Service Properties Trust - Shares Of Beneficial Interest · NASDAQ:SVC
Service Properties Trust - Shares Of Beneficial Interest — Service Properties Trust — Q1 2022 Earnings Presentation
32 slides from Service Properties Trust - Shares Of Beneficial Interest's earnings presentation, 2022
Slide 1: Supplemental Operating and Financial Data
FIRST QUARTER 2022 Supplemental Operating and Financial Data Royal Sonesta ALL AMOUNTS IN THIS REPORT ARE UNAUDITED. Chase Park Plaza St. Louis, MO Sonesta Irvine - Orange County Airport Irvine, CA
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, with approximately $12 billion Two Newton Place invested in two asset categories: hotels and service-focused retail net lease properties. As of March 31,
Slide 4: Investor Information
Investor Information Sonesta ES Suites Lake Buena Vista Orlando, FL Board of Trustees Laurie B. Burns Robert E. Cramer Donna D. Fraiche Independent Trustee Independent Trustee Lead Independent Trustee John L. Harrington William A. Lamkin John G. Murray Independent Trustee Independent Trustee Managin
Slide 5: Research Coverage
Research Coverage Equity Research Coverage (1) B. Riley Securities, Inc. Oppenheimer & Co. Inc. Wells Fargo Securities Bryan Maher Tyler Batory Dori Kesten (646) 885-5423 (212) 667-7230 (617) 603-4233 bmaher@brileyfin.com tyler.batory@opco.com dori.kesten@wellsfargo.com Rating Agencies (1) Senior Un
Slide 6: Key Financial Data
Key Financial Data (dollars in thousands, except per share data) Sonesta Fort Lauderdale Beach As of and For the Three Months Ended Fort Lauderdale, FL 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Selected Balance Sheet Data: Total gross assets $ 12,048,367 $ 12,434,974 $ 12,852,602 $ 12,845,3
Slide 7: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets (dollars in thousands, except share data) March 31, 2022 December 31, 2021 ASSETS Real estate properties: Land $ 1,919,126 $ 1,918,385 Buildings, improvements and equipment 7,989,900 8,307,248 Total real estate properties, gross 9,909,026 10,225,633 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, 2022 2021 Revenues: Hotel operating revenues (1) $ 297,406 $ 168,953 Rental income (2) 96,358 92,217 Total revenues 393,764 261,170 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 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Net loss $ (119,822) $ (198,793) $ (59,714) $ (91,110) $ (194,990) Add (Less): Depreciation and amortization 104,113 115,757 124,163 121,6
Slide 10: Calculation of EBITDA, EBITDAre and Adjusted EBITDAre
Calculation of EBITDA, EBITDAre and Adjusted EBITDAre (dollars in thousands) For the Three Months Ended 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Net loss $ (119,822) $ (198,793) $ (59,714) $ (91,110) $ (194,990) Add (Less): Interest expense 92,344 92,494 92,458 91,378 89,391 Income tax (be
Slide 11: Notes to Condensed Consolidated Statements of Income (Loss)
Notes to Condensed Consolidated Statements of Income (Loss) and Calculations of FFO, Normalized FFO, EBITDA, EBITDAre, Adjusted EBITDAre and Hotel EBITDA (dollar in thousands) (1) As of March 31, 2022, we owned 298 hotels. Our condensed consolidated statements of income (loss) include hotel operatin
Slide 12: Debt Summary
Debt Summary As of March 31, 2022 (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 LIBOR plus a premium of 235 basis points per Floating Rate Debt:
Slide 13: Debt Maturity Schedule
Debt Maturity Schedule As of March 31, 2022 Royal Sonesta Houston Galleria Houston, TX (1) Represents amounts outstanding under our $1.0 billion revolving credit facility at March 31, 2022. On April 14, 2022, we entered into an amendment to our revolving credit facility to, among other things, exten
Slide 14: Leverage Ratios, Coverage Ratios and Public Debt Covenants
Leverage Ratios, Coverage Ratios and Public Debt Covenants Royal Sonesta New Orleans New Orleans, LA As of and For the Three Months Ended 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Leverage Ratios: Net debt / total gross assets 51.7 % 50.3 % 48.9 % 48.9 % 49.1 % Net debt / gross book value o
Slide 15: Capital Expenditures and Restricted Cash Activity
Capital Expenditures and Restricted Cash Activity (dollars in thousands) Capital Expenditures For the Three Months Ended 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Hotel capital improvements & FF&E Reserve fundings (1) $ 28,144 $ 30,010 $ 19,384 $ 24,167 $ 28,881 Net lease capital improvemen
Slide 16: Property Acquisitions and Dispositions Information Since January 1, 2022
