Marriott International Inc (NASDAQ:MAR) stock fell 0.55% (As on February 15, 11:20:54 AM UTC-4, Source: Google Finance) after the company expects an over 30% rise in its 2023 revenue per available room (RevPAR), a key measure for a hotel’s top-line performance, in China from a year ago after strict COVID-19 restrictions were lifted. Hotel operators were affected by uneven recovery in China as a rise in infections led to indefinite lockdowns, which in turn extended the construction timelines of some luxury properties and impeded travel to the world’s second largest economy. Marriott, however, in January saw a surge in demand from the region during the Chinese New Year holiday, as it benefited from new open border policies and the lifting of quarantine requirements. Adjusted operating income in the 2022 fourth quarter totaled $926 million, compared to 2021 fourth quarter adjusted operating income of $578 million.  Fourth quarter 2022 adjusted net income totaled $622 million, compared to 2021 fourth quarter adjusted net income of $430 million. At year-end 2022, Marriott’s total debt was $10.1 billion and cash and equivalents totaled $0.5 billion, compared to $10.1 billion in debt and $1.4 billion of cash and equivalents at year-end 2021.

Moreover, for the fourth quarter, worldwide RevPAR grew 5 percent compared to 2019, driven by a 13 percent increase in ADR.  With the exception of Greater China, RevPAR in all regions more than fully recovered and continued to show meaningful advances in occupancy and ADR.  The international business posted RevPAR 3 percent above 2019 levels in the fourth quarter. In the largest region, the U.S. & Canada, RevPAR increased 5 percent over the 2019 quarter, driven by further improvement in occupancy and an 11 percent increase in ADR. Leisure demand remained robust and group demand more than fully recovered, leading to fourth quarter group revenues 10 percent above pre-pandemic levels.  Business transient demand was at nearly 90 percent recovery in the quarter, while ADR was 3 percent above 2019.

MAR in the fourth quarter of FY 22 has reported the adjusted earnings per share of $1.96, beating the analysts’ estimates for the adjusted earnings per share of $1.83. The company had reported the adjusted revenue growth of 33 percent to $5.92 billion in the fourth quarter of FY 22, beating the analysts’ estimates for revenue of $5.47 billion.

Meanwhile, the company expects its adjusted profit in the current quarter to come in between $1.82 and $1.88 per share, compared with analysts’ estimates of $1.66 per share, as per Refinitiv data.