Service Properties Trust - Shares Of Beneficial Interest · NASDAQ:SVC
Service Properties Trust - Shares Of Beneficial Interest — Service Properties Trust — Q1 2021 Earnings Presentation
32 slides from Service Properties Trust - Shares Of Beneficial Interest's earnings presentation, 2021
Slide 1: First Quarter 2021 Supplemental Operating and Financial Data
FIRST QUARTER 2021 Supplemental Operating and Financial Data Royal Sonesta ALL AMOUNTS IN THIS REPORT ARE UNAUDITED. Chase Park Plaza St. Louis, MO
Slide 2: Table of Contents
Table of Contents CORPORATE INFORMATION Company Profile............................................................................................................................................................................................. 3 Investor Information.................................
Slide 3: Company Profile
Company Profile The Company: Corporate Headquarters: Service Properties Trust, or SVC, we, our or us, is a real estate investment trust, or REIT, which owns a diverse Two Newton Place portfolio of hotels and net lease service and necessity-based retail properties across the United States and in 255
Slide 4: Investor Information
Investor Information Board of Trustees Laurie B. Burns Robert E. Cramer Donna D. Fraiche Independent Trustee Independent Trustee Independent Trustee John L. Harrington William A. Lamkin John G. Murray Lead Independent Trustee Independent Trustee Managing Trustee Adam D. Portnoy Chair of the Board &
Slide 5: Research Coverage
Research Coverage Equity Research Coverage (1) B. Riley Securities, Inc. BTIG Janney Montgomery Scott Wells Fargo Securities Bryan Maher James Sullivan Tyler Batory Dori Kesten (646) 885-5423 (212) 738-6139 (215) 665-4448 (617) 603-4233 bmaher@brileyfin.com jsullivan@btig.com tbatory@janney.com dori
Slide 6: Key Financial Data
Key Financial Data (dollars in thousands, except per share data) As of and For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Selected Balance Sheet Data: Total gross assets $ 12,892,150 $11,967,429 $12,009,267 $12,026,904 $ 12,206,842 Total assets $ 9,514,515 $ 8,687,319
Slide 7: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets (dollars in thousands, except share data) March 31, 2021 December 31, 2020 ASSETS Real estate properties: Land $ 2,037,534 $ 2,030,440 Buildings, improvements and equipment 9,152,881 9,131,832 Total real estate properties, gross 11,190,415 11,162,272 Accumulated
Slide 8: Condensed Consolidated Statements of Income (Loss)
Condensed Consolidated Statements of Income (Loss) (amounts in thousands, except per share data) Three Months Ended March 31, 2021 2020 Revenues: Hotel operating revenues (1) $ 168,953 $ 383,503 Rental income (2) 92,217 100,273 Total revenues 261,170 483,776 Expenses: Hotel operating expenses (1)(3)
Slide 9: Calculation of FFO and Normalized FFO
Calculation of FFO and Normalized FFO (amounts in thousands, except per share data) For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net loss $ (194,990) $ (137,740) $ (102,642) $ (37,349) $ (33,650) Add (Less): Depreciation and amortization 124,368 121,351 122,204 127,4
Slide 10: Calculation of EBITDA, EBITDAre and Adjusted EBITDAre
Calculation of EBITDA, EBITDAre and Adjusted EBITDAre (dollars in thousands) For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Net loss $ (194,990) $ (137,740) $ (102,642) $ (37,349) $ (33,650) Add (Less): Interest expense 89,391 82,811 80,532 72,072 71,075 Income tax exp
Slide 11: Notes to Consolidated Statements of Income (Loss) and Calculations
