Marriott 4Q earnings up on higher room revenue

Bethesda, Maryland: Marriott International reported better-than-expected quarterly results as room revenue rose, aided by rising international travel and higher rates, and the hotel operator said it expects per-room revenue to rise further in 2013.

Marriott said it expects revenue per available room (revPAR), a key metric that measures hotel health, to rise 4 to 7 per cent this year.

During the fourth quarter, worldwide revPAR rose 6 per cent while room rates were up 4 per cent, said the owner of brands such as Ritz-Carlton, Residence Inn and Courtyard by Marriott.

Net income was $181 million (Dh664.64 million), or 56 cents per share, in the fourth-quarter, up 28 per cent from $141 million, or 41 cents per share, a year earlier, Marriott said in a statement.

Increased demand from corporate customers has led to a recovery in North America — the source of more than three quarters of its revenue.