $ 2.68 14 - basic Earnings per share $ 3.04 $ 2.67 14 - diluted Basic shares (in 260.6 271.8 millions) Diluted shares (in 261.2 272.5 millions) *The 2025 third quarter reflects the reclassif… of $24 million of other expenses previously reported under the “General, administr… and other” caption to the “Owned, leased, and other expense” caption of our Income Statements to conform to our current presentat… 1Franchise feesinclu… fees from our franchise and license agreements for lodging properties (including our timeshare propertie… applicati… and relicensi… fees, co-branded credit card fees, residenti… branding fees, and other brand-rel… fees. 2Contract investment amortizat… amortizat… of capitaliz… costs to obtain contracts with customers and any related impairmen… 3Owned, leased, and other revenuein… revenue from the properties we own or lease, terminati… fees, and other revenue. 4Cost reimburse… revenuein… reimburse… from hotel owners and certain other counterpa… for property-… and centraliz… programs and services that we operate for their benefit.R… expensesi… costs incurred by Marriott for certain property-… operating expenses and centraliz… programs and services that we operate for the benefit of our hotel owners and certain other counterpa… 5Owned, leased, and other expensein… operating expenses related to our owned or leased hotels, including lease payments and pre-openi… expenses, and other expenses, such as expenses related to our Global Design services, certain costs associated with our property-… fee revenues (such as guarantee expense, provision for credit losses, and certain brand-rel… or property-… expenses), and costs associated with certain third-par… agreement… 6Deprecia… amortizat… and otherexpe… include depreciat… for fixed assets, amortizat… of acquired contracts, software, and other definite-… intangible assets, and any related impairmen… accelerat… or write-off… 7General and administr… include our corporate and business segments overhead costs and general expenses. 8Gains and other income, netinclud… gains and losses on the sale of real estate, the sale of joint venture interests and other investmen… and adjustmen… from other equity investmen… 9Equity in earningsi… our equity in earnings or losses of unconsoli… equity method investmen…
MARRIOTT INTERNATI… INC. CONSOLIDA… STATEMENTS OF INCOME THIRD QUARTER YEAR-TO-D… 2026 AND 2025 ($ in millions except per share Nine Months Nine Months Percent amounts, Ended Ended Better/(Wo… unaudited) September September 2026 vs. REVENUES 30, 2026 30, 2025 2025 ────────────────────────────────────────────────────────────────────────────── Franchise $ 2,902 $ 2,482 17 fees1 Base management 1,016 979 4 fees Incentive management 615 552 11 fees Gross fee 4,533 4,013 13 revenues Contract investment -99 -86 -15 amortizat… Net fee 4,434 3,927 13 revenues Owned, leased, 1,314 1,222 8 and other revenue3 Cost reimburse… 14,982 14,347 4 revenue4 20,730 19,496 6 OPERATING COSTS AND EXPENSES Owned, leased, 1,189 1,045 -14 and other expense5* Depreciat… amortizat… 224 154 -45 and other6 General and 653 629 -4 administr… Restructu… and merger-re… -6 -31 -81 recoverie… and other Reimbursed 15,103 14,335 -5 expenses4 17,163 16,132 -6 OPERATING 3,567 3,364 6 INCOME Gains and other 18 6 200 income, net8 Interest -662 -601 -10 expense Interest 38 33 15 income Equity in 1 10 -90 earnings9 INCOME BEFORE 2,962 2,812 5 INCOME TAXES Provision for income -754 -656 -15 taxes NET INCOME $ 2,208 $ 2,156 2 EARNINGS PER SHARE Earnings per share $ 8.38 $ 7.86 7 - basic Earnings per share $ 8.36 $ 7.84 7 - diluted Basic shares (in 263.5 274.3 millions) Diluted shares (in 264.2 275.0 millions) * The 2025 first three quarters reflects the reclassif… of $95 million of other expenses previously reported under the “General, administr… and other” caption to the “Owned, leased, and other expense” caption of our Income Statements to conform to our current presentat… 1Franchise feesinclu… fees from our franchise and license agreements for lodging properties (including our timeshare propertie… applicati… and relicensi… fees, co-branded credit card fees, residenti… branding fees, and other brand-rel… fees. 2Contract investment amortizat… amortizat… of capitaliz… costs to obtain contracts with customers and any related impairmen… 3Owned, leased, and other revenuein… revenue from the properties we own or lease, terminati… fees, and other revenue. 4Cost reimburse… revenuein… reimburse… from hotel owners and certain other counterpa… for property-… and centraliz… programs and services that we operate for their benefit.R… expensesi… costs incurred by Marriott for certain property-… operating expenses and centraliz… programs and services that we operate for the benefit of our hotel owners and certain other counterpa… 5Owned, leased, and other expensein… operating expenses related to our owned or leased hotels, including lease payments and pre-openi… expenses, and other expenses, such as expenses related to our Global Design services, certain costs associated with our property-… fee revenues (such as guarantee expense, provision for credit losses, and certain brand-rel… or property-… expenses), and costs associated with certain third-par… agreement… 6Deprecia… amortizat… and otherexpe… include depreciat… for fixed assets, amortizat… of acquired contracts, software, and other definite-… intangible assets, and any related impairmen… accelerat… or write-off… 7General and administr… include our corporate and business segments overhead costs and general expenses. 8Gains and other income, netinclud… gains and losses on the sale of real estate, the sale of joint venture interests and other investmen… and adjustmen… from other equity investmen… 9Equity in earningsi… our equity in earnings or losses of unconsoli… equity method investmen…
MARRIOTT INTERNATIONAL, INC. EXPENSE CAPTIONS - AS RECLASSIFIED QUARTERLY AND FULL YEAR 2025 ($ in millions) In the 2025 fourth quarter, to enhance understanding of the company’s general and administrative costs, we reclassified amounts attributable to other expenses previously reported under the “General, administrative, and other” caption to the “Owned, leased, and other expense” caption of our Income Statements. The expenses that were reclassified from “General, administrative, and other” are certain costs associated with our property-related fee revenues, such as guarantee expense, provision for credit losses, and certain brand-related or property-related expenses, as well as costs associated with certain third-party agreements. The following table includes the affected expense captions, as reclassified, for each quarter and the full fiscal year of 2025.
MARRIOTT INTERNATIONAL, INC. NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA ($ in millions)
†Denotes non-GAAP financial measures. Please see the Explanation of Non-GAAP Financial and Performance Measures section in these press release schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. 1Includes an asset impairment charge of $68 million in the 2026 second quarter and $6 million in the 2026 third quarter related to the sale and planned sale of two U.S. & Canada hotels.
MARRIOTT INTERNATIO… INC. NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA FORECAST FOURTH QUARTER Range 2026 Estimated ($ in Fourth Fourth millions) Quarter 2026 Quarter 2025 ────────────────────────────────────────────────────────────────────────────── Net income excluding $ 813 $ 830 certain items1 Interest 229 229 expense Interest expense from 2 2 unconsolid… joint ventures Provision for income 294 300 taxes Depreciati… amortizati… 50 50 and other Contract investment 37 37 amortizati… Depreciati… and amortizati… classified 79 79 in reimbursed expenses Depreciati… amortizati… and impairments 5 5 from unconsolid… joint ventures Stock-based 64 64 compensati… Adjusted $ 1,573 $ 1,596 $ 1,402 EBITDA† Increase over 2025 12 % 14 % Adjusted EBITDA† †Denotes non-GAAP financial measures. Please see the Explanation of Non-GAAP Financial and Performance Measures section in these press release schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. 1Forecast excludes cost reimbursem… revenue, reimbursed expenses, and restructur… and merger-rel… charges/re… and other expenses, each of which the company cannot forecast with sufficient accuracy and without unreasonab… efforts, and which may be significan… except for depreciati… and amortizati… classified in reimbursed expenses, which is included in the caption "Depreciat… and amortizati… classified in reimbursed expenses" above. Forecast includes the impact of our sale of a U.S. & Canada hotel and our investment in Lefay, each of which occurred in the 2026 second quarter, and our planned sale of a U.S. & Canada hotel, which we assume will occur in the 2026 fourth quarter. Forecast does not reflect any other potential asset sales or property or brand acquisitio… that may occur during the year, each of which the company cannot forecast with sufficient accuracy and without unreasonab… efforts, and which may be significan…
MARRIOTT INTERNATIO… INC. NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA FORECAST FULL YEAR Range 2026 Estimated ($ in Full Year Full Year millions) 2026 2025 ────────────────────────────────────────────────────────────────────────────── Net income excluding $ 3,112 $ 3,129 certain items1, 2 Interest 891 891 expense Interest expense from 7 7 unconsolid… joint ventures Provision for income 1,072 1,078 taxes Depreciati… amortizati… 274 274 and other2 Contract investment 136 136 amortizati… Depreciati… and amortizati… classified 306 306 in reimbursed expenses Depreciati… amortizati… and impairments 19 19 from unconsolid… joint ventures Stock-based 252 252 compensati… Adjustments related to -2 -2 Sonder Termination Adjustment to gain on investee’s 8 8 asset disposition Adjusted $ 6,075 $ 6,098 $ 5,383 EBITDA† Increase over 2025 13 % 13 % Adjusted EBITDA† †Denotes non-GAAP financial measures. Please see the Explanation of Non-GAAP Financial and Performance Measures section in these press release schedules for information about our reasons for providing these alternative financial measures and the limitations on their use. 1Forecast excludes cost reimbursem… revenue, reimbursed expenses, and restructur… and merger-rel… charges/re… and other expenses, each of which the company cannot forecast with sufficient accuracy and without unreasonab… efforts, and which may be significan… except for depreciati… and amortizati… classified in reimbursed expenses, which is included in the caption "Depreciat… and amortizati… classified in reimbursed expenses" above. Forecast includes the impact of our sale of a U.S. & Canada hotel and our investment in Lefay, each of which occurred in the 2026 second quarter, and our planned sale of a U.S. & Canada hotel, which we assume will occur in the 2026 fourth quarter. Forecast does not reflect any other potential asset sales or property or brand acquisitio… that may occur during the year, each of which the company cannot forecast with sufficient accuracy and without unreasonab… efforts, and which may be significan… 2Includes $74 million of asset impairment charges recognized during the 2026 first three quarters related to the sale and planned sale of two U.S. & Canada hotels.
