Service Properties Trust - Shares Of Beneficial Interest · NASDAQ:SVC
Service Properties Trust - Shares Of Beneficial Interest — Service Properties Trust — Q4 2020 Earnings Presentation
32 slides from Service Properties Trust - Shares Of Beneficial Interest's earnings presentation, February 2021
Slide 1: Fourth Quarter 2020 Supplemental Operating and Financial Data
Exhibit 99.2 FOURTH QUARTER 2020 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 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.kes
Slide 6: Key Financial Data
Key Financial Data (dollars in thousands, except per share data) As of and For the Three Months Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 Selected Balance Sheet Data: Total gross assets $ 11,967,429 $12,009,267 $12,026,904 $12,206,842 $ 12,154,728 Total assets $ 8,687,319 $ 8,796,673
Slide 7: Consolidated Balance Sheets
Consolidated Balance Sheets (dollars in thousands, except per share data) As of December 31 2020 2019 ASSETS Real estate properties: Land $ 2,030,440 $ 2,066,602 Buildings, improvements and equipment 9,131,832 9,318,434 Total real estate properties, gross 11,162,272 11,385,036 Accumulated depreciati
Slide 8: Consolidated Statements of Income (Loss)
Consolidated Statements of Income (Loss) (dollars in thousands, except per share data) Three Months Ended Year Ended December 31, December 31, 2020 2019 2020 2019 Revenues: Hotel operating revenues (1) $ 174,520 $ 467,805 $ 875,098 $ 1,989,173 Rental income (3) 95,523 111,727 389,955 322,236 FF&E re
Slide 9: Calculation of FFO and Normalized FFO
Calculation of FFO and Normalized FFO (dollars in thousands, except per share data) For the Three Months Ended For the Year Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 12/31/2020 12/31/2019 Net income (loss) $ (137,740) $ (102,642) $ (37,349) $ (33,650) $ (14,893) $ (311,382) $ 259,750
Slide 10: Calculation of EBITDA, EBITDAre and Adjusted EBITDAre
Calculation of EBITDA, EBITDAre and Adjusted EBITDAre (dollars in thousands) For the Three Months Ended For the Year Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 12/31/2020 12/31/2019 Net income (loss) $ (137,740) $ (102,642) $ (37,349) $ (33,650) $ (14,893) $ (311,382) $ 259,750 Add (L
Slide 11: Notes to Consolidated Statements of Income (Loss)
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, except share data) (1) As of December 31, 2020, we owned 310 hotels; 305 of these hotels were managed by hotel
Slide 12: Debt Summary
Debt Summary As of December 31, 2020 (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
Slide 13: Debt Maturity Schedule
Debt Maturity Schedule As of December 31, 2020 $78 (1) Represents amounts outstanding under our $1.0 billion revolving credit facility at December 31, (1) (2) 2020. (2) On January 19, 2021, we borrowed $972.8 million under our revolving credit facility as a precautionary measure to preserve financia
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 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 Leverage Ratios: Net debt / total gross assets 51.8 % 51.9 % 51.7 % 50.4 % 50.2 % Net debt / gross book value of real estate assets 53.7 % 54.4 % 54.1 %
Slide 15: Capital Expenditures and Restricted Cash Activity
Capital Expenditures and Restricted Cash Activity (dollars in thousands) Capital Expenditures For the Three Months Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 Hotel capital improvements & FF&E Reserve fundings (1) $ 32,153 $ 29,874 $ 39,085 $ 35,015 $ 119,380 Net lease capital improvem
Slide 16: Property Acquisitions and Dispositions Information Since January 1, 2020
Property Acquisitions and Dispositions Information Since January 1, 2020 (dollars in thousands, except per room and 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 3/1
Slide 17: Portfolio Summary
Portfolio Summary As of December 31, 2020 (dollars in thousands) Number of Properties Hotel Properties 310 Number of hotel rooms 49,014 Net Lease Properties 799 Square feet 13,455,405 Total Properties 1,109 Average hotel property size 158 rooms Average net lease property size 16,840 sq. feet Investm
Slide 18: Consolidated Portfolio by Brand Affiliation
Consolidated Portfolio by Brand Affiliation As of December 31, 2020 (Amounts in thousands) 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 Investment Per (1) Brand Affi
Slide 19: Consolidated Portfolio Diversification by Industry
Consolidated Portfolio Diversification by Industry As of December 31, 2020 (Amounts in thousands) No. of Rooms/ Percent of Total Industry Properties Square Footage Investments (1) Investment 1. Hotels 310 49,014 $ 6,961,748 57.4% 2. Travel Centers 182 5,238,765 3,344,496 27.6% 3. Restaurants-Quick S
Slide 20: Hotel Portfolio by Brand
Hotel Portfolio by Brand As of December 31, 2020 (dollars in thousands) 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 (1) Brand Service Level Chain Scale Hotels Hotels Suites Suites Investment Investment Suit
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 December 31, Three Months Ended December 31, Three Months Ended December 31, No. of Rooms or Brand Service Level Hotels Suites 2020 2019 Change 2020 2019 Change 2020 2019 Change Sonesta (1)
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 December 31, Three Months Ended December 31, Three Months Ended December 31, No. of Rooms or Brand Service Level Hotels Suites 2020 2019 Change 2020 2019 Change 2020 2019 Change Sonesta (1) Full S
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 For the Year Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 12/31/2020 12/31/2019 Number of hotels 302 302 302 302 302 285 285 Room revenues $ 150
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 For the Year Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 12/31/2020 12/31/2019 Room revenues $ 159,022 $ 182,366 $ 109,516 $ 322,668 $ 397,995 $ 773,5
Slide 25: Net Lease Portfolio by Brand
Net Lease Portfolio by Brand As of December 31, 2020 (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 $ 2,281,589 44.2 % $ 168,0
Slide 26: Net Lease Portfolio by Industry
Net Lease Portfolio by Industry As of December 31, 2020 (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 $ 3,344,496 65.0% $ 249,261 67
Slide 27: Net Lease Portfolio by Tenant (Top 10)
Net Lease Portfolio by Tenant (Top 10) As of December 31, 2020 (dollars in thousands) Percent of Total Weighted Percent of Annualized Annualized Average No. of Square Total Minimum Minimum Lease Tenant Brand Affiliation Buildings Feet Investment (1) Investment Rent (1) Rent Term Coverage TravelCente
Slide 28: Net Lease Portfolio - Expiration Schedule
Net Lease Portfolio - Expiration Schedule As of December 31, 2020 (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 352,091 $ 4,059 1.1% 1.1% 2022 440,333 5,50
Slide 29: Net Lease Portfolio - Occupancy Summary
Net Lease Portfolio - Occupancy Summary As of December 31, 2020 (dollars in thousands) As of and For the Three Months Ended 12/31/2020 9/30/2020 6/30/2020 3/31/2020 12/31/2019 Properties (end of period) 799 804 809 813 816 Total square feet 13,455,405 13,682,477 13,728,893 14,511,567 14,886,967 Squa
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 applicable Securities and Exchange Commission, or SEC, rules, including FFO, Normalized FFO, EBITDA, Hotel EBITDA, Adjusted Hotel EBITDA, EBITDAre an
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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