Marriott Q3 2026 earnings review

Q3 adjusted EPS beat the LSEG consensus by 6.3%, and full-year guidance rose.

Marriott International · Q3 2026 (Jul–Sep 2026) · Published Nov 2, 2026 · By DeepCell AI · Sources

Marriott Q3 2026 earnings review

Quarter ended September 30, 2026

For information only, not investment advice. No rating or price target.

Built with DeepCell / deepcell.net

1 · Cover

Q3 adjusted EPS beat the LSEG consensus by 6.3%, and full-year guidance rose

  1. 1.Adjusted diluted EPS of $3.02 beat the LSEG consensus of $2.84
  2. 2.Gross fee revenues rose 13.8%, with franchise fees up 15.0%
  3. 3.Worldwide RevPAR rose 6.5%, but Middle East & Africa RevPAR fell 5.3%
  4. 4.Full-year adjusted EPS guidance midpoint rose $0.38 to $12.11
  5. 5.Dividends and buybacks of $3,640M in Jan–Sep exceeded free cash flow

Note: RevPAR is revenue per available room. Adjusted figures are Marriott’s non-GAAP measures. RevPAR growth is systemwide, in constant dollars.Source: Marriott Form 8-K, Nov 2, 2026; Marriott Form 10-Q, Nov 2, 2026; LSEG via Reuters, Nov 2, 2026; analysis of company data

2

2 · Key takeaways

Q3 adjusted EPS beat the LSEG consensus by 6.3%, and total revenues beat it by 1.2%

Q3 2026 results vs consensus

MetricActualConsensusVarianceResult
Adjusted diluted EPS$3.02$2.84+$0.18 / +6.3%Beat
Total revenues$7.01B$6.92B+$0.09B / +1.2%Beat
Adjusted diluted EPS, Zacks cross-check$3.02$2.86+$0.16 / +5.6%Beat
Total revenues, Zacks cross-check$7.01B$7.04B-$0.04B / -0.5%Miss

Share price reaction

Not shown: the Nov 2 regular-session close was not yet available from two sources when this deck was built.

Note: Consensus is LSEG via Reuters and Zacks via Yahoo Finance, as of Nov 2, before the release. Variance is actual less consensus.Source: Marriott Form 8-K, Nov 2, 2026; LSEG via Reuters; Zacks via Yahoo Finance, Nov 2, 2026; analysis of company data

3

3 · Q3 versus consensus

Full-year adjusted EPS guidance sits 3.2% above the Zacks consensus after a raise

2026 guidance vs Zacks consensus

MetricGuidanceConsensusVariancevs Street
Q4 adjusted EPS (midpoint)$3.175$3.05+$0.125 / +4.1%Above
Full-year adjusted EPS (midpoint)$12.105$11.73+$0.375 / +3.2%Above

Full-year 2026 guidance, Nov 2 vs Aug 3

MetricAug 3 guidanceNov 2 guidanceMidpoint change
Worldwide RevPAR growth3.0%–3.5%4.5%–5.0%+150 bps
Adjusted EBITDA ($M)$5,965M–$6,025M$6,075M–$6,098M+$92M
Adjusted diluted EPS$11.64–$11.81$12.07–$12.14+$0.38
Gross fee revenues ($M)$6,025M–$6,055M$6,137M–$6,145M+$101M

Note: RevPAR is revenue per available room. Variance is guidance midpoint less consensus. Zacks consensus is as of Nov 2, before the release.Source: Marriott Form 8-K, Nov 2, 2026; Marriott Form 8-K, Aug 3, 2026; Zacks via Yahoo Finance, Nov 2, 2026; analysis of company data

4

4 · Guidance

Total revenues rose 8.0% and adjusted EBITDA rose 12.1%

  1. Fees drove the quarterGross fee revenues rose 13.8% to $1,522M.
  2. Adjusted EPS rose faster than net incomeAdjusted diluted EPS rose 22.3%, helped by a 4.1% fall in diluted shares.
  3. Cost reimbursements are pass-throughCost reimbursement revenue was $5,080M of the $7,005M total.