In our press release and schedules, on the related conference call, and in the infographic made available in connection with our press release, we report certain financial measures that are not required by, or presented in accordance with, United States generally accepted accounting principles (
). These non-GAAP financial measures are labeled as “Adjusted” and/or identified with the symbol “†”. We discuss the manner in which the non-GAAP measures reported in this press release, schedules, and infographic are determined and management’s reasons for reporting these non-GAAP measures below, and the press release schedules reconcile each to the most directly comparable GAAP measures (with respect to the forward-looking non-GAAP measures, to the extent available without unreasonable efforts). Although management evaluates and presents these non-GAAP measures for the reasons described below, please be aware that these non-GAAP measures have limitations and should not be considered in isolation or as a substitute for revenue, operating income, net income, earnings per share, or any other comparable operating measure prescribed by GAAP. In addition, we may calculate and/or present these non-GAAP financial measures differently than measures with the same or similar names that other companies report, and as a result, the non-GAAP measures we report may not be comparable to those reported by others.
Adjusted Operating Income and Adjusted Operating Income Margin. Adjusted operating income excludes cost reimbursement revenue, reimbursed expenses, and restructuring and merger-related charges/recoveries, and other expenses. When applicable, Adjusted operating income also excludes certain non-cash impairment charges as well as impairment charges and expenses/adjustments related to the Sonder Termination. Adjusted total revenues excludes cost reimbursement revenue as well as, when applicable, certain non-cash impairment charges and impairment charges related to the Sonder Termination. Adjusted operating income margin reflects Adjusted operating income divided by Adjusted total revenues. We believe that these are meaningful metrics because they allow for period-over- period comparisons of our ongoing operations before these items and for the reasons further described below.
Adjusted Net Income, Adjusted Diluted Earnings Per Share, and Adjusted Effective Tax Rate. Adjusted net income, Adjusted diluted earnings per share, and Adjusted effective tax rate reflect our net income, diluted earnings per share, and effective tax rate, respectively, excluding the impact of cost reimbursement revenue, reimbursed expenses, restructuring and merger-related charges/recoveries, and other expenses, as well as, when applicable, certain non-cash impairment charges, gains and losses on asset dispositions made by us or by our joint venture investees (if above a specified threshold), and impairment charges and expenses/adjustments related to the Sonder Termination. Additionally, Adjusted net income, Adjusted diluted earnings per share, and Adjusted effective tax rate exclude the income tax effect of the above items (calculated using an estimated tax rate applicable to each item) and income tax special items, which in 2025 primarily related to the release of tax reserves. We believe that these measures are meaningful indicators of our performance because they allow for period-over-period comparisons of our ongoing operations before these items and for the reasons further described below.
Adjusted Earnings Before Interest Expense, Taxes, Depreciation and Amortization (“Adjusted EBITDA”). Adjusted EBITDA reflects net income excluding the impact of the following items: cost reimbursement revenue and reimbursed expenses, interest expense, depreciation and amortization (including non-cash impairment charges), provision for income taxes, restructuring and merger-related charges/recoveries, and other expenses, and stock-based compensation expense for all periods presented. When applicable, Adjusted EBITDA also excludes gains and losses on asset dispositions made by us or by our joint venture investees (if above a specified threshold). In addition, Adjusted EBITDA excludes impairment charges and expenses/adjustments related to the Sonder Termination.
In our presentations of Adjusted operating income and Adjusted operating income margin, Adjusted net income and Adjusted diluted earnings per share, Adjusted effective tax rate, and Adjusted EBITDA, we exclude restructuring and merger- related charges/recoveries as well as charges related to legal proceedings that are outside of the ordinary course of our business, both of which we record in the “Restructuring and merger-related recoveries, and other” caption of our Consolidated Statements of Income (our “Income Statements”). We also exclude 2025 fourth quarter impairment charges and expenses as well as subsequent adjustments related to the Sonder Termination, which we record in the “Contract investment amortization” and “Owned, leased, and other expense” captions of our Income Statements, as they are related to the cessation of operations of an entire brand, which is a nonrecurring event. In addition, we exclude non-cash impairment charges (if above a specified threshold) related to our franchise and management contracts (if the impairment is non-routine), leases, equity investments, and other capitalized assets, which we record in the “Contract investment amortization,” “Depreciation, amortization, and other,” and “Equity in earnings” captions of our Income Statements. These adjustments allow for period-over-period comparisons of our ongoing operations before the impact of these items. We exclude cost reimbursement revenue and reimbursed expenses, which relate to property-level and centralized programs and services that we operate for the benefit of our hotel owners and certain other counterparties, and for which we receive reimbursement under our agreements with hotel owners and certain other counterparties with no added mark-up. We do not operate these property-level and centralized programs and services to generate a profit over the long term, and accordingly, when we recover the costs that we incur for these programs and services from our hotel owners and certain other counterparties, we do not seek a mark-up. For property-level services, we recognize cost reimbursement revenue at the same time that we incur expenses, and property-level services have no net impact on our Income Statements in the reporting period. However, for centralized programs and services, we may be reimbursed before or after we incur expenses, causing timing differences between the costs we incur and the related reimbursement from hotel owners and certain other counterparties in our operating and net income. Over the long term, these programs and services are not designed to impact our economics, either positively or negatively. Because we do not retain any such profits or losses over time, we exclude the net impact when evaluating period-over-period changes in our operating results.
We believe that Adjusted EBITDA is a meaningful indicator of our operating performance because it permits period-over-period comparisons of our ongoing operations before these items. Our use of Adjusted EBITDA also facilitates comparison with results from other lodging companies because it excludes certain items that can vary widely across different industries or among companies within the same industry. For example, interest expense can be dependent on a company’s capital structure, debt levels, and credit ratings. Accordingly, the impact of interest expense on earnings can vary significantly among companies. The tax positions of companies can also vary because of their differing abilities to take A-17
advantage of tax benefits and because of the tax policies of the jurisdictions in which they operate. As a result, effective tax rates and provisions for income taxes can vary considerably among companies. Our Adjusted EBITDA also excludes depreciation and amortization expense, which we report under “Depreciation, amortization, and other” as well as depreciation and amortization classified in “Contract investment amortization,” “Reimbursed expenses,” and “Equity in earnings” of our Income Statements, because companies utilize productive assets of different ages and use different methods of both acquiring and depreciating productive assets. Depreciation and amortization classified in “Reimbursed expenses” reflects depreciation and amortization of Marriott-owned assets, for which we receive cash from hotel owners and certain other counterparties to reimburse the company for its investments made for the benefit of the system. These differences can result in considerable variability in the relative costs of productive assets and the depreciation and amortization expense among companies. We exclude stock-based compensation expense in all periods presented to address the considerable variability among companies in recording compensation expense because companies use stock-based payment awards differently, both in the type and quantity of awards granted.
In addition to the foregoing non-GAAP financial measures, we present Revenue per Available Room (“RevPAR”) as a performance measure. We believe RevPAR, which we calculate by dividing property level room revenue by total rooms available for the period, is a meaningful indicator of our performance because it measures the period-over-period change in room revenues. RevPAR may not be comparable to similarly titled measures, such as revenues, and should not be viewed as necessarily correlating with our fee revenue. We also believe occupancy and average daily rate (“ADR”), which are components of calculating RevPAR, are meaningful indicators of our performance. Occupancy, which we calculate by dividing total rooms sold by total rooms available for the period, measures the utilization of a property’s available capacity. ADR, which we calculate by dividing property level room revenue by total rooms sold, measures average room price and is useful in assessing pricing levels. Comparisons to prior periods are on a constant U.S. dollar basis, which we calculate by applying exchange rates for the current period to the prior comparable period. We believe constant dollar analysis provides valuable information regarding the performance of hotels in our system as it removes currency fluctuations from the presentation of such results.
We define our comparable properties as hotels in our system that were open and operating under one of our brands since the beginning of the last full calendar year (since January 1, 2025 for the current period) and have not, in either the current or previous year: (1) undergone significant renovations or expansions or a brand change, (2) been converted between company-operated and franchised, or (3) sustained substantial property damage or business interruption. Our comparable properties also exclude MGM Collection with Marriott Bonvoy, Design Hotels, The Ritz-Carlton Yacht Collection, residences, timeshare, and all- inclusive properties.
