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Sep 30, 2022

Host Hotels Q3 2022 Earnings Report

Host Hotels & Resorts reported strong operating results due to continued rate strength and increased group and business travel.

Key Takeaways

Host Hotels & Resorts reported strong third quarter 2022 operating results, with RevPAR increasing 1.4% over the third quarter of 2019. The company also completed the acquisition of Four Seasons Resort and Residences Jackson Hole for $315 million.

All Owned Hotel Total RevPAR was $306.11 and All Owned Hotel RevPAR was $192.06 in the third quarter, a 3.8% and 1.4% increase, respectively, over third quarter of 2019.

Average room rates were 15.8% above third quarter 2019, driven by continued strong leisure demand, while also benefiting from growth in urban markets, driven by increased group and business travel.

Generated GAAP net income of $116 million in the third quarter and GAAP operating profit margin for the quarter was 12.4%, an improvement of 150 basis points compared to the third quarter of 2019.

Achieved All Owned Hotel EBITDA of $341 million and Adjusted EBITDAre of $328 million, both of which exceeded 2019 third quarter results.

Total Revenue
$1.19B
Previous year: $844M
+40.9%
EPS
$0.38
Previous year: $0.2
+90.0%
All Locations Total RevPAR
$306
Previous year: $195
+57.1%
All Locations RevPAR
$192
Previous year: $129
+48.7%
Gross Profit
$679M
Previous year: $466M
+45.7%
Cash and Equivalents
$883M
Previous year: $1.04B
-14.9%
Total Assets
$12.2B
Previous year: $12.7B
-3.9%

Host Hotels

Host Hotels

Host Hotels Revenue by Segment

Forward Guidance

The Company estimates, based on information currently available, that Hurricane Ian will negatively impact its full year revenues by approximately $42 million, of which $36 million is in the fourth quarter, All Owned Hotel RevPAR by 70 basis points, but have a 250 basis points impact in the fourth quarter, and net income and Adjusted EBITDAre by $20 million, of which $17 million is in the fourth quarter.

Revenue & Expenses

Visualization of income flow from segment revenue to net income