Marriott International Inc. (NASDAQ:MAR)

The analysis of the annual financial data reveals the following trends in current and adjusted current assets over the five-year period ending December 31, 2019.

Current Assets

Current assets experienced significant growth from 2015 to 2016, increasing from 1,384 million US dollars to 3,371 million US dollars. Following this peak in 2016, there was a decline in 2017 to 2,747 million US dollars, with values remaining relatively stable in 2018 at 2,706 million US dollars. In 2019, current assets increased again to 3,127 million US dollars. Overall, the trend shows volatility with a notable spike in 2016, a decrease in the two subsequent years, and a partial recovery in 2019.

Adjusted Current Assets

Adjusted current assets mirror the pattern observed in current assets, starting at 1,409 million US dollars in 2015 and increasing sharply to 3,391 million US dollars in 2016. This value decreased to 2,776 million US dollars in 2017 and remained nearly stable in 2018 at 2,772 million US dollars. In 2019, adjusted current assets rose again to 3,203 million US dollars. The adjustment does not significantly alter the overall trend but shows slightly higher values compared to unadjusted current assets throughout the period.

In summary, both current and adjusted current assets demonstrate a cyclical pattern with a peak in 2016, a dip during the following two years, and a resurgence in 2019. This suggests fluctuations in liquidity or asset management strategies during the timeframe under review.

Total assets

The total assets experienced a significant increase from 2015 to 2016, rising sharply from 6,082 million US dollars to 24,140 million US dollars. Following that notable jump, total assets remained relatively stable with slight fluctuations, decreasing marginally to 23,948 million in 2017 and 23,696 million in 2018 before increasing again slightly to 25,051 million in 2019.

Adjusted total assets

Adjusted total assets followed a similar pattern to total assets, starting at 6,241 million US dollars in 2015 and increasing substantially to 25,452 million in 2016. After this steep rise, adjusted assets continued to grow marginally to 25,703 million in 2017, followed by a small decline to 25,212 million in 2018 and a further slight decrease to 24,973 million in 2019.

Overall trends and insights

The notable increase in both total and adjusted total assets between 2015 and 2016 indicates a major event or strategic change such as acquisition, significant capital investment, or revaluation. Subsequent years showed stabilization with minor year-to-year variations, suggesting consolidation and maintenance of asset levels. The slight declines observed after 2017 in adjusted total assets diverge somewhat from the total assets’ slight increase in 2019, which may point to differences in asset valuation methods or adjustments applied.

The financial data indicates a consistent upward trend in both current liabilities and adjusted current liabilities over the five-year period examined. Beginning at US$ 3,233 million in 2015, current liabilities increased substantially to US$ 6,677 million by the end of 2019. Similarly, adjusted current liabilities showed a comparable pattern, rising from US$ 3,233 million in 2015 to US$ 6,557 million in 2019.

This continuous increase suggests a growing short-term financial obligation, which may reflect increased operational activities, expansion, or changes in working capital management. The slight difference between current liabilities and adjusted current liabilities in later years indicates some adjustments made to better reflect the liabilities' nature or categorization.

Overall, the data reveals a doubling of current liabilities within the five-year span, signaling a need for close monitoring of liquidity and short-term financial strategy to ensure sustainable operations.

Current Liabilities

Increased from US$ 3,233 million in 2015 to US$ 6,677 million in 2019, reflecting a steady upward trajectory.

Adjusted Current Liabilities

Mirrored the trend of current liabilities, rising from US$ 3,233 million in 2015 to US$ 6,557 million in 2019, with minor adjustments compared to current liabilities.

Insights

The rise in these liabilities suggests expanding short-term obligations, which could be linked to operational growth or restructuring. This trend necessitates vigilant cash flow and liquidity management.

The financial data reveals a consistent upward trend in both total liabilities and adjusted total liabilities over the five-year period analyzed.

Total Liabilities

Total liabilities increased significantly from US$9,672 million at the end of 2015 to US$24,348 million by the end of 2019. This represents a cumulative increase of approximately 151.6%. The year-over-year growth appears steady, with the largest annual increase occurring between 2015 and 2016, suggesting a possible strategic expansion or increased leverage during that time.

Adjusted Total Liabilities

Adjusted total liabilities also exhibited an upward trajectory, rising from US$10,462 million in 2015 to US$23,098 million in 2019. Although this measure remained consistently higher than the reported total liabilities, the spread between adjusted and total liabilities narrowed slightly over time. The growth rate of adjusted liabilities was substantial but somewhat less pronounced after 2016, indicating a possible stabilization in the adjustment factors or components considered.

Overall, the data suggests an increasing leverage position, possibly driven by growth initiatives or capital investments. The company’s liabilities grew at a strong pace, which might warrant attention to debt management and interest obligations. The narrowing gap between adjusted and total liabilities could also indicate changes in accounting treatments or adjustments related to off-balance-sheet items.

The financial data reflects significant fluctuations in both shareholders' equity and adjusted shareholders’ equity over the five-year period ending in 2019. Notably, shareholders’ equity transitioned from a substantial deficit in 2015 to positive equity from 2016 onwards.

Shareholders’ Equity (Deficit)

In 2015, the company reported a negative shareholders’ equity of -$3,590 million, indicating more liabilities than assets at that time. By the end of 2016, the equity position improved dramatically to a positive $5,357 million, marking a substantial turnaround. However, this positive trend did not maintain a steady upward trajectory; equity declined over the next three years, dropping to $3,731 million in 2017, $2,225 million in 2018, and further down to $703 million in 2019. Although the equity remained positive during these years, the downward trend suggests potential pressures or challenges affecting the company’s net asset base.

