Ashford Hospitality Trust Inc · NYSE:AHT
Ashford Hospitality Trust — UBS Investor Conference New York 2012
20 slides from Ashford Hospitality Trust's conference presentation, May 1, 2012
Slide 1: UBS Investor Conference New York May 1, 2012
UBS Investor Conference New York May 1, 2012
Slide 2: Safe Harbor
Safe Harbor In keeping with the SEC’s “Safe Harbor” guidelines, certain statements made during this presentation could be considered forward-looking and subject to certain risks and uncertainties that could cause results to differ materially from those projected. When we use the words “will likely r
Slide 3: Attractive Supply/Demand Imbalance
-8.0 -6.0 -4.0 -2.0 0.0 2.0 4.0 6.0 8.0 Y e a r- ov e r- Y e a r % G ro w th Supply Growth Demand Growth Attractive Supply/Demand Imbalance • Demand increase is currently expected to outpace supply increase through 2015 3 Source: Smith Travel / PKF Research (forecast)
Slide 4: Real RevPAR is Cyclical
Real RevPAR is Cyclical 4 Source: Smith Travel Research (non-seasonally adjusted nominal monthly figures) $52 $54 $56 $58 $60 $62 $64 $66 $68 $70 $72 $74 Seasonally-Adjusted Real RevPAR (2012 $'s, Trailing 3-Mo Avg)
Slide 5: Ashford Highlights
Ashford Highlights 5 Portfolio Statistics* Total Enterprise Value $4.1 B Total Gross Assets $5.2 B Peer Comparison 2nd Largest (out of 15) # of Hotels 124 # of Owned Rooms 26,195 # of Property Managers 6 $ ADR $134.42 $ RevPAR $94.56 RevPAR Growth % 3.1% Financial Statistics* Recent Share Price $8.8
Slide 6: Highland Transaction Summary
Highland Transaction Summary 6 Transformational 28-hotel, $1.3 billion acquisition with 8,084 rooms Primarily upper-upscale and luxury full-service assets Expands Ashford’s presence in key markets (Washington D.C and NY/NJ) and into new markets (Boston and Nashville) Significant growth potential wit
Slide 7: High-Quality Portfolio
High-Quality Portfolio 7 Marriott Bridgewater Hyatt Regency Coral Gables Courtyard Seattle Downtown Capital Hilton Marriott Seattle Waterfront Renaissance Tampa Embassy Suites Portland Embassy Suites Las Vegas Embassy Suites Silicon Valley Renaissance Palm Springs Marriott DFW Airport Marriott Plaza
Slide 8: High-Quality Portfolio
High-Quality Portfolio 8 Hilton Parsippany The Melrose – D.C. Hyatt Regency Wind Watch Boston Back Bay Hilton Renaissance Nashville Marriott Sugar Land Hyatt Regency Savannah Westin Princeton The Silversmith - Chicago Hilton La Jolla Torrey Pines Courtyard SF Downtown Marriott Suites Market Center M
Slide 9: Broad Geography
Broad Geography • Ashford’s geographic footprint encompasses 29 states and Washington DC 9 WEST COAST MIDDLE AMERICA TEXAS EAST COAST West Coast includes Alaska EBITDA by Region EAST COAST: 51% WEST COAST: 22% TEXAS: 12% MIDDLE AMERICA: 15%
Slide 10: Focused Portfolio
Focused Portfolio 10 73% 17% 10% MSA* Top 25 Top 50 Other 1% 59% 37% 3% Chain Scale* Luxury Upper Upscale Upscale Upper Midscale * %’s based on TTM March 2012 EBITDA 53% 32% 3% 5% 4% 3% Brand Family* Marriott Hilton Hyatt Starwood Intercontinental Independent 49% 23% 24% 4% Demand Mix Transient - Co