We use the term “hotel owners” throughout these schedules to refer, collectively, to owners of hotels and other lodging offerings operating in our system pursuant to franchise agreements, management agreements, license agreements, or similar arrangements, and we use the term “hotels in our system” to refer to hotels and other lodging offerings operating in our system pursuant to such arrangements, as well as hotels that we own or lease. The terms “hotel owners” and “hotels in our system” exclude Homes & Villas by Marriott Bonvoy SM (which we also exclude from our property and room count), timeshare, residential, and The Ritz-Carlton Yacht Collection
Full text with the tables
NEWS
Marriott International Reports Third Quarter 2026 Results
•
Third quarter 2026 RevPAR
1 increased 6.5 percent worldwide, with 7.4 percent growth in the U.S. & Canada
and 4.4 percent
growth in international markets
•
Third quarter reported diluted EPS totaled
$3.04
and Adjusted diluted EPS totaled
$3.02
•
Third quarter reported net income totaled
$794 million
and Adjusted net income totaled
$790 million
•
Third quarter Adjusted
EBITDA
totaled
$1,512 million
•
The company added roughly 20,100 net rooms globally during the quarter and net
rooms grew 4.6 percent from the end of the third quarter of 2025
• At the end of the quarter, Marriott’s worldwide development pipeline reached a
new record and totaled over 4,200 properties and more than 634,000 rooms, with
44 percent of pipeline rooms under construction including hotels that are
pending conversion
•
The company repurchased 3.5 million shares of common stock for $1.3 billion in
the
2026 third quarter
. Year-to-date through October 28, the company has returned approximately $4.0
billion to shareholders through dividends and share repurchases
Fo r a summary of third quarter 2026 highlights, please visit:
https://news.marriott.com/static-assets/component-
resources/newscenter/earnings/2026/2026-q3-earnings-infographic.pdf
BE THESDA, MD – November 2, 2026 - Marriott International, Inc. (Nasdaq: MAR)
today reported third quarter 2026 resul ts.
Anthony Capuano, President and Chief Executive Officer, said, “Our excellent
third quarter results reflected continued momentum across our business, the
benefits of our global scale, and the power of our brands and revenue engines.
Global RevPAR increased 6.5 percent in the third quarter, on higher ADR and
occupancy. In the U.S. & Canada, RevPAR rose over 7 percent, with broad-based
growth across customer segments and chain scales.
“International RevPAR increased over 4 percent in the quarter, led by APEC,
which delivered over 9
1 All occupancy, Average Daily Rate (ADR) and Revenue per Available Room
(RevPAR) statistics and estimates are systemwide constant dollar. Unless
otherwise stated, all changes refer to year-over-year changes for the comparable
period. Occupancy, ADR and RevPAR comparisons between 2026 and 2025 reflect
properties that are comparable in both years.
1
percent RevPAR growth, supported by robust international inbound demand. EMEA
RevPAR rose over 4 percent, thanks to solid growth in Europe. While the ongoing
conflict in the Middle East continued to impact results in that region, trends
improved meaningfully from the second quarter. For full year 2026, given our
strong third quarter performance and expectations for continued healthy demand,
we are raising our global RevPAR outlook and now expect growth of 4.5 to 5
percent.
“Our development activity remained strong, and we had record global organic
signings year to date through September. Conversions continued to be an
important driver of growth, representing over a third of signings and over 40
percent of openings during the first nine months of the year.
“Marriott Bonvoy continued to expand its reach and deliver value to our owners
and properties and across the enterprise. Our broad portfolio of brands and
experiences and powerful collaborations with Uber, Starbucks and others helped
drive membership to approximately 309 million members around the world at
quarter-end.
“Our global scale, compelling portfolio of brands, industry-leading Marriott
Bonvoy loyalty program and dedicated associates, together with our robust
development pipeline and disciplined execution, give us confidence in our
ability to deliver sustainable, long-term growth.”
Third Quarter 2026 Results
Franchise and base management fees totaled $1,341 million in the 2026 third
quarter, a 13 percent increase compared to franchise and base management fees of
$1,190 million in the year-ago quarter. The increase was primarily driven by
higher co-branded credit card fees, higher RevPAR and rooms growth.
Incentive management fees totaled $181 million in the 2026 third quarter, a 22
percent increase over $148 million in the 2025 third quarter. All regions posted
positive growth year over year, with incentive fees in the U.S. & Canada up
meaningfully.
Owned, leased, and other revenue, net of owned, leased, and other expense 2 ,
totaled $41 million in the 2026 third quarter, compared to $70 million in the
2025 third quarter. The decline reflected lower owned and leased hotel results,
including the impact of renovations and our 2026 second quarter sale of a U.S. &
Canada hotel, and higher costs associated with a third-party agreement,
partially offset by a $12 million expected insurance recovery associated with
the 2026 second quarter property-related litigation matter ($9 million after-tax
impact and $0.03 per share after-tax).
2 In the 2025 fourth quarter, to enhance understanding of the company’s general
and administrative costs, we reclassified amounts attributable to other expenses
previously reported under the “General, administrative, and other” caption to
the “Owned, leased, and other expense” caption of our Income Statements. Please
see the Income Statement Reclassification section of this press release for
additional information.
2
General and administrative expenses 2 for the 2026 third quarter totaled $214
million, compared to $210 million in the year-ago quarter.
Interest expense, net, totaled $219 million in the 2026 third quarter, compared
to $194 million in the year-ago quarter. The increase was primarily due to
higher interest expense associated with higher debt balances.
In the 2026 third quarter, the provision for income taxes totaled $266 million,
flat compared to the year-ago quarter.
Ma rriott’s reported operating income totaled $1,274 million in the 2026 third
quarter, compared to 2025 third quarter reported operating income of $1,180
million. Reported net income totaled $794 million in the 2026 third quarter, a 9
percent increase compared to 2025 third quarter reported net income of $728
million. Reported diluted earnings per share (EPS) totaled $3.04 in the quarter,
compared to reported diluted EPS of $2.67 in the year-ago quarter.
Adjusted operating income in the 2026 third quarter totaled $1,267 million,
compared to 2025 third quarter Adjusted operating income of $1,119 million.
Third quarter 2026 Adjusted net income totaled $790 million, compared to 2025
third quarter Adjusted net income of $674 million. Adjusted diluted EPS in the
2026 third quarter totaled $3.02, compared to Adjusted diluted EPS of $2.47 in
the year-ago quarter.
Third quarter 2026 Adjusted results excluded cost reimbursement revenue,
reimbursed expenses, and certain impairment charges. See the press release
schedules for the calculation of Adjusted results and the manner in which the
Adjusted measures are determined in this press release.
Adjusted earnings before interest, taxes, depreciation, and amortization
(EBITDA) totaled $1,512 million in the 2026 third quarter, a 12 percent increase
compared to third quarter 2025 Adjusted EBITDA of $1,349 million. S ee the press
release schedules for the Adjusted EBITDA calculation.
Income Statement Reclassification
In the 2025 fourth quarter, to enhance understanding of the company’s general
and administrative costs, we reclassified amounts attributable to other expenses
previously reported under the “General, administrative, and other” caption to
the “Owned, leased, and other expense” caption of our Income Statements. The
expenses that were reclassified from “General, administrative, and other” are
certain costs associated with our property-related fee revenues, such as
guarantee expense, provision for credit losses, and certain brand-related or
property-related expenses, as well as costs associated with certain third-party
agreements. Please refer to the Expense Captions - As Reclassified section in
the
3
press release schedules for information about the affected expense captions, as
reclassified, for each quarter and the full fiscal year of 2025.
Selected Performance Information
The company added roughly 20,100 net rooms during the quarter, including over
13,400 net rooms in international markets. At the end of the quarter, Marriott’s
global system totaled over 10,200 properties, with nearly 1,834,000 rooms.
At the end of the quarter, the company’s worldwide development pipeline totaled
4,209 properties with more than 634,000 rooms, including 266 properties with
over 37,000 rooms approved for development but not yet subject to signed
contracts. The quarter-end pipeline included 1,750 properties with over 278,000
rooms under construction, including hotels that are in the process of converting
to our system. Over half of the rooms in the quarter-end pipeline were located
in international markets.
In the 2026 third quarter, worldwide RevPAR increased 6.5 percent (a 6.4 percent
increase using actual dollars) compared to the 2025 third quarter. RevPAR in the
U.S. & Canada increased 7.4 percent (a 7.3 percent increase using actual
dollars), and RevPAR in international markets increased 4.4 percent (a 4.4
percent increase using actual dollars) compared to the 2025 third quarter.
Balance S
heet & Common Stock
At the end of the quarter , Marriott’s total debt was $16.8 billion and cash and
equivalents totaled $0.5 billion, compared to $16.2 billion in d ebt and $0.4
billion of cash and equivalents at year-end 2025.
The company repurchased 3.5 million shares of common stock in the 2026 third
quarter for $1.3 billion. Year-to-date through October 28, the company has
repurchased 9.6 million shares for $3.4 billion.
During the 2026 third quarter, the company issued $250 million of Series NN
Senior Notes due in 2029 with a 4.875 percent interest rate coupon and $1.0
billion of Series YY Senior Notes due in 2036 with a 5.650 percent interest rate
coupon. The company also completed the refinancing of its credit facility,
extending the maturity to September 2031 and increasing the facility size from
$4.5 billion to $5.0 billion.
4
Company Outlook
The company's updated outlook generally assumes the continuation of the current
macroeconomic environment.
