12:26 PM EST, 02/11/2025 (MT Newswires) -- Marriott ( MAR ) reported fourth-quarter results above market expectations on Tuesday, while the hotel giant issued downbeat earnings outlooks for the first quarter and full-year 2025.

The company expects adjusted earnings of $2.20 to $2.26 per share for the ongoing quarter, while the consensus on FactSet is for $2.36. For 2025, adjusted EPS is pegged at $9.82 to $10.19, compared with the Street's view for $10.63. The metric declined 7% on an annual basis to $9.33 in 2024.

Shares of the hospitality company fell 5.8% in midday trading.

For the three months through Dec. 31, Marriott's ( MAR ) adjusted EPS declined to $2.45 from $3.57 the year before, but topped the average analyst estimate of $2.39. Overall revenue rose 5% to $6.43 billion, just ahead of the Street's $6.4 billion forecast.

Comparable systemwide revenue per available room, or revPAR, growth totaled 5% worldwide, driven by average daily rate and occupancy gains, Chief Executive Anthony Capuano said in a statement. RevPAR for the US and Canada rose 4.1%, while China decreased 1.7%.

"The drop in occupancy around November's US selection was not as severe as we had anticipated with demand rebounding quickly after the election," Capuano said during an earnings call, according to a FactSet transcript. The revPAR decline in China was better than expected as the country "benefited from the recent expanded visa-free transit policy and better-than-anticipated demand across multiple holidays and citywide events," he told analysts.

Gross fee revenue advanced 7% to $1.33 billion due to factors including higher revPAR, room additions and a gain in credit card fees, Chief Financial Officer Kathleen Oberg said on the call.

The company estimates worldwide revPAR growth at 3% to 4% for the ongoing quarter and 2% to 4% for the full year. Net rooms growth is projected at 4% to 5% for 2025, compared with a 6.8% rise recorded in the previous year.

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