Slide 11: Advantages of Remington
Advantages of Remington 11 Share best practices across brands Reacts rapidly to real-time changes Aligned with ownership Immediate attention Keeps project management in-house Operate the hotels as if they owned them More owner- friendly cost structure Constant accessibility Additional brand advocate
Slide 12: Best-in-Class Asset Management - Flows
39% 8% 49% 41% 50% 51% 37% 53% 104% 63% 0% 20% 40% 60% 80% 100% 120% 2007 2008 2009 2010 2011 HOTEL EBITDA FLOWS (Peers include: BEE, CHSP, DRH, FCH, HST, HT, LHO, PEB & SHO) Peer Avg AHT Best-in-Class Asset Management - Flows • Ashford consistently beats its peers in hotel EBITDA flow-throughs, and
Slide 13: Best-in-Class Asset Management - Margins
78 (106) (487) 53 132 114 (58) (406) 86 184 (600) (500) (400) (300) (200) (100) - 100 200 300 2007 2008 2009 2010 2011 HOTEL EBITDA MARGIN Y-O-Y CHANGE (BPS) (Peers include: BEE, CHSP, CLDT, DRH, FCH, HST, HT, LHO, PEB & SHO) Peer Avg AHT Best-in-Class Asset Management - Margins • Ashford’s EBITDA m
Slide 14: Highland Portfolio - Year Over Year Comparisons
Highland Portfolio - Year Over Year Comparisons 14 25.2% 102.7% 0% 20% 40% 60% 80% 100% 120% One Year Pre-Takeover One Year Post-Takeover Year One GOP Flows
Slide 15: Attractive Dividend Yield & Coverage
Attractive Dividend Yield & Coverage 15 • Ashford’s dividend yield AND dividend coverage exceed the peer average 5.3% 5.0% 4.4% 4.2% 3.0% 2.4% 2.0% 1.5% 1.4% - - - 1.3x 4.7x 1.4x 1.7x 1.9x 2.9x 2.1x 3.6x 6.6x - 1.0 2.0 3.0 4.0 5.0 6.0 7.0 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% CLDT AHT CHSP HT DRH
Slide 16: Dividend w/ Growth Potential
0.9x 1.4x 1.4x 1.5x 1.6x 0.0x 0.0x 4.7x 4.3x 0.0x 0.5x 1.0x 1.5x 2.0x 2.5x 3.0x 3.5x 4.0x 4.5x 5.0x 2004 2005 2006 2007 2008 2009 2010 2011 TTM Mar 2012 AFFO Per Share / Dividend Coverage N/A N/A Dividend w/ Growth Potential • Ashford could have paid a covered dividend during the recession, but chos
Slide 17: Total Shareholder Return - AHT Outperforms Peers
Total Shareholder Return - AHT Outperforms Peers 17 -26% -1% 260% 71% -5% 6% 30% 55% -3.2% -4% 203% -24% -46% -31% -16% 23% -100% -50% 0% 50% 100% 150% 200% 250% 300% 1-Yr 2-Yr 3-Yr 4-Yr 5-Yr 6-Yr 7-Yr 8-Yr Trailing Total Shareholder Returns (as of 4/26/12) Peers Include: BEE, CHSP, CLDT, DRH, FCH,
Slide 18: Most Highly-Aligned Management Team
20% 15% 5% 3% 3% 2% 2% 1% 1% 1% 1% 0% 5% 10% 15% 20% 25% AHT HT CLDT FCH HST CHSP SHO DRH BEE LHO PEB Insider Ownership % Most Highly-Aligned Management Team 18 Source: Proxy Filings
Slide 19: Hotel REIT EBITDA Multiples
Hotel REIT EBITDA Multiples 19 14.7x 14.1x 13.9x 13.4x 13.2x 13.1x 12.7x 12.0x 11.6x 11.6x 10.7x 10.3x 9.0x 10.0x 11.0x 12.0x 13.0x 14.0x 15.0x 16.0x DRH BEE PEB HST LHO HT PEER AVG AHT SHO FCH CHSP CLDT 2013E TEV/EBITDA MULTIPLES Source: Company filings, Bloomberg, street research & First Call esti
Slide 20: UBS Investor Conference New York May 1, 2012
UBS Investor Conference New York May 1, 2012
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