Fourth Quarter 2026 Full Year 2026
vs. Fourth Quarter 2025 vs. Full Year 2025
Worldwide RevPAR growth 4.5% to 5.0% 4.5% to 5.0%
Year-End 2026
vs. Year-End 2025
Net rooms growth Low end of 4.5% to 5%
($ in millions, except EPS) Fourth Quarter 2026 Full Year 2026
Gross fee revenues $1,604 to $1,612 $6,137 to $6,145
Owned, leased, and other revenue,
net of $47 to $52 $170 to $175
owned, leased, and other expense
General and administrative $237 to $227 $890 to $880
expenses
Adjusted EBITDA1,2 $1,573 to $1,596 $6,075 to $6,098
Adjusted EPS – diluted2,3 $3.14 to $3.21 $12.07 to $12.14
Adjusted effective tax rate2 Approx. 26.5% Approx. 26.0%
Investment spending4 $1,250 to $1,350
Capital return to shareholders5 At least $4,800
1 See the press release schedules for the Adjusted EBITDA calculations.
2 Adjusted EBITDA, Adjusted EPS – diluted, and Adjusted effective tax rate for
fourth quarter and full year 2026 do not include cost reimbursement revenue,
reimbursed expenses, and restructuring and merger-related recoveries/charges,
and other expenses, each of which the company cannot forecast with sufficient
accuracy and without unreasonable efforts, and which may be significant. Our
outlook includes the impact of our sale of a U.S. & Canada hotel and our
investment in Lefay, each of which occurred in the 2026 second quarter, and our
planned sale of a U.S. & Canada hotel, which we assume will occur in the 2026
fourth quarter. Our outlook excludes any other potential asset sales or property
or brand acquisitions that may occur during the year, each of which the company
cannot forecast with sufficient accuracy and without unreasonable efforts, and
which may be significant. In addition, our full year 2026 outlook excludes the
adjustments from the 2026 first three quarters related to the Sonder termination
of $2 million, an adjustment to a gain on an asset disposition of $(8) million,
and asset impairment charges of $(74) million.
3 Assumes the level of capital return to shareholders noted above.
4 Investment spending includes contract acquisition costs, capital and
technology expenditures (including renovations at owned and leased hotels), loan
advances, and other investing activities (including our investment in Lefay,
which occurred in the 2026 second quarter), but excluding any potential property
or brand acquisitions, which we cannot forecast with sufficient accuracy and
which may be significant.
5 Assumes the level of investment spending noted above and that no other asset
sales, property acquisitions or brand acquisitions occur during the year.
5
Marriott International, Inc. (Nasdaq: MAR) will conduct its quarterly earnings
review for the investment community and news media on Monday, November 2, 2026,
at 8:00 a.m. Eastern Time (ET). The conference call will be webcast
simultaneously via Marriott’s investor relations website at
www.marriott.com/investor (click on “Events & Presentations” and click on the
quarterly conference call link). A replay will be available at that same website
until November 2, 2027.
The telephone dial-in number for the conference call is US Toll Free:
833-309-3473, or Global: +1 785-838-9251. The conference ID is MAR3Q26.
Note on forward-looking statements: All statements in this press release and the
accompanying schedules are made as of November 2, 2026. We undertake no
obligation to publicly update or revise these statements, whether as a result of
new information, future events or otherwise. This press release and the
accompanying schedules contain "forward-looking statements" within the meaning
of federal securities laws, including statements related to our RevPAR, rooms
growth and other financial metric estimates, outlook and assumptions;
shareholder returns; our growth prospects; our development pipeline; our
Marriott Bonvoy loyalty program; property performance; our expectations about
the current macroeconomic environment; our planned hotel sale; and similar
statements concerning anticipated future events and expectations that are not
historical facts. We caution you that these statements are not guarantees of
future performance and are subject to numerous evolving risks and uncertainties
that we may not be able to accurately predict or assess, including the risk
factors that we describe in our U.S. Securities and Exchange Commission filings,
including our most recent Annual Report on Form 10-K or Quarterly Report on Form
10-Q. Any of these factors could cause actual results to differ materially from
the expectations we express or imply in this press release.
Marriott International, Inc.
(Nasdaq: MAR) is based in Bethesda, Maryland, USA, and encompasses a portfolio
of compelling brands across luxury, premium, select, midscale, extended stay,
and all-inclusive, w ith over 10,200 properties in 148 c ountries and
territories, as of September 30, 2026. Marriott franchises, operates, and
licenses hotel, residential, timeshare, yacht, outdoor, and other lodging
products all around the world. The company offers Marriott Bonvoy®, its highly
awarded travel platform. Fo r more information, please visit our website at
www.marriott.com , and for the latest company news, visit
www.marriottnewscenter.com . I n addition, connect with us on Facebook and
@MarriottIntl on X and Instagram .
Marriott encourages investors, the media, and others interested in the company
to review and subscribe to the information Marriott posts on its investor
relations website at www.marriott.com/investor or Marriott’s news center website
at www.marriottnewscenter.com , which may be material. The contents of these
websites are not incorporated by reference into this press release or any report
or document Marriott files with the U.S. Securities and Exchange Commission, and
any references to the websites are intended to be inactive textual references
only.
6
MEDIA & INVESTOR RELATIONS CONTACTS:
Melissa Froehlich Flood
Senior Vice President, Global Corporate
Communications & Public Policy
Marriott International
newsroom@marriott.com
Jackie Burka McConagha
Senior Vice President, Investor Relations
Marriott International
jackie.mcconagha@marriott.com
Pilar Fernandez
Senior Director, Investor Relations
Marriott International
pilar.fernandez@marriott.com
IRPR#1
Tables follow
7
MARRIOTT INTERNATIONAL, INC.
PRESS RELEASE SCHEDULES
TABLE OF CONTENTS
QUARTER 3, 2026
Consolidated Statements of Income A-2
Non-GAAP Financial Measures A-4
Expense Captions - As Reclassified A-5
Total Lodging Products by Ownership Type A-6
Total Lodging Products by Tier A-8
Key Lodging Statistics A-10
Adjusted EBITDA A-14
Adjusted EBITDA Forecast - Fourth Quarter 2026 A-15
Adjusted EBITDA Forecast - Full Year 2026 A-16
Explanation of Non-GAAP Financial and Performance A-17
Measures
A-1
MARRIOTT
INTERNATI…
INC.
CONSOLIDA…
STATEMENTS
OF INCOME
THIRD
QUARTER
2026 AND
2025
($ in
millions
except per Three
share Months Three Months Percent
amounts, Ended Ended Better/(Wo…
unaudited) September September 2026 vs.
REVENUES 30, 2026 30, 2025 2025
──────────────────────────────────────────────────────────────────────────────
Franchise $ 1,007 $ 876 15
fees1
Base
management 334 314 6
fees
Incentive
management 181 148 22
fees
Gross fee 1,522 1,338 14
revenues
Contract
investment -33 -29 -14
amortizat…
Net fee 1,489 1,309 14
revenues
Owned,
leased, 436 420 4
and other
revenue3
Cost
reimburse… 5,080 4,760 7
revenue4
7,005 6,489 8
OPERATING
COSTS AND
EXPENSES
Owned,
leased, 395 350 -13
and other
expense5*
Depreciat…
amortizat… 55 50 -10
and other6
General
and 214 210 -2
administr…
Restructu…
and
merger-re… — -40 -100
recoverie…
and other
Reimbursed 5,067 4,739 -7
expenses4
5,731 5,309 -8
OPERATING 1,274 1,180 8
INCOME
Gains and
other 4 3 33
income,
net8
Interest -227 -206 -10
expense
Interest 8 12 -33
income
Equity in 1 5 -80
earnings9
INCOME
BEFORE 1,060 994 7
INCOME
TAXES
Provision
for income -266 -266 0
taxes
NET INCOME $ 794 $ 728 9
EARNINGS
PER SHARE
Earnings
per share $ 3.05 $ 2.68 14
- basic
Earnings
per share $ 3.04 $ 2.67 14
- diluted
Basic
shares (in 260.6 271.8
millions)
Diluted
shares (in 261.2 272.5
millions)
*The 2025
third
quarter
reflects
the
reclassif…
of $24
million of
other
expenses
previously
reported
under the
“General,
administr…
and other”
caption to
the
“Owned,
leased,
and other
expense”
caption of
our Income
Statements
to conform
to our
current
presentat…
1Franchise
feesinclu…
fees from
our
franchise
and
license
agreements
for
lodging
properties
(including
our
timeshare
propertie…
applicati…
and
relicensi…
fees,
co-branded
credit
card
fees,
residenti…
branding
fees, and
other
brand-rel…
fees.
2Contract
investment
amortizat…
amortizat…
of
capitaliz…
costs to
obtain
contracts
with
customers
and any
related
impairmen…
3Owned,
leased,
and other
revenuein…
revenue
from the
properties
we own or
lease,
terminati…
fees, and
other
revenue.
4Cost
reimburse…
revenuein…
reimburse…
from hotel
owners and
certain
other
counterpa…
for
property-…
and
centraliz…
programs
and
services
that we
operate
for their
benefit.R…
expensesi…
costs
incurred
by
Marriott
for
certain
property-…
operating
expenses
and
centraliz…
programs
and
services
that
we operate
for the
benefit of
our hotel
owners and
certain
other
counterpa…
5Owned,
leased,
and other
expensein…
operating
expenses
related to
our owned
or leased
hotels,
including
lease
payments
and
pre-openi…
expenses,
and other
expenses,
such as
expenses
related to
our Global
Design
services,
certain
costs
associated
with
our
property-…
fee
revenues
(such
as
guarantee
expense,
provision
for
credit
losses,
and
certain
brand-rel…
or
property-…
expenses),
and costs
associated
with
certain
third-par…
agreement…
6Deprecia…
amortizat…
and
otherexpe…
include
depreciat…
for
fixed
assets,
amortizat…
of
acquired
contracts,
software,
and other
definite-…
intangible
assets,
and
any
related
impairmen…
accelerat…
or
write-off…
7General
and
administr…
include
our
corporate
and
business
segments
overhead
costs and
general
expenses.
