Braemar Hotels & Resorts Inc. · NYSE:BHR
Braemar Hotels & Resorts — Investor Presentation (March 2021)
25 slides from Braemar Hotels & Resorts's investor presentation, Mar 4, 2021
Slide 1: Company Presentation March 2021
March 2021 BRAEMAR
Slide 2: Forward Looking Statements and Non-GAAP Measures
Company Presentation | March 2021 2 Forward Looking Statements and Non-GAAP Measures 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 dif
Slide 3: Management Team
Company Presentation | March 2021 3 Management Team 23 years of hospitality experience 4 years with the Company 15 years with Morgan Stanley Cornell School of Hotel Administration BS University of Pennsylvania MBA RICHARD J. STOCKTON Chief Executive Officer & President 20 years of hospit
Slide 4: Post COVID-19 Strategic Initiatives
Company Presentation | March 2021 4 Post COVID-19 Strategic Initiatives Conserve Liquidity Manage the Balance Sheet Return to Profitability Grow the Portfolio The Ritz-Carlton Sarasota Sarasota, FL
Slide 5: 2020 Q4 Hotel Operating Results
Company Presentation | March 2021 5 2020 Q4 Hotel Operating Results Comparable Hotel Operating Results(1)(4) 2020 Q4 2019 Q4 % Variance ADR $ 324.11 $ 292.58 10.78% Occupancy 27.7% 76.5% (63.75)% RevPAR $ 89.83 $223.70 (59.84)% Total Hotel Revenue(2) $ 51,805 $ 121,745 (57.45)% Hotel EBITDA(2) $ 1,5
Slide 6: 2020 Q4 Highlights and Results
Company Presentation | March 2021 6 2020 Q4 Highlights and Results QUARTERLY DIVIDEND PER SHAREAFFO PER SHAREADJUSTED EBITDARE Quarter Highlights Full Year Highlights • Net loss attributable to common stockholders for the quarter was $28.3 million or $0.77 per diluted share. • Comparable RevPAR for
Slide 7: High Quality Assets in High Barriers to Entry Leisure and Urban Markets
Company Presentation | March 2021 7 Pier House Resort Key West, FL The Ritz-Carlton Lake Tahoe Truckee, CA Hotel Yountville Yountville, CA Marriott Seattle Waterfront Seattle, WA Sofitel Chicago Magnificent Mile Chicago, IL The Notary Hotel Philadelphia, PA Bardessono Hotel & Spa Yountville, CA The
Slide 8: Portfolio Detail
Company Presentation | March 2021 8 Portfolio Detail Portfolio Q4 2020 Performance Q4 2020 Core Assets Location Market Type Number of Rooms Occ% ADR RevPAR Pier House Key West, FL Drive-to Leisure 142 69.2% $269.62 $389.64 Bardessono Napa Valley, CA Drive-to Leisure 65 42.8% $846.45 $362.50 Ritz-Car
Slide 9: TripAdvisor Ratings by Lodging REIT: Braemar Tops the List
Company Presentation | March 2021 9 (1) Source: TripAdvisor, Raymond James Research (2) Room count-weighted average TripAdvisor Ratings by Lodging REIT(1) TripAdvisor Rating by Company Braemar Tops the List – February 2021
Slide 10: EBITDA Contribution by Brand and Class
Company Presentation | March 2021 10 EBITDA Contribution by Brand and Class 2020 Hotel EBITDA by Brand(1) 2020 Hotel EBITDA by Class(1) (1) Comparable TTM as of 12/31/2020, see appendix for a reconciliation of TTM hotel net income (loss) to hotel TTM EBITDA 2020 Room Revenue(1) 2020 Rooms Revenue by
Slide 11: Post COVID-19 Recovery Underway: Occupancy and ADR
Company Presentation | March 2021 11 Post COVID-19 Recovery Underway Occupancy and ADR Ramping Up – 03/15/20 to 02/13/21 Resort: Bardessono, Hotel Yountville, Ritz-Carlton St. Thomas, Pier House, Hilton Torrey Pines, Park Hyatt Beaver Creek, Ritz-Carlton Lake Tahoe and Ritz-Carlton Sarasota Urban: T
Slide 12: Post COVID-19 Recovery Underway: Rolling 7-Day RevPAR
Company Presentation | March 2021 12 Post COVID-19 Recovery Underway Rolling 7-Day RevPAR as % of STLY RevPAR – 03/15/20 to 02/13/21 Resort Total Urban 70.0% 30.2% 55.8% 0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% Rolling 7-Day RevPAR vs STLY (Resort) Rolling 7-Day RevPAR vs STLY (Urban) Rolling 7-Da