Key figures in $M and YoY % for Q3 2026 vs Q3 2025

$M unless notedQ3 2025Q3 2026YoY
Total revenues$6,489M$7,005M8.0%
Gross fee revenues$1,338M$1,522M13.8%
Operating income$1,180M$1,274M8.0%
Net income$728M$794M9.1%
Adjusted EBITDA$1,349M$1,512M12.1%

Note: Adjusted EBITDA is Marriott’s non-GAAP measure. Cost reimbursement revenue is offset by reimbursed expenses.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

5

5 · Q3 at a glance

US & Canada gross fee revenues rose 12.3%, the fastest of the four segments

Gross fee revenues and segment profit by segment

$M unless noted, Q3 2026 (YoY vs Q3 2025)

SegmentGross feesFees YoYSegment profitProfit YoY
US & Canada$831M12.3%$733M7.8%
EMEA$190M10.5%$166M5.1%
Greater China$71M10.9%$50M13.6%
APEC$92M7.0%$66M4.8%
Total segments—n.a.$1,015M7.4%
Fees outside the segments, mainly co-branded credit card fees, were $338M

Note: EMEA is Europe, Middle East & Africa; APEC is Asia Pacific excluding China. Segment profit is as reported in the 10-Q. The Caribbean & Latin America region is not a reportable segment.Source: Marriott Form 10-Q, Nov 2, 2026; analysis of company data

6

6 · Segment overview

Franchise fees supplied 71.2% of the $184M gross fee revenue increase

Gross fee revenue change by fee type

$M, Q3 2026 vs Q3 2025

$M · Franchise fees: $131M$M · Base management: $20M$M · Incentive fees: $33M$M · Total change: $184MFranchise feesBase managementIncentive feesTotal change$0M$50M$100M$150M$200M$131M$20M$33M$184M
Franchise fees rose 15.0%, including co-branded credit card fees

Note: Bars are each fee line’s YoY change and sum to the total gross fee revenue change.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

7

7 · Where fee growth came from

Asia Pacific excluding China RevPAR rose 9.3%, while Middle East & Africa RevPAR fell 5.3%

RevPAR growth by region

% change YoY, Q3 2026, constant dollars

RevPAR growth · Asia Pacific: 9.3%RevPAR growth · US & Canada: 7.4%RevPAR growth · Europe: 6.4%RevPAR growth · Caribbean & Lat. Am.: 3.2%RevPAR growth · Greater China: -0.3%RevPAR growth · Middle East & Africa: -5.3%AsiaPacificUS & CanadaEuropeCaribbean &Lat. Am.GreaterChinaMiddle East& Africa-10.0%-5.0%0.0%5.0%10.0%9.3%7.4%6.4%3.2%-0.3%
Middle East & Africa RevPAR fell 5.3%, the largest decline of the six regions

Note: RevPAR is revenue per available room. Asia Pacific excludes Greater China. Worldwide RevPAR rose 6.5% to $137.91. Figures are comparable systemwide hotels, in constant dollars.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

8

8 · RevPAR by region

Net income rose 9.1% as operating income rose 8.0%, partly offset by interest expense

Net income

$M, Q3 2025 to Q3 2026

$M · Q3 2025: $728M$M · Operating income: $94M$M · Gains and other: $1M$M · Interest expense: -$21M$M · Interest income: -$4M$M · Equity earnings: -$4M$M · Q3 2026: $794MQ3 2025OperatingincomeGains andotherInterestexpenseInterestincomeEquityearningsQ3 2026$0M$250M$500M$750M$1,000M$728M$94M$1M-$21M-$4M-$4M$794M
Interest expense rose 10.2% as debt grew

Note: Steps are YoY changes; higher interest expense is shown as a reduction. The provision for income taxes was $266M in both quarters.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

9

9 · Net income bridge

Adjusted operating margin rose 110 bps to 65.8%

Operating margin and adjusted operating margin

% of revenue, Q3 2025 vs Q3 2026

Operating margin · Q3 2025: 18.2%Operating margin · Q3 2026: 18.2%Adjusted operating margin · Q3 2025: 64.7%Adjusted operating margin · Q3 2026: 65.8%Q3 2025Q3 20260.0%25.0%50.0%80.0%18.2%18.2%64.7%65.8%

Operating marginAdjusted operating margin

General, administrative and other expenses rose only 1.9%

Note: Adjusted operating margin is adjusted operating income divided by adjusted total revenues, which exclude cost reimbursement revenue.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

10

10 · Margins

Dividends and buybacks of $3,640M were 129% of free cash flow in Jan–Sep

Cash flow and capital returns

$M, nine months ended Sep 30, 2026

$M · Operating cash flow: $3,239M$M · Capital spending: $411M$M · Free cash flow: $2,828M$M · Dividends: $559M$M · Share buybacks: $3,081MOperating cashflowCapitalspendingFree cash flowDividendsShare buybacks$0M$1,000M$2,000M$3,000M$4,000M$3,239M$411M$2,828M$559M
Share buybacks totaled $3,081M; net debt issuance of $1,451M funded the gap

