China slowdown hits Marriott despite global growth
Marriott International lowered its annual profit forecast on Monday, citing weak domestic travel in China, which overshadowed strong demand from international and group travelers. The company reported a 7.9% drop in revenue per available room in Greater China during Q3 and expects negative RevPAR growth in China for both Q4 and the full year. While global leisure room revenue remained flat, Marriott’s group segment saw a strong performance, with RevPAR rising 10% in Q3. Despite this, Marriott’s adjusted profit for Q3 missed analysts’ expectations, and its adjusted EBITDA forecast was lowered for the second consecutive quarter. The company now expects full-year adjusted profit to be between $9.19 and $9.27 per share, down from its previous estimate of $9.23 to $9.40.