Notes to Consolidated Statements of Income (Loss) and Calculations of FFO, Normalized FFO, EBITDA, EBITDAre, Adjusted EBITDAre, Hotel EBITDA and Adjusted Hotel EBITDA (dollar in thousands) (1) As of March 31, 2021, we owned 310 hotels; 305 of these hotels were managed by hotel operating companies. W
Slide 12: Debt Summary
Debt Summary As of March 31, 2021 (dollars in thousands) Interest Principal Maturity Due at Years to Rate Balance Date Maturity Maturity (1) We are required to pay interest on borrowings under our revolving credit facility at a rate of Floating Rate Debt: LIBOR plus a premium of 235 basis points per
Slide 13: Debt Maturity Schedule
Debt Maturity Schedule As of March 31, 2021 $1,000 (1) Represents amounts outstanding under our $1.0 billion revolving credit facility at March 31, 2021. (1) RETURN TO TABLE OF CONTENTS Supplemental Q1 2021 13
Slide 14: Leverage Ratios, Coverage Ratios and Public Debt Covenants
Leverage Ratios, Coverage Ratios and Public Debt Covenants As of and For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Leverage Ratios: Net debt / total gross assets 49.1 % 51.8 % 51.9 % 51.7 % 50.4 % Net debt / gross book value of real estate assets 51.0 % 53.7 % 54.4 %
Slide 15: Capital Expenditures and Restricted Cash Activity
Capital Expenditures and Restricted Cash Activity (dollars in thousands) Capital Expenditures For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Hotel capital improvements & FF&E Reserve fundings (1) $ 28,881 $ 32,153 $ 29,874 $ 39,085 $ 35,015 Net lease capital improvemen
Slide 16: Property Acquisitions and Dispositions Information Since January 1, 2021
Property Acquisitions and Dispositions Information Since January 1, 2021 (dollars in thousands, except per sq. ft. data) ACQUISITIONS: Average Purchase Price per Room or (1) Date Acquired Properties Brand Location Square Footage Operating Agreement Purchase Price Suite / Square Foot 3/9/2021 — N/A N
Slide 17: Portfolio Summary
Portfolio Summary As of March 31, 2021 (dollars in thousands) Number of Properties Hotel Properties 310 Number of hotel rooms 49,015 Net Lease Properties 798 Square feet 13,452,608 Total Properties 1,108 Average hotel property size 158 rooms Average net lease property size 16,858 sq. feet Investment
Slide 18: Consolidated Portfolio by Brand Affiliation
Consolidated Portfolio by Brand Affiliation As of March 31, 2021 (dollars in thousands except per sq. ft. data) Percent of Total Percent of Number of Rooms or Number of Rooms Total Suites (Hotels) / or Suites (Hotels) / Percent of Number of Number of Square Footage (Net Square Footage Total Investme
Slide 19: Consolidated Portfolio Diversification by Industry
Consolidated Portfolio Diversification by Industry As of March 31, 2021 (dollars in thousands) No. of Rooms/ Percent of Total Industry Properties Square Footage Investments (1) Investment 1. Hotels 310 49,015 $ 6,990,630 57.5% 2. Travel Centers 182 5,238,765 3,352,096 27.6% 3. Restaurants-Quick Serv
Slide 20: Hotel Portfolio by Brand
Hotel Portfolio by Brand As of March 31, 2021 (dollars in thousands, except per room or suite data) Percent of Percent of Total Total Number of Number of Percent of Investment Number of Number of Rooms or Rooms or Total Hotel Per Room or Brand Service Level Chain Scale Hotels Hotels Suites Suites In
Slide 21: Hotel Operating Statistics by Service Level - Comparable Hotels
Hotel Operating Statistics by Service Level - Comparable Hotels Occupancy ADR RevPAR No. of Three Months Ended March 31, Three Months Ended March 31, Three Months Ended March 31, No. of Rooms or Brand Service Level Hotels Suites 2021 2020 Change 2021 2020 Change 2021 2020 Change Sonesta (1) Full Ser
Slide 22: Hotel Operating Statistics by Service Level - All Hotels
