Marriott International's systemwide third-quarter business transient revenue per available room rose 4 percent year over year, the company reported Monday.
In the U.S. and Canada, Q3 business transient RevPAR increased 5 percent year over year.
Growth in average daily rate accounted for most of those business transient RevPAR gains, according to Marriott CFO Jen Mason.
"We expect those trends will continue," Mason added.
Third-quarter group RevPAR rose 6 percent year over year globally and 7 percent year over year in the U.S. and Canada.
Mason and Marriott CEO Anthony Capuano kept remarks about the segment performances brief in contrast to competitors Hilton Worldwide and Hyatt Hotels Corp. during their earnings calls last week.
Marriott executives during the call didn’t address the planned corporate job cuts the company confirmed last week.
Marriott Q3 Metrics
Marriott's systemwide third-quarter RevPAR increased 6.5 percent year over year to $137.91. ADR rose 4.8 percent year over year to $190.33, and occupancy rose 1.1 percentage points to 72.5 percent.
In the U.S. and Canada, third-quarter ADR grew 4.9 percent year over year to $197.93, while occupancy rose 1.7 percentage points to 73.9 percent.
Looking at chain-scale performance in the U.S. and Canada, select-service RevPAR grew 6.4 percent year over year to $125.45, fueled by a 4.1 percent increase in ADR to $166.28. Premium RevPAR rose 7.9 percent to $162.87 on a 5.1 percent increase in ADR to $227.22. Luxury RevPAR grew 11.9 percent year over year to $297.49, driven by an 8.3 percent increase in ADR to $420.17.
Mason said that while luxury continues to outperform, select-service performance improved quarter over quarter, and bookings through October have the company feeling good about its select brands.
Marriott raised its full-year RevPAR growth outlook to 4.5 percent to 5 percent year over year, up from its previous projection of 3 percent to 3.5 percent. Fourth-quarter RevPAR is projected to increase 4.5 percent to 5 percent year over year.
Total third-quarter revenue increased 8 percent year over year to more than $7 billion. Third-quarter net income rose 9 percent year over year to $794 million.
As of Sept. 30, Marriott's global pipeline was more than 4,200 properties, or more than 634,000 rooms, a more than 6 percent year-over-year increase.
The Marriott Bonvoy membership base grew to approximately 309 million members worldwide at the end of the quarter.
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