Adjusted Shareholders’ Equity (Deficit)

The adjusted shareholders’ equity, which likely accounts for certain adjustments not reflected in the standard equity figure, mirrors the trend of the unadjusted equity but depicts greater magnitude in both deficit and positive figures. The deficit was deeper in 2015 at -$4,221 million but shifted to a strong positive $6,281 million in 2016. Following this peak, adjusted equity declined each year, reaching $4,271 million in 2017, $3,436 million in 2018, and $1,875 million in 2019. This decrease suggests a similar pattern of asset value contraction or liability increase when viewed under adjusted metrics.

Overall, the data exhibits a recovery phase from a negative equity position to a positive one in 2016, followed by a consistent decline through 2019 for both standard and adjusted equity measures. This pattern may reflect external market conditions, operational challenges, or strategic decisions impacting the company's financial structure during the latter years of the period. The persistence of positive equity after 2016 remains a favorable sign, although the downward trend warrants attention for potential risks to financial stability.

The financial data reveals several notable trends over the five-year period.

Total reported debt

The total reported debt increased substantially from 4,107 million USD in 2015 to 10,940 million USD in 2019. The most significant rise occurred between 2015 and 2016, nearly doubling, followed by moderate fluctuations and a steady increase thereafter.

Shareholders’ equity (deficit)

Shareholders’ equity transitioned from a deficit position of -3,590 million USD in 2015 to a positive 5,357 million USD in 2016, indicating a sharp improvement. However, it subsequently declined year-over-year to 703 million USD by 2019, reflecting a diminishing equity base after the peak in 2016.

Total reported capital

Total reported capital, the sum of debt and equity, saw a significant jump from 517 million USD in 2015 to 13,863 million USD in 2016. Although it decreased gradually in the following years, it remained relatively stable between 11,500 and 12,000 million USD from 2017 onwards.

Adjusted total debt

Adjusted total debt mirrored the trend in reported debt, climbing from 4,913 million USD in 2015 to 11,952 million USD in 2019. The incremental increases were consistent, suggesting a rising reliance on debt financing over the period.

Adjusted shareholders’ equity (deficit)

This measure reflected a similar pattern to reported equity, starting from a deficit of -4,221 million USD in 2015 and improving to 6,281 million USD in 2016. Thereafter, it declined steadily to 1,875 million USD by 2019, indicating weakening equity levels after the strong recovery in 2016.

Adjusted total capital

Adjusted total capital increased sharply from 692 million USD in 2015 to 16,195 million USD in 2016, followed by a gradual decline to 13,827 million USD in 2019. Despite the decrease, capital levels remained significantly elevated compared to the initial year.

Overall, the data indicates a significant increase in debt and capital in the year 2016 followed by a stabilization or modest decline in equity and capital in subsequent years. The considerable rise in total debt suggests growing leverage, while the declining equity levels after 2016 point to potential pressure on the company’s financial stability. The adjustments made to debt and equity values exhibit trends closely aligned with the reported figures but consistently reflect a more conservative capital structure.

The financial data reveals several notable trends in the company's revenue performance over the five-year period ending December 31, 2019.

Revenues

Revenues exhibited an overall upward trajectory from 2015 through 2019. Starting at $14,486 million in 2015, revenues increased steadily to $17,072 million in 2016. A substantial leap occurred in 2017, with revenues reaching $22,894 million, marking the most significant annual growth within the period. However, revenues experienced a decline in 2018, falling to $20,758 million, representing a decrease of approximately 9.3% from the previous year. This decline was followed by a slight recovery in 2019, with revenues edging up to $20,972 million, although still below the peak achieved in 2017.

Adjusted Revenues

Adjusted revenues followed a similar pattern, which corroborates the overall revenue trends. The values were identical to total revenues from 2015 through 2017, indicating that adjustments began to impact reported figures starting in 2018. In 2018, adjusted revenues stood at $20,904 million, slightly higher than the unadjusted figure by $146 million, suggesting some adjustments improved the revenue figure. In 2019, adjusted revenues increased marginally to $21,101 million, maintaining a consistent premium to the unadjusted revenues.

In summary, the company experienced strong revenue growth through 2017, followed by a decline and plateauing in the subsequent two years. The introduction of adjusted revenues in 2018 and 2019 indicates a refinement in revenue reporting, with adjusted figures slightly exceeding the raw revenue amounts. This might reflect management’s efforts to provide a clearer view of underlying revenue performance, potentially by excluding non-recurring items or other adjustments. The volatility observed after 2017 suggests external or internal factors impacting business performance, warranting further examination to understand the causes behind the revenue decline and stabilization.

The analysis of the financial data reveals fluctuations in both net income and adjusted net income for the company over the five-year period from 2015 to 2019.

Net Income

The net income exhibits variability, beginning at 859 million US dollars in 2015, followed by a decline to 780 million in 2016. Subsequently, there is a marked increase to 1,372 million in 2017 and 1,907 million in 2018, indicating a period of strong profitability growth. However, in 2019, net income declines significantly to 1,273 million, suggesting a reversal in the upward trend observed in the preceding years.

Adjusted Net Income

The adjusted net income shows a somewhat different pattern. It starts close to net income at 864 million in 2015 but drops more sharply to 578 million in 2016. Unlike net income, adjusted net income peaks earlier at 1,742 million in 2017, before decreasing to 1,594 million in 2018 and then further to 1,278 million in 2019. This trend implies that while the company’s core earning power improved substantially up to 2017, it experienced a gradual decline afterward.

Overall, the data suggests that the company experienced growth in profitability particularly between 2016 and 2018. Despite the peak in 2018 for net income, both net income and adjusted net income decreased in 2019, which may indicate challenges impacting earnings during that year. Additionally, the differences between net income and adjusted net income suggest the presence of factors affecting reported earnings, with adjusted figures reflecting a more conservative or normalized profit measure.