Hotel Operating Statistics by Service Level - All Hotels Occupancy ADR RevPAR No. of Three Months Ended March 31, Three Months Ended March 31, Three Months Ended March 31, No. of Rooms or Brand Service Level Hotels Suites 2021 2020 Change 2021 2020 Change 2021 2020 Change Sonesta (1) Full Service 25
Slide 23: Hotel EBITDA and Adjusted Hotel EBITDA - Comparable Hotels
Calculation and Reconciliation of Hotel EBITDA and Adjusted Hotel EBITDA - Comparable Hotels (dollars in thousands) For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Number of hotels 304 304 304 304 304 Room revenues $ 149,850 $ 152,602 $ 173,594 $ 104,018 $ 305,920 Food
Slide 24: Hotel EBITDA and Adjusted Hotel EBITDA - All Hotels
Calculation and Reconciliation of Hotel EBITDA and Adjusted Hotel EBITDA - All Hotels (dollars in thousands) For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Number of hotels 310 310 329 329 329 Room revenues $ 152,728 $ 159,022 $ 182,366 $ 109,516 $ 322,668 Food and bev
Slide 25: Net Lease Portfolio by Brand
Net Lease Portfolio by Brand As of March 31, 2021 (dollars in thousands) Percent of Percent of Total No. of Total Annualized Annualized Brand Buildings Square Feet Investment (1) Investment Minimum Rent (1) Minimum Rent Coverage 1. TravelCenters of America 134 3,720,693 $ 2,289,189 44.3 % $ 168,012
Slide 26: Net Lease Portfolio by Industry
Net Lease Portfolio by Industry As of March 31, 2021 (dollars in thousands) Percent of Total Percent of Annualized No. of Total Annualized Minimum (1) Industry Buildings Square Feet Investment Investment Minimum Rent (1) Rent Coverage 1. Travel Centers 182 5,238,765 $ 3,352,096 64.9% $ 249,293 66.3%
Slide 27: Net Lease Portfolio by Tenant (Top 10)
Net Lease Portfolio by Tenant (Top 10) As of March 31, 2021 (dollars in thousands) Percent of Total Percent of Annualized Annualized Weighted No. of Square Total Minimum Minimum Average (1) Tenant Brand Affiliation Buildings Feet Investment Investment Rent (1) Rent Lease Term Coverage TravelCenters
Slide 28: Net Lease Portfolio - Expiration Schedule
Net Lease Portfolio - Expiration Schedule As of March 31, 2021 (dollars in thousands) Cumulative % of Total Annualized Minimum Rent Percent of Total Annualized Annualized Minimum Rent Year (1) Square Feet Expiring (2) Minimum Rent Expiring Expiring 2021 319,951 3,305 0.9% 0.9% 2022 317,105 4,428 1.2
Slide 29: Net Lease Portfolio - Occupancy Summary
Net Lease Portfolio - Occupancy Summary As of March 31, 2021 (dollars in thousands) As of and For the Three Months Ended 3/31/2021 12/31/2020 9/30/2020 6/30/2020 3/31/2020 Properties (end of period) 798 799 804 809 813 Total square feet 13,452,608 13,455,405 13,682,477 13,728,893 14,511,567 Square f
Slide 30: Non-GAAP Financial Measures and Certain Definitions
Non-GAAP Financial Measures and Certain Definitions Non-GAAP Financial Measures We present certain “non-GAAP financial measures” within the meaning of the applicable Securities and Exchange Commission, or SEC, rules, including FFO, Normalized FFO, EBITDA, Hotel EBITDA, Adjusted Hotel EBITDA, EBITDAr
Slide 31: Non-GAAP Financial Measures and Certain Definitions (Continued)
Non-GAAP Financial Measures and Certain Definitions (Continued) Coverage: We define net lease coverage as earnings before interest, taxes, depreciation, amortization and rent, or EBITDAR, divided by the annual minimum rent due to us weighted by the minimum rent of the property to total minimum rents
Slide 32: Warning Concerning Forward-Looking Statements
Warning Concerning Forward-Looking Statements This supplemental operating and financial data may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws. Whenever we use words such as “believe,” “expect,” “anticipate,” “
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