Hotel operator Marriott International raised annual room revenue growth forecast on Wednesday, betting that strong U.S. travel demand would drive bookings across its properties.
Reuters – After a challenging year when inflation and growth worries pinched customer budgets, U.S. travel is regaining momentum, a shift echoed in airlines' latest results.
Marriott reiterated its optimism about international tourism, supported by the FIFA World Cup, and expects the uplift to continue in the third quarter.
It expects 2026 revenue per available room — a key lodging metric that acts as a proxy for pricing power — to grow between 2% and 3%, compared with a 1.5% to 2.5% increase forecast earlier. Its shares gained about 2%.
Middle East Impact
Uncertainty from the Middle East conflict looms as it risks raising consumer costs and dampen travel spending. First-quarter room revenue in Middle East and Africa fell 1.9%, while occupancy was down 5.4%.