8Gains and
other
income,
netinclud…
gains and
losses on
the sale
of real
estate,
the sale
of joint
venture
interests
and other
investmen…
and
adjustmen…
from other
equity
investmen…
9Equity in
earningsi…
our equity
in
earnings
or losses
of
unconsoli…
equity
method
investmen…
A-2
MARRIOTT
INTERNATI…
INC.
CONSOLIDA…
STATEMENTS
OF INCOME
THIRD
QUARTER
YEAR-TO-D…
2026 AND
2025
($ in
millions
except per
share Nine Months Nine Months Percent
amounts, Ended Ended Better/(Wo…
unaudited) September September 2026 vs.
REVENUES 30, 2026 30, 2025 2025
──────────────────────────────────────────────────────────────────────────────
Franchise $ 2,902 $ 2,482 17
fees1
Base
management 1,016 979 4
fees
Incentive
management 615 552 11
fees
Gross fee 4,533 4,013 13
revenues
Contract
investment -99 -86 -15
amortizat…
Net fee 4,434 3,927 13
revenues
Owned,
leased, 1,314 1,222 8
and other
revenue3
Cost
reimburse… 14,982 14,347 4
revenue4
20,730 19,496 6
OPERATING
COSTS AND
EXPENSES
Owned,
leased, 1,189 1,045 -14
and other
expense5*
Depreciat…
amortizat… 224 154 -45
and other6
General
and 653 629 -4
administr…
Restructu…
and
merger-re… -6 -31 -81
recoverie…
and other
Reimbursed 15,103 14,335 -5
expenses4
17,163 16,132 -6
OPERATING 3,567 3,364 6
INCOME
Gains and
other 18 6 200
income,
net8
Interest -662 -601 -10
expense
Interest 38 33 15
income
Equity in 1 10 -90
earnings9
INCOME
BEFORE 2,962 2,812 5
INCOME
TAXES
Provision
for income -754 -656 -15
taxes
NET INCOME $ 2,208 $ 2,156 2
EARNINGS
PER SHARE
Earnings
per share $ 8.38 $ 7.86 7
- basic
Earnings
per share $ 8.36 $ 7.84 7
- diluted
Basic
shares (in 263.5 274.3
millions)
Diluted
shares (in 264.2 275.0
millions)
* The 2025
first
three
quarters
reflects
the
reclassif…
of $95
million of
other
expenses
previously
reported
under
the
“General,
administr…
and other”
caption to
the
“Owned,
leased,
and other
expense”
caption of
our Income
Statements
to conform
to our
current
presentat…
1Franchise
feesinclu…
fees from
our
franchise
and
license
agreements
for
lodging
properties
(including
our
timeshare
propertie…
applicati…
and
relicensi…
fees,
co-branded
credit
card
fees,
residenti…
branding
fees, and
other
brand-rel…
fees.
2Contract
investment
amortizat…
amortizat…
of
capitaliz…
costs to
obtain
contracts
with
customers
and any
related
impairmen…
3Owned,
leased,
and other
revenuein…
revenue
from the
properties
we own or
lease,
terminati…
fees, and
other
revenue.
4Cost
reimburse…
revenuein…
reimburse…
from hotel
owners and
certain
other
counterpa…
for
property-…
and
centraliz…
programs
and
services
that we
operate
for their
benefit.R…
expensesi…
costs
incurred
by
Marriott
for
certain
property-…
operating
expenses
and
centraliz…
programs
and
services
that
we operate
for the
benefit of
our hotel
owners and
certain
other
counterpa…
5Owned,
leased,
and other
expensein…
operating
expenses
related to
our owned
or leased
hotels,
including
lease
payments
and
pre-openi…
expenses,
and other
expenses,
such as
expenses
related to
our Global
Design
services,
certain
costs
associated
with
our
property-…
fee
revenues
(such
as
guarantee
expense,
provision
for
credit
losses,
and
certain
brand-rel…
or
property-…
expenses),
and costs
associated
with
certain
third-par…
agreement…
6Deprecia…
amortizat…
and
otherexpe…
include
depreciat…
for
fixed
assets,
amortizat…
of
acquired
contracts,
software,
and other
definite-…
intangible
assets,
and
any
related
impairmen…
accelerat…
or
write-off…
7General
and
administr…
include
our
corporate
and
business
segments
overhead
costs and
general
expenses.
8Gains and
other
income,
netinclud…
gains and
losses on
the sale
of real
estate,
the sale
of joint
venture
interests
and other
investmen…
and
adjustmen…
from other
equity
investmen…
9Equity in
earningsi…
our equity
in
earnings
or losses
of
unconsoli…
equity
method
investmen…
A-3
M…
I…
I…
N…
F…
M…
($
in
m…
e…
p…
s…
a…
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f…
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r…
of
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A…
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m…
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n…
i…
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A…
d…
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p…
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t…
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d…
c…
G…
m…
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r…
is
u…
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d…
of
A…
o…
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m…
Th… Ni…
Mo… Mo…
En… En…
Pe… Pe…
Se… Se… Be… Se… Se… Be…
30, 30, 30, 30,
20… 20… -W… 20… 20… -W…
T…
r… $ 7,… $ 6,… $ 20… $ 19…
as
r…
L…
C… -5… -4… -1… -1…
r…
r…
A…
t… 1,… 1,… 5,… 5,…
r…
O…
i… 1,… 1,… 3,… 3,…
as
r…
L…
C… -5… -4… -1… -1…
r…
r…
A…
R… 5,… 4,… 15… 14…
e…
L…
R…
a…
m… — -40 -6 -31
r…
a…
o…
A…
A… 6 — 74 —
i…
c…
L…
A…
r… — — -2 —
to
S…
T…
A…
o… 1,… 1,… 13 3,… 3,… 13
i…
O…
i… 18 % 18 % 17 % 17 %
m…
A…
o… 66 % 65 % 65 % 64 %
i…
m…
N…
i… 794 728 2,… 2,…
as
r…
L…
C… -5… -4… -1… -1…
r…
r…
A…
R… 5,… 4,… 15… 14…
e…
L…
R…
a…
m… — -40 -6 -31
r…
a…
o…
A…
A… 6 — 74 —
i…
c…
L…
A…
r… — — -2 —
to
S…
T…
A…
A…
to
g… — — 8 —
on
i…
a…
d…
I…
t…
e… 3 7 -43 8
of
a…
a…
L…
I…
t… — — — -74
s…
i…
A…
n… $ 790 $ 674 17 $ 2,… $ 2,… 15
i…
D…
e…
p… $ 3.… $ 2.… $ 8.… $ 7.…
s…
as
r…
A…
d…
e… $ 3.… $ 2.… 22 $ 8.… $ 7.… 20
p…
s…
†…
n…
f…
m…
P…
s…
t…
E…
of
N…
F…
a…
P…
M…
s…
in
t…
p…
r…
s…
f…
i…
a…
o…
r…
f…
p…
t…
a…
f…
m…
a…
t…
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on
t…
u…
1…
I…
c…
r…
to
t…
s…
a…
p…
s…
of
t…
U…
&
C…
h…
r…
in
D…
a…
a…
o…
2…
r…
to
t…
t…
of
o…
l…
a…
w…
S…
H…
I…
(…
“…
T…
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E…
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e…
A-4
MARRIOTT INTERNATIONAL, INC.
EXPENSE CAPTIONS - AS RECLASSIFIED
QUARTERLY AND FULL YEAR 2025
($ in millions)
In the 2025 fourth quarter, to enhance
understanding of the company’s general and
administrative costs, we reclassified amounts
attributable to other expenses previously reported
under the “General, administrative, and other”
caption to the “Owned, leased, and other expense”
caption of our Income Statements. The expenses
that were reclassified from “General,
administrative, and other” are certain costs
associated with our property-related fee revenues,
such as guarantee expense, provision for credit
losses, and certain brand-related or
property-related expenses, as well as costs
associated with certain third-party agreements.
The following table includes the affected expense
captions, as reclassified, for each quarter and
the full fiscal year of 2025.
