Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Marriott International's Q2 FY2026 results saw net fee revenues surge 13% year-over-year, propelled by a 19% jump in franchise fees from new co-branded credit card deals and RevPAR growth. However, a $68 million impairment charge on a U.S. & Canada hotel, along with a property litigation accrual, caused operating income to slip 0.6% and segment profit to decline. Worldwide RevPAR rose 3.4%, but performance diverged sharply, with the Middle East & Africa region hit by the ongoing conflict.
Revenue
$7.07B
+4.85% YoY
EPS (Diluted)
$2.90
+4.32% YoY
Operating Income
$1.23B
-0.57% YoY
Source: SEC XBRL
Marriott International (MAR) reported Q2 FY2026 revenue of $7.07B, up 4.8% year over year. Operating margin was 17.4%, down 0.9 points from 18.3% a year earlier. MAR's fiscal Q2 FY2026 corresponds to calendar Q2 2026.
Last 4 quarters: 3 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Mar 2026 | 2.72 | 2.58 | Beat +5.5% |
| Dec 2025 | 2.58 | 2.64 | Miss -2.2% |
| Sep 2025 | 2.47 | 2.42 | Beat +2.2% |
| Jun 2025 | 2.65 | 2.65 | Beat +0.1% |
4 reported segments · SEC XBRL
Segment revenue totals $6.31B; with $761M of reconciling items (corporate, unallocated and eliminations) it ties to the $7.07B of consolidated revenue on the income statement.
Profit above is reported as operating income, the measure MAR itself discloses in this filing. Each company chooses its own measure here, so these margins are not comparable with another company's.
Compiled by AI from 10-Q Item 2 of this filing
Systemwide comparable RevPAR increased 3.4% in Q2 FY2026, with ADR up 3.5% and occupancy nearly flat. Growth was strongest in U.S. & Canada (5.0%), while the Middle East & Africa saw a 33.1% decline.
Source: 10-Q Item 2 MD&A
Marriott executed new multi-year agreements with JPMorgan Chase and American Express, which are expected to favorably impact Cost reimbursement revenue and Franchise fees in future periods.
Source: 10-Q Item 2 MD&A
During Q2 2026, the company recorded a $68 million impairment charge on a U.S. & Canada hotel, contributing to the decline in segment profit and operating income.
Source: 10-Q Item 2 MD&A
A $27 million property-related litigation accrual weighed on Owned, leased, and other revenue, net of expense, causing a 37% decline in that line.
Source: 10-Q Item 2 MD&A
Management expects full-year 2026 net rooms growth to be toward the low end of the 4.5% to 5.0% range, with over 3,000 net rooms added in Q2.
Source: 10-Q Item 2 MD&A
Compiled by AI from this SEC filing · 1 high, 3 medium, 1 low
Stockholders' equity was -$4.5 billion as of June 30, 2026, reflecting large share buybacks ($1.8 billion YTD) and dividends that exceed net income, potentially limiting financial flexibility.
Source: 10-Q Balance Sheet (XBRL)
The conflict in the Middle East caused a sharp RevPAR decline in the Middle East & Africa region (down 33.1% in Q2), which may persist and spread to other regions.
Source: 10-Q Item 2 MD&A
Franchise fees benefited $73 million from higher co-branded credit card fees in Q2. Any disruption to these agreements or consumer spending on such cards could materially affect revenues.
Source: 10-Q Item 2 MD&A
Although most properties are franchised/managed, the company owns or leases 50 hotels, and recorded a $68 million impairment in Q2. Further impairments could arise if property values decline.
Source: 10-Q Item 2 MD&A
With a current ratio of 0.53 and cash of only $462 million, Marriott relies on its $4.5 billion credit facility and commercial paper programs to meet short-term obligations.
Source: 10-Q Item 2 MD&A
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 7.07 $B | 6.74 $B | +4.85% |
Operating Income $B | 1.23 $B | 1.24 $B | -0.57% |
Net Income $M | 766.00 $M | 763.00 $M | +0.39% |
EPS (Basic) $ | 2.90 $ | 2.78 $ | +4.32% |
EPS (Diluted) $ | 2.90 $ | 2.78 $ | +4.32% |
Answers draw on this SEC filing and the data on this page
Expected release date, analyst estimates & what to watch
Marriott International delivered solid Q1 2026 revenue growth of 6.2% to $6.65B with operating income up 12.2%, though net income dipped 2.6% to $648M and the company continues to carry a deeply negative stockholders' equity driven by aggressive share buybacks.
Marriott International delivered solid FY2025 results with revenue rising 4.3% to $26.2B and net income growing 9.5% to $2.6B, driven by strong operating leverage and robust free cash flow generation, even as negative stockholders' equity deepened due to aggressive share buybacks.
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