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Jun 30, 2024

Apple Hospitality Q2 2024 Earnings Report

Apple Hospitality's performance remained strong in the second quarter of 2024, marked by growth in occupancy, RevPAR, and Adjusted EBITDAre.

Key Takeaways

Apple Hospitality REIT reported a positive second quarter in 2024, with comparable hotels occupancy increasing to 80%, RevPAR improving by 2.5%, and Adjusted EBITDAre rising by 9%. The company strategically acquired and disposed of hotel properties, repurchased shares, and maintained a strong balance sheet.

Comparable Hotels Occupancy increased to 80%, a 2% improvement year-over-year.

Comparable Hotels RevPAR increased by 2.5% compared to the second quarter of the previous year.

The Company achieved Comparable Hotels Adjusted Hotel EBITDA of approximately $152 million, a 1.5% improvement over second quarter 2023.

The Company acquired the Embassy Suites by Hilton Madison Downtown and sold the SpringHill Suites by Marriott Greensboro during the quarter.

Total Revenue
$390M
Previous year: $362M
+7.9%
EPS
$0.5
Previous year: $0.49
+2.0%
Average Daily Rate (ADR)
$163
Previous year: $161
+1.3%
Occupancy
79.8%
Previous year: 78.2%
+2.0%
Revenue Per Available Room
$130
Previous year: $126
+3.3%
Gross Profit
$104M
Previous year: $141M
-26.2%
Cash and Equivalents
$7.22M
Previous year: $6.42M
+12.5%
Free Cash Flow
$114M
Total Assets
$5.08B
Previous year: $4.77B
+6.5%

Apple Hospitality

Apple Hospitality

Forward Guidance

The Company updated its operational and financial outlook for 2024. The Company is decreasing Net Income by $6 million, decreasing Comparable Hotels RevPAR Change by 150 bps, increasing Comparable Hotels Adjusted Hotel EBITDA Margin % by 10 bps, and decreasing Adjusted EBITDAre by $7 million.