{"id":1500493,"date":"2024-11-05T10:45:00","date_gmt":"2024-11-05T15:45:00","guid":{"rendered":"https:\/\/bugaluu.com\/news\/?p=1500493"},"modified":"2024-11-05T10:45:00","modified_gmt":"2024-11-05T15:45:00","slug":"double-that-of-past-election-cycles-marriott-says-election-weighing-on-hotel-demand","status":"publish","type":"post","link":"https:\/\/bugaluu.com\/news\/double-that-of-past-election-cycles-marriott-says-election-weighing-on-hotel-demand\/1500493\/","title":{"rendered":"“Double That Of Past Election Cycles”:\u00a0Marriott Says\u00a0Election Weighing On Hotel Demand\u00a0"},"content":{"rendered":"

“Double That Of Past Election Cycles”:\u00a0Marriott Says\u00a0Election Weighing On Hotel Demand\u00a0<\/span><\/p>\n

\n

Shares of\u00a0Marriott International slumped 2% on Monday after the\u00a0Bethesda, Maryland-based hotel company slashed its adjusted earnings per share guidance for the full year. The gloomy outlook missed the average analyst estimate tracked by Bloomberg.\u00a0<\/p>\n

During a Monday morning earnings call, Marriott CFO Leeny Oberg told investors that consumers had pulled back on travel this month, citing headwinds around mounting US election uncertainty.\u00a0\u00a0<\/p>\n

<\/a><\/p>\n

“Fourth quarter REVPAR [revenue per available room] growth<\/strong> in the US and Canada is currently expected to be generally in line with the third quarter with strong leisure and BP trends in October, offsetting weakness in November due to tomorrow’s election. The election impact<\/strong> on US and Canada REVPAR is forecasted to be around negative 300 basis points in November, and negative 100 basis points for the quarter, double that of past election cycles<\/strong>, as we have meaningfully lower transient and group room nights on the books for both this week and next,”\u00a0Oberg said.\u00a0<\/p>\n

Marriott CEO\u00a0Anthony Capuano told investors that fourth-quarter revenues were trending “roughly flat” due to the negative impact of the US election.\u00a0<\/strong><\/p>\n

Here’s a snapshot of\u00a0Marriott’s third-quarter earnings (courtesy of Bloomberg):<\/p>\n

Adjusted EPS $2.26 vs. $2.11 y\/y, estimate $2.31<\/em><\/p>\n

EPS $2.07 vs. $2.51 y\/y <\/em><\/p>\n

Revenue $6.26 billion, +5.5% y\/y, estimate $6.27 billion<\/em><\/p>\n

North America REVPAR change in constant currency +2.1%<\/em><\/p>\n

Worldwide REVPAR change in constant currency +3%<\/em><\/p>\n

Adjusted Ebitda $1.23 billion, +7.6% y\/y, estimate $1.24 billion<\/em><\/p>\n

Adjusted operating income $1.02 billion, +6% y\/y, estimate $1.04 billion<\/em><\/p>\n

Adjusted operating margin 62% vs. 62% y\/y, estimate 64.2%<\/em><\/p>\n

Total location count 9,068, +4.5% y\/y, estimate 8,851<\/em><\/p>\n

Total rooms at end of period 1.67 million, +5.9% y\/y, estimate 1.67 million<\/em><\/p>\n

Fourth quarter forecast:<\/p>\n

Sees adjusted EPS $2.31 to $2.39, estimate $2.43<\/em><\/p>\n

Sees adjusted Ebitda $1.24 billion to $1.27 billion, estimate $1.28 billion<\/em><\/p>\n

Sees Gross fee revenues $1.29 billion to $1.31 billion<\/em><\/p>\n

Full-year forecast:<\/p>\n

Sees adjusted EPS $9.19 to $9.27, saw $9.23 to $9.40, estimate $9.36 (Bloomberg Consensus)<\/em><\/p>\n

Sees adjusted Ebitda $4.93 billion to $4.96 billion, saw $4.95 billion to $5.02 billion, estimate $4.99 billion<\/em><\/p>\n

Sees Gross fee revenues $5.13 billion to $5.15 billion, saw $5.13 billion to $5.18 billion<\/em><\/p>\n

Besides Marriott, earnings call mentions of “election” have surged this earnings season, surpassing the number of mentions in the prior election cycle and rivaling the +3,000 mentions in the fourth quarter of 2016.\u00a0<\/p>\n

<\/a><\/p>\n

Blame it on the election uncertainty – classic.\u00a0\u00a0<\/p>\n<\/div>\n

Tyler Durden<\/a><\/span>
\nTue, 11\/05\/2024 – 05:45<\/span><\/p>\n

\u200bhttps:\/\/www.zerohedge.com\/markets\/double-past-election-cycles-marriott-says-election-weighing-hotel-demand<\/a>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"

“Double That Of Past Election Cycles”:\u00a0Marriott Says\u00a0Election Weighing On Hotel Demand\u00a0 Shares of\u00a0Marriott International slumped 2% on Monday after the\u00a0Bethesda, Maryland-based hotel company slashed its…<\/p>\n","protected":false},"author":0,"featured_media":1500494,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1500493","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","wpcat-1-id"],"_links":{"self":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1500493","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/comments?post=1500493"}],"version-history":[{"count":0,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/posts\/1500493\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media\/1500494"}],"wp:attachment":[{"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/media?parent=1500493"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/categories?post=1500493"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/bugaluu.com\/news\/wp-json\/wp\/v2\/tags?post=1500493"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}