Fisc…
Year
2025
First Seco… Third Four…
Quar… Quar… Quar… Quar… Total
──────────────────────────────────────────────────────────────────────────────
Own…
lea…
and $ 361 $ 441 $ 420 $ 457 $ 1,679
oth…
rev…
Own…
lea…
and 332 363 350 416 1,461
oth…
exp…
Own…
lea…
and
oth…
rev…
net $ 29 $ 78 $ 70 $ 41 $ 218
of
own…
lea…
and
oth…
exp…
Gen…
and $ 209 $ 210 $ 210 $ 241 $ 870
adm…
A-5
M…
I…
I…
T…
L…
P…
BY
O…
T…
As
of
S…
3…
2…
──────────────────────────────────────────────────────────────────────────────
US To… To…
& In… Wo…
Ca…
Pr… Ro… Pr… Ro… Pr… Ro…
F…
L… 6,… 89… 2,… 34… 8,0… 1,2…
a…
O…
C…
by 943 12… 150 27… 1,0… 154…
M…
F…
by 1,… 11… 154 22… 1,3… 137…
M…
R…
I… 845 10… 43 5,… 888 106…
by
M…
M… 239 76… 88 24… 327 100…
H…
A… 168 37… 181 35… 349 73,…
C…
S…
S… 577 67… — — 577 67,…
by
M…
S… 133 41… 92 25… 225 66,…
T…
S… 603 60… — — 603 60,…
by
M…
F…
P… 146 20… 193 33… 339 54,…
by
S…
W… 97 33… 34 10… 131 43,…
AC
H… 140 23… 111 16… 251 39,…
by
M…
T… 113 20… 81 12… 194 32,…
P…
M… 50 8,… 118 22… 168 30,…
H…
A…
by 167 23… 33 6,… 200 30,…
M…
R… 72 19… 33 8,… 105 28,…
H…
M…
C…
w… 12 26… — — 12 26,…
M…
B…
D…
H… 71 15… 42 7,… 113 23,…
by
M…
T… 73 18… 22 3,… 95 22,…
T…
L… 17 8,… 68 14… 85 22,…
C…
C…
E… 40 3,… 154 18… 194 21,…
by
M…
D… 49 3,… 227 14… 276 18,…
H…
E…
by 106 14… 7 1,… 113 15,…
M…
Le 23 5,… 32 8,… 55 14,…
M…
JW 15 7,… 18 4,… 33 11,…
M…
F…
P…
F… — — 61 8,… 61 8,6…
by
S…
c… 17 4,… 19 3,… 36 8,5…
S…
by 9 911 66 4,… 75 5,8…
M…
P…
H… — — 38 3,… 38 3,3…
by
M…
S…
by 18 2,… — — 18 2,2…
M…
M…
E… — — 10 1,… 10 1,9…
A…
O…
C…
by 36 1,… — — 36 1,8…
M…
B…
W 1 1,… 2 464 3 1,5…
H…
A…
by 2 413 5 370 7 783
M…
B…
T… 1 429 2 262 3 691
R…
T…
R… — — 3 603 3 603
Y…
C…
S… — — 1 172 1 172
R…
B… — — 2 161 2 161
O… 13 4,… 37 8,… 50 13,…
S… 1 1,… 3 1,… 4 2,9…
M… 2 1,… 5 1,… 7 2,9…
H…
C…
by 7 987 4 894 11 1,8…
M…
W 2 765 2 665 4 1,4…
H…
P…
H… — — 5 912 5 912
by
M…
JW — — 2 696 2 696
M…
T… — — 2 548 2 548
R…
R… — — 2 505 2 505
H…
T…
L… — — 3 383 3 383
C…
A… — — 5 367 5 367
C…
R…
I… 1 192 1 140 2 332
by
M…
T… — — 2 249 2 249
P…
S… — — 1 160 1 160
R…
A-6
M…
I…
I…
T…
L…
P…
BY
O…
T…
As
of
S…
3…
2…
──────────────────────────────────────────────────────────────────────────────
US To… To…
& In… Wo…
Ca…
Pr… Ro… Pr… Ro… Pr… Ro…
M… 554 20… 1,… 36… 1,9… 562…
M… 97 55… 198 62… 295 117…
H…
S… 23 18… 179 57… 202 76,…
C…
by 133 21… 138 30… 271 51,…
M…
W… 40 22… 81 24… 121 46,…
JW 22 12… 78 26… 100 39,…
M…
T… 42 12… 80 18… 122 31,…
R…
F…
P… 1 134 96 25… 97 25,…
by
S…
R… 20 8,… 53 16… 73 25,…
H…
Le — — 68 18… 68 18,…
M…
W 18 4,… 46 12… 64 16,…
H…
S… 13 2,… 53 11… 66 14,…
R…
G… 7 11… — — 7 11,…
H…
R…
I… 62 10… 9 1,… 71 11,…
by
M…
T…
L… 6 2,… 42 8,… 48 10,…
C…
A…
by 2 505 42 9,… 44 10,…
M…
F…
by 4 799 56 8,… 60 9,4…
M…
D…
H… 24 6,… 5 1,… 29 7,8…
by
M…
A… 12 3,… 19 3,… 31 6,7…
C…
M…
E… — — 43 6,… 43 6,2…
A…
AC
H… 8 1,… 18 3,… 26 4,8…
by
M…
E… 5 1,… 18 3,… 23 4,7…
M… 1 380 17 3,… 18 3,9…
H…
E…
by 3 810 14 2,… 17 3,5…
M…
P…
H… — — 22 2,… 22 2,7…
by
M…
T… — — 13 1,… 13 1,5…
P…
S…
S… 8 1,… — — 8 1,2…
by
M…
B… — — 7 645 7 645
c… — — 2 477 2 477
T…
S… 3 471 — — 3 471
by
M…
A…
by — — 1 80 1 80
M…
B…
R… 74 7,… 73 8,… 147 16,…
T…
R… 46 5,… 23 1,… 69 7,0…
R…
S…
R… 11 1,… 15 2,… 26 3,4…
R…
W 8 795 8 768 16 1,5…
R…
M… — — 5 1,… 5 1,2…
R…
JW
M… 1 91 4 1,… 5 1,1…
R…
W… 3 266 3 413 6 679
R…
B… — — 5 526 5 526
R…
S… — — 3 472 3 472
R…
T…
L… 1 91 2 85 3 176
C…
R…
T…
P… — — 1 137 1 137
R…
R… 1 112 — — 1 112
R…
E… 3 82 1 10 4 92
R…
Le
M… — — 1 62 1 62
R…
A…
C… — — 2 45 2 45
R…
G… 6,… 1,… 3,… 72… 10,… 1,8…
T…
1…
r…
t…
(…
E…
M…
E…
&
A…
(…
G…
C…
(…
A…
P…
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C…
a…
(…
C…
&
L…
A…
*
T…
D…
H…
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T…
R…
Y…
C…
c…
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in
t…
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g…
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b…
in
t…
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A-7
M…
I…
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T…
L…
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BY
T…
As
of
S…
3…
2…
──────────────────────────────────────────────────────────────────────────────
US To… To…
& In… Wo…
Ca…
T… Pr… Ro… Pr… Ro… Pr… Ro…
S…
L… 212 61… 488 11… 700 172…
JW 37 19… 98 32… 135 52,…
M…
JW
M… 1 91 4 1,… 5 1,1…
R…
T…
L… 23 10… 113 23… 136 33,…
C…
T…
L… 1 91 2 85 3 176
C…
R…
T… 43 13… 84 19… 127 32,…
R…
T…
R… 46 5,… 23 1,… 69 7,0…
R…
T…
R… — — 3 603 3 603
Y…
C…
W 21 6,… 50 13… 71 19,…
H…
W 8 795 8 768 16 1,5…
R…
S… 13 2,… 55 11… 68 14,…
R…
S…
R… 11 1,… 15 2,… 26 3,4…
R…
E… 5 1,… 18 3,… 23 4,7…
E… 3 82 1 10 4 92
R…
B… — — 9 806 9 806
B… — — 5 526 5 526
R…
P… 1,… 41… 1,… 34… 2,7… 761…
M… 338 13… 291 88… 629 221…
H…
M… — — 5 1,… 5 1,2…
R…
S… 157 61… 274 85… 431 146…
S… — — 3 472 3 472
R…
W… 137 55… 115 34… 252 90,…
W… 3 266 3 413 6 679
R…
A… 180 41… 205 39… 385 80,…
C…
A…
C… — — 2 45 2 45
R…
R… 92 28… 88 25… 180 54,…
H…
R… 1 112 — — 1 112
R…
T… 113 20… 96 13… 209 34,…
P…
T…
P… — — 1 137 1 137
R…
Le 23 5,… 100 27… 123 32,…
M…
Le
M… — — 1 62 1 62
R…
D…
H… 95 22… 47 9,… 142 31,…
by
M…
M…
C…
w… 12 26… — — 12 26,…
M…
B…
D… 49 3,… 227 14… 276 18,…
H…
G… 7 11… — — 7 11,…
H…
M…
E… — — 53 8,… 53 8,2…
A…
O…
C…
by 36 1,… — — 36 1,8…
M…
B…
A…
by 2 413 6 450 8 863
M…
B…
S… 5,… 60… 1,… 23… 6,3… 838…
C…
by 1,… 14… 292 58… 1,3… 208…
M…
F…
by 1,… 11… 210 30… 1,4… 146…
M…
R…
I… 908 11… 53 6,… 961 118…
by
M…
F…
P… 147 21… 289 59… 436 80,…
by
S…
S…
S… 585 69… — — 585 69,…
by
M…
T…
S… 606 60… — — 606 60,…
by
M…
AC
H… 148 24… 129 19… 277 44,…
by
M…
A…
by 169 24… 75 15… 244 40,…
M…
M… 51 8,… 135 25… 186 34,…
H…
E…
by 109 15… 21 3,… 130 18,…
M…
c… 17 4,… 21 4,… 38 9,0…
P…
H… — — 65 6,… 65 6,9…
by
M…
A-8
M…
I…
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L…
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T…
As
of
S…
3…
2…
──────────────────────────────────────────────────────────────────────────────
US To… To…
& In… Wo…
Ca…
T… Pr… Ro… Pr… Ro… Pr… Ro…
S…
M… 67 6,… 281 31… 348 38,…
C…
E… 40 3,… 154 18… 194 21,…
by
M…
F…
P…
F… — — 61 8,… 61 8,6…
by
S…
S…
by 9 911 66 4,… 75 5,8…
M…
S…
by 18 2,… — — 18 2,2…
M…
T… 73 18… 22 3,… 95 22,…
G… 6,… 1,… 3,… 72… 10,… 1,8…
T…
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2… 2… …
… $ 2… 1… % 7… % … % p… $ 3… 5… %
…
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…
W $ 2… 1… % 7… % … % p… $ 3… 8… %
…
…
…
& $ 3… 1… % 6… % … % p… $ 4… 8… %
…
…
… $ 1… 9… % 7… % … % p… $ 2… 5… %
…
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… $ 2… 1… % 7… % … % p… $ 2… 5… %
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& $ 1… 9… % 7… % … % p… $ 2… 5… %
…
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& $ 2… 1… % 7… % … % p… $ 3… 6… %
…
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… $ 1… 8… % 6… % … % p… $ 1… 5… %
…
…
… $ 1… 7… % 7… % … % p… $ 2… 4… %
…
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…
…
& $ 1… 8… % 7… % … % p… $ 1… 5… %
…
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&
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-
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T…
M…
E…
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& S…
… 3…
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──────────────────────────────────────────────────────────────────────────────
…
R… O… …
…
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2… 2… …
… $ 2… 9… % 7… % … % p… $ 3… 5… %
…
… $ 3… 1… % 6… % … % p… $ 5… 9… %
…
W $ 2… 1… % 7… % … % p… $ 3… 8… %
…
…
…
& $ 2… 1… % 7… % … % p… $ 4… 8… %
…
…
… $ 1… 7… % 7… % … % p… $ 2… 4… %
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& S…
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──────────────────────────────────────────────────────────────────────────────
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──────────────────────────────────────────────────────────────────────────────
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A-12
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──────────────────────────────────────────────────────────────────────────────
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A-13
MARRIOTT INTERNATIONAL, INC.