Note: Free cash flow is operating cash flow less capital and technology expenditures. Marriott does not report a discrete Q3 cash flow statement.Source: Marriott Form 10-Q, Nov 2, 2026; analysis of company data

11

11 · Cash flow and capital returns

Incentive management fees rose 22.3%, lifting their share of gross fee revenues

Incentive management fees as a share of gross fee revenues

% of gross fee revenues, Q3 2025 vs Q3 2026

Incentive fees, % of gross fees · Q3 2025: 11.1%Incentive fees, % of gross fees · Q3 2026: 11.9%Q3 2025Q3 20260.0%5.0%10.0%15.0%11.1%11.9%
Incentive fees reached 11.9% of gross fees, from 11.1%

Note: Incentive management fees depend on hotel profits, so they move more than base management fees.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

12

12 · Incentive fees

Net debt rose to $16,390M from $15,846M as buybacks exceeded free cash flow

Cash, debt and net debt

$M, Dec 31, 2025 vs Sep 30, 2026

$MDec 31, 2025Sep 30, 2026
Cash and equivalents$358M$453M
Total debt$16,204M$16,843M
Stockholders’ deficit($3,771M)($5,084M)
Net debt$15,846M$16,390M
Marriott raised its credit facility to $5.0B, maturing in September 2031

Note: Net debt is total debt less cash and equivalents. The deficit reflects share buybacks held as treasury stock.Source: Marriott Form 10-Q, Nov 2, 2026; analysis of company data

13

13 · Balance sheet

Q4 estimates depend on Middle East & Africa RevPAR, down 5.3%, and interest expense, up 10.2%

Indicator
What to watch
Implication
Q3 reading
Middle East & Africa
RevPAR keeps falling
EMEA fee estimates could fall
RevPAR fell 5.3% YoY
Greater China
RevPAR stays negative
Greater China fees could stall
RevPAR fell 0.3% YoY
Net rooms growth
Growth at the low end of 4.5% to 5.0%
Fee growth could slow
Net rooms grew 4.6%
Interest expense
Debt keeps rising
EPS estimates could fall
Interest expense rose 10.2%

Note: RevPAR is revenue per available room; EMEA is Europe, Middle East & Africa. These are analytical watch points, not company targets.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

14

14 · Risks to estimates

Appendix: supporting analysis for segments

ClaimEvidenceCalculation
Segment profit grew in every segmentUS & Canada 7.8%; EMEA 5.1%; Greater China 13.6%; APEC 4.8%Segment profit YoY
Fees outside the four segments roseUnallocated gross fees $276M in Q3 2025 to $338M in Q3 2026Gross fees less the four segments
Segment revenues include cost reimbursementsTotal segment revenues were $6,162MAs reported in the 10-Q

EMEA is Europe, Middle East & Africa; APEC is Asia Pacific excluding China. Source: Marriott Form 10-Q, Nov 2, 2026; analysis of company data

15

15 · Supporting analysis (1/4)

Appendix: supporting analysis for profit and margins

ClaimEvidenceCalculation
Adjusted net income rose faster than net incomeAdjusted net income $674M to $790M (17.2%); net income 9.1%Company non-GAAP reconciliation
Fewer shares lifted EPSDiluted shares fell from 272.5M to 261.2MDiluted weighted average shares
Adjusted EBITDA roseAdjusted EBITDA $1,349M to $1,512M (12.1%)Company non-GAAP reconciliation
Operating margin was flatOperating margin 18.2% in Q3 2025 and 18.2% in Q3 2026Operating income divided by total revenues

Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

16

16 · Supporting analysis (2/4)

Appendix: guidance, cash flow and balance sheet support

ClaimEvidenceCalculation
Q3 adjusted EPS topped the company’s own guideQ3 adjusted EPS was 7.1% above the $2.82 high end of the August guideActual divided by guide high end, less one
Capital return guidance roseAt least $4,800M for 2026, from over $4,500M in AugustAs stated in the outlook
Investment spending guide$1,250M to $1,350M for 2026As stated in the outlook
Buybacks continued in Q3Share repurchases of $1,300M in Q3 2026As stated in the release

Source: Marriott Form 8-K, Nov 2, 2026; Marriott Form 10-Q, Nov 2, 2026; analysis of company data

