MARRIOTT EARNINGS RISE

Source: Marriott Intl.

February 10
Marriott International, Inc. has reported diluted earnings per share of $1.46 for its 1998 fiscal year ended Jan. 1, 1999, an increase of 23 percent over $1.19 in 1997. Net income rose 20 percent to $390 million in 1998, and sales totaled $8.0 billion, up 10 percent from $7.2 billion a year ago.

Marriott Lodging reported a 24 percent increase in operating profit and 20 percent higher sales in 1998. Across the Marriott lodging brands, revenue per available room for comparable company-operated U.S. properties grew by an average of six percent in 1998. Average room rates for these hotels rose more than six percent, well in excess of inflation, while occupancy dipped one-half percentage point to 78 percent.

The company added a net total of 176 properties (27,800 rooms) to its lodging system in 1998, including 13 hotels and timeshare resorts (2,800 rooms) outside the United States. At year-end, the Marriott lodging group encompassed 1,686 properties totaling 324,400 hotel rooms and 3,900 timesharing villas. An additional 200 hotels (approximately 30,000 rooms) are scheduled to open during 1999.

In the same period, Marriott Vacation Club International generated a 10 percent increase in contract sales in 1998, as well as higher income from resort management and financing activities. Strong sales activity was reported at major timeshare resorts in Florida, South Carolina, California, Hawaii, Spain and Aruba. At year-end 1998, MVCI had 16 properties in active sales and an additional eight projects in its resort development pipeline.