NON-GAAP FINANCIAL MEASURES
ADJUSTED EBITDA
($ in millions)
Fisc…
Year
2026
First Seco… Third
Quar… Quar… Quar… Total
──────────────────────────────────────────────────────────────────────────────
Net
inc… $ 648 $ 766 $ 794 $ 2,2…
as
rep…
Cost
rei… -4,… -5,… -5,… -14…
rev…
Rei… 4,9… 5,1… 5,0… 15,…
exp…
Int… 214 221 227 662
exp…
Int…
exp…
from 2 2 1 5
unc…
joi…
ven…
Pro…
for 210 278 266 754
inc…
tax…
Dep…
amo… 54 115 55 224
and
oth…
Con…
inv… 35 31 33 99
amo…
Dep…
and
amo…
cla… 73 76 78 227
in
rei…
exp…
Dep…
amo…
and
imp… 3 5 6 14
from
unc…
joi…
ven…
Sto… 57 66 65 188
com…
Res…
and
mer…
cha… 4 -10 — -6
(re…
and
oth…
Adj…
rel…
to -2 — — -2
Son…
Ter…
Adj…
to
gain
on 8 — — 8
inv…
ass…
dis…
Adj… $ 1,3… $ 1,5… $ 1,5… $ 4,5…
EBI…
Cha…
from
2025 15 % 13 % 12 % 13 %
Adj…
EBI…
Fis…
Year
2025
Fir… Sec… Third Four…
Qua… Qua… Quar… Quar… Total
──────────────────────────────────────────────────────────────────────────────
Net
in… $ 665 $ 763 $ 728 $ 445 $ 2,6…
as
re…
Co…
re… -4,… -4,… -4,… -4,… -19…
re…
Re… 4,7… 4,8… 4,7… 5,1… 19,…
ex…
In… 192 203 206 208 809
ex…
In…
ex…
fr… 1 3 2 1 7
un…
jo…
ve…
Pr…
for 99 291 266 137 793
in…
ta…
De…
am… 51 53 50 59 213
and
ot…
Co…
in… 28 29 29 49 135
am…
De…
and
am…
cl… 57 61 64 69 251
in
re…
ex…
De…
am…
and
im… 4 4 4 6 18
fr…
un…
jo…
ve…
St… 52 58 61 65 236
co…
Re…
and
me…
ch… 1 8 -40 29 -2
(r…
and
ot…
Ex…
re…
to — — — 23 23
So…
Te…
Ad… $ 1,2… $ 1,4… $ 1,3… $ 1,4… $ 5,3…
EB…
†Denotes non-GAAP financial measures. Please see
the Explanation of Non-GAAP Financial and
Performance Measures section in these press
release schedules for information about our
reasons for providing these alternative financial
measures and the limitations on their use.
1Includes an asset impairment charge of $68
million in the 2026 second quarter and $6 million
in the 2026 third quarter related to the sale and
planned sale of two U.S. & Canada hotels.
A-14
MARRIOTT
INTERNATIO…
INC.
NON-GAAP
FINANCIAL
MEASURES
ADJUSTED
EBITDA
FORECAST
FOURTH
QUARTER Range
2026 Estimated
($ in Fourth Fourth
millions) Quarter 2026 Quarter 2025
──────────────────────────────────────────────────────────────────────────────
Net income
excluding $ 813 $ 830
certain
items1
Interest 229 229
expense
Interest
expense
from 2 2
unconsolid…
joint
ventures
Provision
for income 294 300
taxes
Depreciati…
amortizati… 50 50
and other
Contract
investment 37 37
amortizati…
Depreciati…
and
amortizati…
classified 79 79
in
reimbursed
expenses
Depreciati…
amortizati…
and
impairments 5 5
from
unconsolid…
joint
ventures
Stock-based 64 64
compensati…
Adjusted $ 1,573 $ 1,596 $ 1,402
EBITDA†
Increase
over 2025 12 % 14 %
Adjusted
EBITDA†
†Denotes
non-GAAP
financial
measures.
Please see
the
Explanation
of Non-GAAP
Financial
and
Performance
Measures
section in
these press
release
schedules
for
information
about our
reasons for
providing
these
alternative
financial
measures
and the
limitations
on their
use.
1Forecast
excludes
cost
reimbursem…
revenue,
reimbursed
expenses,
and
restructur…
and
merger-rel…
charges/re…
and other
expenses,
each of
which the
company
cannot
forecast
with
sufficient
accuracy
and
without
unreasonab…
efforts,
and which
may be
significan…
except for
depreciati…
and
amortizati…
classified
in
reimbursed
expenses,
which is
included in
the caption
"Depreciat…
and
amortizati…
classified
in
reimbursed
expenses"
above.
Forecast
includes
the impact
of our sale
of a
U.S. &
Canada
hotel and
our
investment
in Lefay,
each of
which
occurred in
the
2026 second
quarter,
and our
planned
sale of a
U.S. &
Canada
hotel,
which we
assume will
occur in
the 2026
fourth
quarter.
Forecast
does not
reflect any
other
potential
asset sales
or property
or brand
acquisitio…
that may
occur
during the
year, each
of which
the
company
cannot
forecast
with
sufficient
accuracy
and without
unreasonab…
efforts,
and which
may be
significan…
A-15
MARRIOTT
INTERNATIO…
INC.
NON-GAAP
FINANCIAL
MEASURES
ADJUSTED
EBITDA
FORECAST
FULL YEAR Range
2026 Estimated
($ in Full Year Full Year
millions) 2026 2025
──────────────────────────────────────────────────────────────────────────────
Net income
excluding $ 3,112 $ 3,129
certain
items1, 2
Interest 891 891
expense
Interest
expense
from 7 7
unconsolid…
joint
ventures
Provision
for income 1,072 1,078
taxes
Depreciati…
amortizati… 274 274
and other2
Contract
investment 136 136
amortizati…
Depreciati…
and
amortizati…
classified 306 306
in
reimbursed
expenses
Depreciati…
amortizati…
and
impairments 19 19
from
unconsolid…
joint
ventures
Stock-based 252 252
compensati…
Adjustments
related to -2 -2
Sonder
Termination
Adjustment
to gain on
investee’s 8 8
asset
disposition
Adjusted $ 6,075 $ 6,098 $ 5,383
EBITDA†
Increase
over 2025 13 % 13 %
Adjusted
EBITDA†
†Denotes
non-GAAP
financial
measures.
Please see
the
Explanation
of Non-GAAP
Financial
and
Performance
Measures
section in
these press
release
schedules
for
information
about our
reasons for
providing
these
alternative
financial
measures
and the
limitations
on their
use.
1Forecast
excludes
cost
reimbursem…
revenue,
reimbursed
expenses,
and
restructur…
and
merger-rel…
charges/re…
and other
expenses,
each of
which the
company
cannot
forecast
with
sufficient
accuracy
and
without
unreasonab…
efforts,
and which
may be
significan…
except for
depreciati…
and
amortizati…
classified
in
reimbursed
expenses,
which is
included in
the caption
"Depreciat…
and
amortizati…
classified
in
reimbursed
expenses"
above.
Forecast
includes
the impact
of our sale
of a
U.S. &
Canada
hotel and
our
investment
in Lefay,
each of
which
occurred in
the
2026 second
quarter,
and our
planned
sale of a
U.S. &
Canada
hotel,
which we
assume will
occur in
the 2026
fourth
quarter.
Forecast
does not
reflect any
other
potential
asset sales
or property
or brand
acquisitio…
that may
occur
during the
year, each
of which
the
company
cannot
forecast
with
sufficient
accuracy
and without
unreasonab…
efforts,
and which
may be
significan…
2Includes
$74 million
of asset
impairment
charges
recognized
during the
2026 first
three
quarters
related to
the
sale and
planned
sale of two
U.S. &
Canada
hotels.
