Falling revenue did not prevent S&P 500 (NYSE:SPY) component Marriott International Inc. (NYSE:MAR) from reporting a profit boost in the first quarter. Marriott International operates and franchises hotels and related lodging facilities throughout the world.
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Marriott International Earnings Cheat Sheet for the First Quarter
Results: Net income for Marriott International Inc. rose to $104 million (30 cents per share) vs. $101 million (26 cents per share) in the same quarter a year earlier. This marks a rise of 3% from the year-earlier quarter.
Revenue: Fell 8.1% to $2.55 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Marriott International Inc. beat the mean analyst estimate of 29 cents per share. It fell short of the average revenue estimate of $2.61 billion.
Quoting Management: Arne M. Sorenson, president and chief executive officer of Marriott International, said, “Results were terrific in the first quarter of 2012. There is tremendous strength in global travel today; travelers are on the road, attending meetings, making sales calls and taking family vacations.”
A year-over-year revenue decrease last quarter snaps a streak of four consecutive quarters of revenue increases. The best quarter in that span was the second quarter of the last fiscal year, which saw revenue rise 19.6%.
The company topped expectations last quarter after falling short of forecasts in the fourth quarter of the last fiscal year with net income of 46 cents versus a mean estimate of net income of 47 cents per share.
Looking Forward: Expectations for the company’s next-quarter performance are higher than they were ninety days ago. Over the past three months, the average estimate for the second quarter has risen to 42 cents per share from 41 cents. Over the past three months, the average estimate for the fiscal year has climbed from $1.59 per to share to $1.60.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
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