Marriott plans to add 1,300 hotels by end of 2017
NEW YORK (AP) — Marriott said Monday it plans to add 1,300 hotels by the end of 2017 to capitalize on economic growth and the expanding middle class overseas, with a focus on Asia.
The company said it will gain 200,000 to 235,000 rooms, which could add $450 million to its annual revenue. It plans to have 300 to 315 locations in Asia by the end of 2017, or at least double the 150 hotels it had there at the end of 2013.
“Economic growth and rising middle classes are driving this travel, and we now have more hotels open or in development outside the U.S. than at any time in our company’s history,” Marriott President and CEO Arne Sorenson said in a press release.
Marriott International Inc. had 3,916 company-operated, licensed, or franchised hotels at the end of 2013.
The company said its profit could reach $4 to $4.60 per share by 2017. That assumes revenue per available room — a key measurement often referred to as RevPAR — grows 4 to 6 percent per year through 2017.
The Bethesda, Maryland, company announced its plans ahead of a meeting with analysts on Monday. Shares of Marriott rose 17 cents to $71 in midday trading.