•
Dec 31, 2023

Apple Hospitality Q4 2023 Earnings Report

Apple Hospitality REIT's Q4 2023 financial results were reported, demonstrating RevPAR growth and strategic acquisitions.

Key Takeaways

Apple Hospitality REIT reported a net income of $20.8 million for Q4 2023, a significant increase compared to $2.3 million in Q4 2022. Comparable Hotels RevPAR increased by 2.4% to $105.01, and the Company acquired five high-quality hotels during the quarter.

Comparable Hotels RevPAR increased by 2.4% to $105.01 for the fourth quarter 2023.

The Company achieved Comparable Hotels Adjusted Hotel EBITDA margin of 32.9% for the fourth quarter 2023.

Apple Hospitality acquired five hotels during the fourth quarter 2023.

The Company sold approximately 12.8 million shares under its ATM Program, receiving net proceeds of approximately $216 million.

Total Revenue
$312M
Previous year: $299M
+4.5%
EPS
$0.31
Previous year: $0.33
-6.1%
Average Daily Rate (ADR)
$150
Previous year: $147
+1.8%
Occupancy
69.6%
Previous year: 69.7%
-0.1%
Revenue Per Available Room
$104
Previous year: $103
+1.5%
Gross Profit
$57.3M
Previous year: $102M
-43.7%
Cash and Equivalents
$10.3M
Previous year: $4.08M
+152.3%
Free Cash Flow
$74.2M
Total Assets
$4.94B
Previous year: $4.77B
+3.4%

Apple Hospitality

Apple Hospitality

Forward Guidance

The Company is providing its operational and financial outlook for 2024.

Positive Outlook

  • Net income between $191 million and $217 million.
  • Comparable Hotels RevPAR Change between 2.0% and 4.0%.
  • Comparable Hotels Adjusted Hotel EBITDA Margin % between 34.6% and 35.6%.
  • Adjusted EBITDAre between $452 million and $474 million.
  • Capital expenditures between $75 million and $85 million.

Challenges Ahead

  • Changes in political, economic, competitive and specific market conditions.
  • The amount and timing of announced or future acquisitions and dispositions of hotel properties.
  • The level of capital expenditures may change significantly, which will directly affect the level of depreciation expense, interest expense and net income.
  • The amount and timing of debt repayments may change significantly based on market conditions, which will directly affect the level of interest expense and net income.
  • The amount and timing of transactions involving the Company's common stock may change based on market conditions.