The FINANCIAL — Full year 2013 net income totaled $626 million compared to $571 million for full year 2012, according to Marriott International, Inc.
Full year 2012 net income included the $25 million after-tax Courtyard joint venture gain.
Full year 2013 diluted earnings per share (EPS) totaled $2.00 compared to $1.72 in 2012. On October 30, 2013, the company forecasted full year diluted EPS of $1.98 to $2.01.
“2013 was a year of firsts. Strong REVPAR growth and new hotels drove Marriott’s fee revenue to a record $1.5 billion. We signed contracts with owners and franchisees for 67,000 new rooms, the most productive year in our history averaging more than one hotel every day. Our development pipeline reached a record 195,000 rooms," said Arne M. Sorenson, president and chief executive officer of Marriott International.
“Our North American group sales organization booked $3.4 billion in new group business in 2013 for all future periods, eclipsing their prior record from 2007. Group revenue on the books for 2014 is running more than 4 percent higher than 2013 levels for the Marriott brand. Special corporate negotiated rates are nearly complete with room rates expected to rise about 5 percent in 2014.
“Marriott Rewards and Ritz-Carlton Rewards signed a combined 3.4 million new members, contributing to the nearly 50 percent growth in membership over the last 5 years. Roughly 45 percent of that 5-year growth was outside the U.S. In 2013, a record 25 percent of room nights were booked on Marriott.com. Marriott mobile reservations surged by 67 percent in 2013 and we introduced mobile check-in for all Marriott Hotels in the United States, another industry first.
“For 2014, we expect worldwide systemwide REVPAR to increase 4 to 6 percent. With our strong development pipeline and the anticipated addition of the Protea hotels in Africa, we expect rooms growth will accelerate to approximately 6 percent gross or roughly 5 percent, net of deletions.
“During 2013, we were pleased to return over $1 billion to our shareholders through dividends and share repurchases, the top end of our expectations for the year. In 2014 we could return an additional $1.25 billion to $1.5 billion to our shareholders. In fact, we have already repurchased 5 million shares for $246 million dollars year-to-date. Over the last three years, we have returned over $3.9 billion to our shareholders through share repurchases and dividends and reduced our average fully diluted shares by 17 percent,” Sorenson added.
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