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Jun 30, 2022

Park Hotels Q2 2022 Earnings Report

Park Hotels & Resorts Inc. reported second quarter 2022 results.

Key Takeaways

Park Hotels & Resorts Inc. announced results for the second quarter ended June 30, 2022. Pro-forma RevPAR was $173.03, an increase of 119.7% from the same period in 2021 and a decrease of 10.2% from the same period in 2019. Net income attributable to stockholders was $150 million and Adjusted EBITDA was $207 million.

Pro-forma RevPAR was $173.03, an increase of 119.7% from the same period in 2021.

Net income and net income attributable to stockholders were $154 million and $150 million, respectively.

Adjusted EBITDA was $207 million, an increase of 153.1%, compared to the first quarter of 2022.

Reopened the sole remaining suspended hotel, the 1,024-room Parc 55 San Francisco – a Hilton Hotel, on May 19, 2022.

Total Revenue
$695M
Previous year: $323M
+115.2%
EPS
$0.61
Previous year: -$0.16
-481.3%
Comparable RevPAR
$173
Previous year: $78.5
+120.5%
Comparable Occupancy
71%
Previous year: 42.3%
+67.8%
Gross Profit
$223M
Previous year: $55M
+305.5%
Cash and Equivalents
$758M
Previous year: $909M
-16.6%
Free Cash Flow
$116M
Previous year: -$98M
-218.4%
Total Assets
$9.7B
Previous year: $10.3B
-5.5%

Park Hotels

Park Hotels

Park Hotels Revenue by Segment

Forward Guidance

Expectations for third quarter 2022 operating results are as follows: RevPAR between $171 and $174, Net income attributable to stockholders between $0 and $20 million, Adjusted EBITDA between $145 and $165 million and Adjusted FFO per share – Diluted between $0.34 and $0.43.

Positive Outlook

  • Fully diluted weighted average shares are expected to be 224 million
  • RevPAR between $171 and $174
  • Net income between $6 and $26 million
  • Adjusted EBITDA between $145 and $165 million
  • Adjusted FFO per share – Diluted between $0.34 and $0.43

Challenges Ahead

  • uncertainty surrounding any new disruptions from the COVID-19 pandemic
  • macro-economic factors, including inflation
  • increases in interest rates
  • supply chain disruptions
  • the possibility of an economic recession or slowdown in 2022

Revenue & Expenses

Visualization of income flow from segment revenue to net income