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Jun 30, 2024
Host Hotels Q2 2024 Earnings Report
Host Hotels & Resorts reported earnings for the second quarter of 2024, marked by strategic acquisitions and comparable hotel Total RevPAR growth.
Key Takeaways
Host Hotels & Resorts, Inc. announced its second-quarter results for 2024, featuring a 0.5% increase in comparable hotel Total RevPAR and a 13.1% rise in net income compared to Q2 2023. The company completed acquisitions of 1 Hotel Central Park and anticipated closing on The Ritz-Carlton O’ahu, Turtle Bay, while also managing the ongoing impacts of the Maui wildfires.
Comparable hotel Total RevPAR increased by 0.5% compared to Q2 2023, driven by group business and food & beverage revenues.
Net income rose by 13.1% to $242 million, with operating profit margin improving to 19.9%.
Adjusted EBITDAre increased by 6.7% to $476 million, supported by recent acquisitions.
The company completed the restoration efforts at The Ritz-Carlton, Naples and reached a $308 million insurance settlement for Hurricane Ian damage.
Host Hotels
Host Hotels
Host Hotels Revenue by Segment
Host Hotels Revenue by Geographic Location
Revenue by Segment
Room Revenue
CapyFin.comRevenue by Geographic Location
U.S. Operations Revenue
CapyFin.comIntl. Operations Revenue
CapyFin.com Forward Guidance
The Company has reduced its full year guidance range as a result of a slower than expected recovery from the wildfires in Maui and moderating leisure transient demand.
Positive Outlook
- Net income (in millions) $683 to $741
- Adjusted EBITDAre (in millions) $1,615 to $1,675
- Diluted earnings per common share $0.95 to $1.03
- NAREIT and Adjusted FFO per diluted share $1.90 to $1.98
- Comparable hotel RevPAR$208 to $213
Challenges Ahead
- Comparable hotel Total RevPAR$344 to $351
- Operating profit margin under GAAP15.3% to 16.0%
- Comparable hotel EBITDA margin29.1% to 29.6%
- the impact from Maui operations is expected to be an approximate decline of 180 basis points in RevPAR and 120 basis points in Total RevPAR.
- continued growth in wages, real estate taxes and insurance.