BILLION

Marriott’s boss praised consumers’ love of travel after the company posted revenue that surpassed analyst earnings and surpassed pre-pandemic levels.

Hoteliers reported revenue of $5.3 billion (£4.4 billion) for the second quarter of 2022, up 70 per cent year-on-year and just ahead of 2019 levels, while pre-tax profits hit 870 millions of dollars.

Marriott CEO Anthony Capuano said: “Marriott’s second quarter results show consumers’ love for travel… as our loyal guests return on the road.

“The global accommodation recovery continued – with demand increasing across all customer segments throughout the quarter and nearly all countries easing travel restrictions. Looking ahead, we are optimistic about our financial outlook and strong cash flow. “

The company’s revenue per room is just 1% below pre-pandemic levels, while in Europe it was just before 2019, fueled by a renaissance in international travel. Revenue per room in China is still less than half the levels seen in 2019, amid continued quarantine and travel restrictions in the country.

Capuano said Marriott is embarking on a $2.2 billion dividend and stock buyback plan for 2022. The company is aiming for aggressive expansion, with more than 200,000 rooms currently under construction, including including 5 new all-inclusive resorts.

The results show a renewed enthusiasm among travelers for international travel as the changing outlook of the tourism industry is gaining momentum. Last month, British Airways owner IAG reported revenue growth of 73 per cent from the previous quarter to £4.9 billion, while European low-cost carrier Wizz Air said it had carried 4.3 million passengers in June, more than double the previous year and up 5% on the May numbers.

Marriott’s results sent shares up 1.3% after the market open in New York, while shares of rivals Hilton and Hyatt rose 1.6% and 0.3%, respectively.