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Sep 30, 2021

Apple Hospitality Q3 2021 Earnings Report

Apple Hospitality REIT's Q3 2021 operational results improved, driven by increased occupancy and ADR, with RevPAR approaching 2019 levels.

Key Takeaways

Apple Hospitality REIT reported net income of $31.8 million for the third quarter of 2021, a significant increase compared to the net loss of $40.9 million in the same period of 2020. The Company's RevPAR for the quarter was $100.14, driven by occupancy of 71.5% and ADR of $140.02. Adjusted EBITDAre was $92 million and MFFO was $76 million.

The Company produced its strongest quarterly operational results since the beginning of the pandemic.

Portfolio achieved ADR that exceeded third quarter 2019 ADR, with RevPAR trailing third quarter 2019 RevPAR by approximately 10%.

Comparable Hotels Adjusted Hotel EBITDA Margin of approximately 38% for the third quarter of 2021, 30 basis points ahead of the same measure for the third quarter of 2019.

During and subsequent to the third quarter of 2021, the Company sold a portfolio of 20 hotels for a gross sales price of approximately $211 million and acquired four hotels for a combined total purchase price of approximately $186 million.

Total Revenue
$277M
Previous year: $149M
+86.2%
EPS
$0.33
Previous year: $0.04
+725.0%
Average Daily Rate (ADR)
$140
Previous year: $105
+33.6%
Occupancy
71.5%
Previous year: 48.6%
+47.1%
Revenue Per Available Room
$100
Previous year: $50.9
+96.6%
Gross Profit
$105M
Cash and Equivalents
$39.4M
Previous year: $27.4M
+43.7%
Total Assets
$4.7B
Previous year: $4.92B
-4.3%

Apple Hospitality

Apple Hospitality

Forward Guidance

The Company is providing the following full year 2021 outlook regarding certain corporate expenses, which is based on management’s current view and does not take into account any unanticipated developments in its business or changes in its operating environment: