Marriott raises full-year room revenue outlook as lodging demand holds strong

Marriott reported third-quarter results and raised its full-year outlook for global revenue per available room, or RevPAR—the average room revenue across both occupied and empty rooms, combining room rates and occupancy. The company said results exceeded its earlier expectations and expects demand to remain strong into 2027.^[1]

Third-quarter RevPAR rose 6.5% worldwide from a year earlier, including 7.4% in the U.S. and Canada and 4.4% in international markets.^[2] Adjusted earnings per share were $3.02, above the consensus estimate of $2.86.^[3]

Marriott pointed to broad-based demand in the U.S. and Canada, while higher room rates also supported results.^[4][1] Travelers booking at higher prices generate more revenue per available room. Marriott mainly earns fees from managing and franchising hotels rather than owning most properties, so stronger hotel business can also lift its fee income; rising fees contributed to this quarter's results.^[5][6]

Expansion adds to that revenue channel: Marriott's net room count was 4.6% higher than a year earlier at quarter-end.^[2] More rooms give the group a larger base on which to earn fees. For rival hotel brands, Marriott's performance is a favorable demand signal, with the benefit dependent on their markets and guest mix; Marriott's view of 2027 remains a company forecast.^[1]

Impact

What to watch next

• The November 6 U.S. jobs report for October: employment and wage growth will test the household-income backdrop for travel spending, without directly establishing hotel booking trends.