17

17 · Supporting analysis (3/4)

Appendix: watch items behind guidance and risks

ClaimEvidenceCalculation
Room growth is the fee baseAbout 20,100 net rooms added in Q3; net rooms growth 4.6% YoYAs stated in the release
Pipeline supports future feesOver 634,000 rooms in the development pipelineAs stated in the release
International RevPAR lagged US & CanadaInternational RevPAR +4.4%; US & Canada RevPAR +7.4%Systemwide, constant dollars
Occupancy and rate both roseWorldwide occupancy 72.5%; average daily rate +4.8% YoYSystemwide, constant dollars

RevPAR is revenue per available room. Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

18

18 · Supporting analysis (4/4)

Appendix: revenue and adjusted earnings detail

Revenue detail, $M and YoY %

$M unless notedQ3 2025Q3 2026YoY
Base management fees$314M$334M6.4%
Net fee revenues$1,309M$1,489M13.8%
Owned, leased and other revenue$420M$436M3.8%
Cost reimbursement revenue$4,760M$5,080M6.7%

Adjusted earnings detail, $M and YoY %

$M unless notedQ3 2025Q3 2026YoY
Adjusted total revenues$1,729M$1,925M11.3%
Adjusted operating income$1,119M$1,267M13.2%
Adjusted net income$674M$790M17.2%

Note: Adjusted measures are Marriott’s non-GAAP definitions.Source: Marriott Form 8-K, Nov 2, 2026; analysis of company data

19

19 · Appendix: financial detail

Appendix: sources

  • Filing: Marriott Form 8-K, Nov 2, 2026 — https://www.sec.gov/Archives/edgar/data/1048286/000104828626000040/mar-2026q3xex99earningsrel.htm
  • Filing: Marriott Form 10-Q, Nov 2, 2026 — https://www.sec.gov/Archives/edgar/data/1048286/000104828626000043/mar-20260930.htm
  • Prior guidance: Marriott Form 8-K, Aug 3, 2026 — https://www.sec.gov/Archives/edgar/data/1048286/000104828626000033/mar-2026q2xex99earningsrel.htm
  • Consensus (Q3 results): Reuters citing LSEG, Nov 2 — https://www.investing.com/news/stock-market-news/marriott-raises-annual-room-revenue-growth-forecast-4991130
  • Consensus (Q3 cross-check, Q4 and full year): Zacks via Yahoo Finance, Nov 2 — https://finance.yahoo.com/markets/stocks/articles/marriott-mar-q3-earnings-taking-133003210.html

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20

20 · Sources

Important disclosures and disclaimer

For information only. This presentation is provided for information only. It is not investment, legal, tax or accounting advice, and it is not an offer, or a solicitation of an offer, to buy or sell any security.

No recommendation. It carries no rating, price target or buy, sell or hold view, and it was prepared without regard to any reader's investment objectives, financial situation or needs.

Sources and accuracy. Company figures come from Marriott's Form 8-K (Exhibit 99.1) of November 2, 2026, its Form 10-Q for the quarter ended September 30, 2026, and its Form 8-K of August 3, 2026 for prior guidance. Consensus estimates (LSEG via Reuters, Zacks via Yahoo Finance) are third-party data, credited on the sources page. We have not independently verified third-party data and make no warranty that any information here is accurate, complete or timely.

Forward-looking statements. Company guidance, consensus estimates and the watch items in this deck are forward-looking. They rest on assumptions that may prove wrong, and actual results may differ materially.

Past performance. Past results, including those for Q3 2026, are not a reliable indicator of future results.

Non-GAAP measures. Adjusted figures follow Marriott's own definitions, which exclude cost reimbursement revenue, reimbursed expenses and certain other items. They supplement, and do not replace, GAAP results, and they may not be comparable with other companies' measures. Marriott's earnings release reconciles them to GAAP.

No liability. No liability is accepted for any direct or indirect loss arising from the use of this presentation or its contents.

No affiliation. This presentation is not affiliated with, reviewed or endorsed by Marriott International, Inc. and does not represent Marriott's views. Company and brand names belong to their owners.

How it was made. The deck was built with DeepCell, with figures linked to a model in the file. Readers should check the figures against the original filings and consult a qualified professional adviser before making any investment decision.

Date of analysis. The analysis reflects information available as of November 2, 2026. It will not be updated for later events, and views may change without notice.

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21

21 · Important disclosures

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