Property Acquisitions and Dispositions Information Since January 1, 2022 (dollars in thousands, except per sq. ft. data) ACQUISITIONS: We have not acquired any properties since January 1, 2022. DISPOSITIONS: Average Sales Price Rooms or Suites/ Square per Room or Suite / (1) Date Disposed Properties
Slide 17: Portfolio Summary
Portfolio Summary As of March 31, 2022 Royal Sonesta San Juan (dollars in thousands) San Juan, PR Number of Properties Hotel Properties 298 Number of hotel rooms 47,285 Net Lease Properties 786 Square feet 13,515,100 Total Properties 1,084 Average hotel property size 159 rooms Average net lease prop
Slide 18: Consolidated Portfolio Diversification by Industry
Consolidated Portfolio Diversification by Industry As of March 31, 2022 (dollars in thousands) Sonesta ES Suites Orlando Orlando, FL No. of Rooms/ Percent of Total Industry Properties Square Footage Investments Investment 1. Hotels 298 47,285 $ 6,870,113 57.3% 2. Travel Centers 182 5,238,766 3,352,0
Slide 19: Consolidated Portfolio by Geographic Diversification
Consolidated Portfolio by Geographic Diversification As of March 31, 2022 (dollars in thousands) Investments Total Property Net Lease Hotel % of Net Lease State Count Hotel Count Count Total ($000s) % of Total Hotel ($000s) Total Net Lease ($000s) % of Total California 58 36 22 $ 1,351,483 11.0 % $
Slide 20: Hotel Portfolio by Brand
Hotel Portfolio by Brand As of March 31, 2022 (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 2022 2021 Change 2022 2021 Change 2022 2021 Change Sonesta (1) Full Ser
Slide 22: Hotel Operating Statistics by Service Level - All Hotels
Hotel Operating Statistics by Service Level - All Hotels(1) 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 2022 2021 Change 2022 2021 Change 2022 2021 Change Sonesta (2) Full Service
Slide 23: Calculation and Reconciliation of Hotel EBITDA - Comparable Hotels
Calculation and Reconciliation of Hotel EBITDA - Comparable Hotels (dollars in thousands) Three Months Ended 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Number of hotels 295 295 295 295 295 Room revenues $ 254,623 $ 266,272 $ 291,663 $ 243,054 $ 147,785 Food and beverage revenues 25,145 30,42
Slide 24: Calculation and Reconciliation of Hotel EBITDA - All Hotels
Calculation and Reconciliation of Hotel EBITDA - All Hotels (dollars in thousands) For the Three Months Ended 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Number of hotels 298 303 304 310 310 Room revenues $ 258,620 $ 272,458 $ 298,607 $ 248,618 $ 152,728 Food and beverage revenues 25,902 31,5
Slide 25: Net Lease Portfolio by Brand
Net Lease Portfolio by Brand As of March 31, 2022 (dollars in thousands) Percent of TA 065 - Seymour Percent of Total Seymour, IN No. of Total Annualized Annualized Rent Brand Buildings Square Feet Investment Investment Minimum Rent Minimum Rent Coverage 1. TravelCenters of America 134 3,720,693 $ 2
Slide 26: Net Lease Portfolio by Industry
Net Lease Portfolio by Industry As of March 31, 2022 (dollars in thousands) Percent of Total Percent of Annualized No. of Total Annualized Minimum Rent Industry Buildings Square Feet Investment Investment Minimum Rent Rent Coverage 1. Travel Centers 182 5,238,766 $ 3,352,096 65.5% $ 249,325 67.1% 2.
Slide 27: Net Lease Portfolio by Tenant (Top 10)
Net Lease Portfolio by Tenant (Top 10) As of March 31, 2022 (dollars in thousands) Percent of Percent of Total Weighted No. of Total Annualized Annualized Average Lease Tenant Brand Affiliation Buildings Square Feet Investment Investment Minimum Rent Minimum Rent Term Rent Coverage 1. TravelCenters
Slide 28: Net Lease Portfolio - Expiration Schedule
Net Lease Portfolio - Expiration Schedule As of March 31, 2022 (dollars in thousands) Cumulative % of Total Annualized Minimum Rent Percent of Total Annualized Annualized Minimum Rent (1) Year Square Feet Expiring Minimum Rent Expiring Expiring 2022 210,412 2,390 0.6% 0.6% 2023 315,142 2,799 0.8% 1.
Slide 29: Net Lease Portfolio - Occupancy Summary
Net Lease Portfolio - Occupancy Summary As of March 31, 2022 As of and For the Three Months Ended 3/31/2022 12/31/2021 9/30/2021 6/30/2021 3/31/2021 Properties (end of period) 786 788 794 796 798 Total square feet 13,515,100 13,522,060 13,574,656 13,587,068 13,452,608 Square feet leased 13,185,809 1
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) FF&E Reserve: Various percentages of total sales at certain of our hotels are escrowed as reserves for future renovations or refurbishments, or FF&E reserve escrows. We own all the FF&E reserve escrows for our hotels. FF&E Reserve Depos
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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