Slide 13: Reduced New Supply Estimates
Company Presentation | March 2021 13 Reduced New Supply Estimates +2.3%NEXT 12 MONTHS NEXT 13-24 MONTHS DECLINING ESTIMATED GROSS SUPPLY GROWTH(1)(2) (1) Source: Smith Travel Research (2) Weighted by revenue exposure by market PRE-COVID As of Feb-2020 +2.0% CURRENT As of Dec-2020 +1.2% +1.8%
Slide 14: Current Liquidity
Company Presentation | March 2021 14 Current Liquidity(1) $78.6MCASH & CASHEQUIVALENTS $34.5MRESTRICTED CASH 73% CAD PAYOUT RATIO(3) 44% AFFO PAYOUT RATIO(1)(3) TOTAL CASH $125.4M CASH POSITION (1) As of 12/31/20 (2) Using Dec-20 ~$3.0MPROPERTY CASHFLOW ($4.1M) INTEREST EXPENSE, G&A, AND ADVISORY FE
Slide 15: Leverage Strategy Well Designed to Handle Pandemic Impact
Company Presentation | March 2021 15 Gross Assets Net Debt Gross Assets Net Debt Overview Non-recourse debt lowers risk profile Floating-rate debt provides a natural hedge to hotel cash flows and maximizes flexibility in all economic environments Proactive strategy to opportunistically refinance loa
Slide 16: Laddered Debt Maturities
Company Presentation | March 2021 16 Laddered debt maturities(1)(2) Debt Maturities 2022 NEXT HARD DEBT MATURITY OVERVIEW (1) As of 12/31/2020 (2) Assumes extension options are exercised 2.5% WEIGHTED AVG. INTEREST RATE(1) The Notary Hotel $185.0 $98.0 $371.5 $435.0 $22.7 $16.0 $0.5 $0.0 $50.0 $100.
Slide 17: Strategic Initiatives Position Braemar for Ramp Up in 2021
Company Presentation | March 2021 17 Villa Construction Completed 2019 Autograph Conversion Completed Q3 2020 Hurricane Recovery Completed 2019 Lobby Renovation Completed 2019 Autograph Conversion Completed 2019 Beach Improvement Completed 2019 Portfolio Well Positioned for Ramp Up Ritz-Carlton Sara
Slide 18: Highly Aligned Management Team
Company Presentation | March 2021 18 Highly Aligned Management Team Management has significant personal wealth invested in the Company11.6% Insider ownership 3.0x higher than REIT industry average3.0x Total dollar value of insider ownership (as of 02/24/2020)$37.6M REIT Avg includes: AHT, HT, APLE,
Slide 19: Key Takeaways
Company Presentation | March 2021 19 Key Takeaways Conserve Liquidity Manage the Balance Sheet Return to Profitability Grow the Portfolio The Ritz-Carlton Sarasota Sarasota, FL
Slide 20: Appendix
Appendix
Slide 21: Reconciliation of Net Income (Loss) to Comparable Hotel EBITDA
Company Presentation | March 2021 21 Reconciliation of Net Income (Loss) to Comparable Hotel EBITDA In thousands
Slide 22: Reconciliation of Net Income (Loss) to EBITDAre and Adjusted EBITDAre
Company Presentation | March 2021 22 Reconciliation of Net Income (Loss) to EBITDAre and Adjusted EBITDAre In thousands
Slide 23: Reconciliation of Net Income (Loss) to Adjusted FFO
Company Presentation | March 2021 23 Reconciliation of Net Income (Loss) to Adjusted FFO In thousands
Slide 24: Indebtedness
Company Presentation | March 2021 24 Indebtedness (1) This mortgage loan has three one-year extension options subject to satisfaction of certain conditions, of which the second was exercised in April 2020. (2) This mortgage loan has five one-year extension options subject to satisfaction of certain
Slide 25: Indebtedness (In thousands)
Company Presentation | March 2021 25 Indebtedness In thousands (1) This mortgage loan is secured by the Chicago Sofitel Magnificent Mile, The Clancy, Seattle Marriott Waterfront and The Notary Hotel.
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