The review of Net Profit Margin witnessed a mixed trend. The Net Profit Margin improved from 6.07% in 2019 to 13.00% in 2023.
The average EBIT Margin for the period under analysis was 10.88%, with 2020 and 2022 performing the worst and best, respectively.
In the current year, Marriot was able to cover its interest liabilities 6.98 times – compared to 2019 when it was 5.06 times.
The Capital turnover stood at 15.03 times in 2023 from 8.69 in 2019, implying a high performance on Capital of the business in relation to revenue.
Profitability
The revenue of Marriot has fluctuated year on year. The revenue decreased by -49.59% between 2019 and 2020 and a further 49.91% increase was recorded between 2021 and 2022. There also occurred an increase of 14.15% between 2022 and 2023 (the current period).
Marriot’s performance in profitability looks good as the return on capital employed also recorded good performance during the period of analysis.
Liquidity
The company’s result in liquidity looks weak, as current ratio decreased from 0.45:1 to 0.43:1 on the last year. Which implies that the company does not have enough assets to settle its current liabilities.
Capital Structure
Marriot is both equity and debt financed.
The debt-to-equity (D/E) ratio has been fluctuating year on year. The gearing position of the company appears to be low as it stood at a negative 18.71 in the current year.