A-16
MARRIOTT INTERNATIONAL, INC.
EXPLANATION OF NON-GAAP FINANCIAL AND PERFORMANCE MEASURES
In our press release and schedules, on the related conference call, and in the
infographic made available in connection with our press release, we report
certain financial measures that are not required by, or presented in accordance
with, United States generally accepted accounting principles (
“
GAAP
”
). These non-GAAP financial measures are labeled as “Adjusted” and/or identified
with the symbol “†”. We discuss the manner in which the non-GAAP measures
reported in this press release, schedules, and infographic are determined and
management’s reasons for reporting these non-GAAP measures below, and the press
release schedules reconcile each to the most directly comparable GAAP measures
(with respect to the forward-looking non-GAAP measures, to the extent available
without unreasonable efforts). Although management evaluates and presents these
non-GAAP measures for the reasons described below, please be aware that these
non-GAAP measures have limitations and should not be considered in isolation or
as a substitute for revenue, operating income, net income, earnings per share,
or any other comparable operating measure prescribed by GAAP. In addition, we
may calculate and/or present these non-GAAP financial measures differently than
measures with the same or similar names that other companies report, and as a
result, the non-GAAP measures we report may not be comparable to those reported
by others.
Adjusted Operating Income and Adjusted Operating Income Margin. Adjusted
operating income excludes cost reimbursement revenue, reimbursed expenses, and
restructuring and merger-related charges/recoveries, and other expenses. When
applicable, Adjusted operating income also excludes certain non-cash impairment
charges as well as impairment charges and expenses/adjustments related to the
Sonder Termination. Adjusted total revenues excludes cost reimbursement revenue
as well as, when applicable, certain non-cash impairment charges and impairment
charges related to the Sonder Termination. Adjusted operating income margin
reflects Adjusted operating income divided by Adjusted total revenues. We
believe that these are meaningful metrics because they allow for period-over-
period comparisons of our ongoing operations before these items and for the
reasons further described below.
Adjusted Net Income, Adjusted Diluted Earnings Per Share, and Adjusted Effective
Tax Rate. Adjusted net income, Adjusted diluted earnings per share, and Adjusted
effective tax rate reflect our net income, diluted earnings per share, and
effective tax rate, respectively, excluding the impact of cost reimbursement
revenue, reimbursed expenses, restructuring and merger-related
charges/recoveries, and other expenses, as well as, when applicable, certain
non-cash impairment charges, gains and losses on asset dispositions made by us
or by our joint venture investees (if above a specified threshold), and
impairment charges and expenses/adjustments related to the Sonder Termination.
Additionally, Adjusted net income, Adjusted diluted earnings per share, and
Adjusted effective tax rate exclude the income tax effect of the above items
(calculated using an estimated tax rate applicable to each item) and income tax
special items, which in 2025 primarily related to the release of tax reserves.
We believe that these measures are meaningful indicators of our performance
because they allow for period-over-period comparisons of our ongoing operations
before these items and for the reasons further described below.
Adjusted Earnings Before Interest Expense, Taxes, Depreciation and Amortization
(“Adjusted EBITDA”). Adjusted EBITDA reflects net income excluding the impact of
the following items: cost reimbursement revenue and reimbursed expenses,
interest expense, depreciation and amortization (including non-cash impairment
charges), provision for income taxes, restructuring and merger-related
charges/recoveries, and other expenses, and stock-based compensation expense for
all periods presented. When applicable, Adjusted EBITDA also excludes gains and
losses on asset dispositions made by us or by our joint venture investees (if
above a specified threshold). In addition, Adjusted EBITDA excludes impairment
charges and expenses/adjustments related to the Sonder Termination.
In our presentations of Adjusted operating income and Adjusted operating income
margin, Adjusted net income and Adjusted diluted earnings per share, Adjusted
effective tax rate, and Adjusted EBITDA, we exclude restructuring and merger-
related charges/recoveries as well as charges related to legal proceedings that
are outside of the ordinary course of our business, both of which we record in
the “Restructuring and merger-related recoveries, and other” caption of our
Consolidated Statements of Income (our “Income Statements”). We also exclude
2025 fourth quarter impairment charges and expenses as well as subsequent
adjustments related to the Sonder Termination, which we record in the “Contract
investment amortization” and “Owned, leased, and other expense” captions of our
Income Statements, as they are related to the cessation of operations of an
entire brand, which is a nonrecurring event. In addition, we exclude non-cash
impairment charges (if above a specified threshold) related to our franchise and
management contracts (if the impairment is non-routine), leases, equity
investments, and other capitalized assets, which we record in the “Contract
investment amortization,” “Depreciation, amortization, and other,” and “Equity
in earnings” captions of our Income Statements. These adjustments allow for
period-over-period comparisons of our ongoing operations before the impact of
these items. We exclude cost reimbursement revenue and reimbursed expenses,
which relate to property-level and centralized programs and services that we
operate for the benefit of our hotel owners and certain other counterparties,
and for which we receive reimbursement under our agreements with hotel owners
and certain other counterparties with no added mark-up. We do not operate these
property-level and centralized programs and services to generate a profit over
the long term, and accordingly, when we recover the costs that we incur for
these programs and services from our hotel owners and certain other
counterparties, we do not seek a mark-up. For property-level services, we
recognize cost reimbursement revenue at the same time that we incur expenses,
and property-level services have no net impact on our Income Statements in the
reporting period. However, for centralized programs and services, we may be
reimbursed before or after we incur expenses, causing timing differences between
the costs we incur and the related reimbursement from hotel owners and certain
other counterparties in our operating and net income. Over the long term, these
programs and services are not designed to impact our economics, either
positively or negatively. Because we do not retain any such profits or losses
over time, we exclude the net impact when evaluating period-over-period changes
in our operating results.
We believe that Adjusted EBITDA is a meaningful indicator of our operating
performance because it permits period-over-period comparisons of our ongoing
operations before these items. Our use of Adjusted EBITDA also facilitates
comparison with results from other lodging companies because it excludes certain
items that can vary widely across different industries or among companies within
the same industry. For example, interest expense can be dependent on a company’s
capital structure, debt levels, and credit ratings. Accordingly, the impact of
interest expense on earnings can vary significantly among companies. The tax
positions of companies can also vary because of their differing abilities to
take
A-17
MARRIOTT INTERNATIONAL, INC.
EXPLANATION OF NON-GAAP FINANCIAL AND PERFORMANCE MEASURES
advantage of tax benefits and because of the tax policies of the jurisdictions
in which they operate. As a result, effective tax rates and provisions for
income taxes can vary considerably among companies. Our Adjusted EBITDA also
excludes depreciation and amortization expense, which we report under
“Depreciation, amortization, and other” as well as depreciation and amortization
classified in “Contract investment amortization,” “Reimbursed expenses,” and
“Equity in earnings” of our Income Statements, because companies utilize
productive assets of different ages and use different methods of both acquiring
and depreciating productive assets. Depreciation and amortization classified in
“Reimbursed expenses” reflects depreciation and amortization of Marriott-owned
assets, for which we receive cash from hotel owners and certain other
counterparties to reimburse the company for its investments made for the benefit
of the system. These differences can result in considerable variability in the
relative costs of productive assets and the depreciation and amortization
expense among companies. We exclude stock-based compensation expense in all
periods presented to address the considerable variability among companies in
recording compensation expense because companies use stock-based payment awards
differently, both in the type and quantity of awards granted.
RevPAR.
In addition to the foregoing non-GAAP financial measures, we present Revenue per
Available Room (“RevPAR”) as a performance measure. We believe RevPAR, which we
calculate by dividing property level room revenue by total rooms available for
the period, is a meaningful indicator of our performance because it measures the
period-over-period change in room revenues. RevPAR may not be comparable to
similarly titled measures, such as revenues, and should not be viewed as
necessarily correlating with our fee revenue. We also believe occupancy and
average daily rate (“ADR”), which are components of calculating RevPAR, are
meaningful indicators of our performance. Occupancy, which we calculate by
dividing total rooms sold by total rooms available for the period, measures the
utilization of a property’s available capacity. ADR, which we calculate by
dividing property level room revenue by total rooms sold, measures average room
price and is useful in assessing pricing levels. Comparisons to prior periods
are on a constant U.S. dollar basis, which we calculate by applying exchange
rates for the current period to the prior comparable period. We believe constant
dollar analysis provides valuable information regarding the performance of
hotels in our system as it removes currency fluctuations from the presentation
of such results.
We define our comparable properties as hotels in our system that were open and
operating under one of our brands since the beginning of the last full calendar
year (since January 1, 2025 for the current period) and have not, in either the
current or previous year: (1) undergone significant renovations or expansions or
a brand change, (2) been converted between company-operated and franchised, or
(3) sustained substantial property damage or business interruption. Our
comparable properties also exclude MGM Collection with Marriott Bonvoy, Design
Hotels, The Ritz-Carlton Yacht Collection, residences, timeshare, and all-
inclusive properties.
We use the term “hotel owners” throughout these schedules to refer,
collectively, to owners of hotels and other lodging offerings operating in our
system pursuant to franchise agreements, management agreements, license
agreements, or similar arrangements, and we use the term “hotels in our system”
to refer to hotels and other lodging offerings operating in our system pursuant
to such arrangements, as well as hotels that we own or lease. The terms “hotel
owners” and “hotels in our system” exclude Homes & Villas by Marriott Bonvoy SM
(which we also exclude from our property and room count), timeshare,
residential, and The Ritz-Carlton Yacht Collection
®
.
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