Service Properties Trust - Shares Of Beneficial Interest · NASDAQ:SVC
Service Properties Trust - Shares Of Beneficial Interest — Hospitality Properties Trust — Q4 2015 Earnings Presentation
34 slides from Service Properties Trust - Shares Of Beneficial Interest's earnings presentation, 2016
Slide 1: Fourth Quarter 2015 Supplemental Operating and Financial Data
Hospitality Properties Trust Fourth Quarter 2015 Supplemental Operating and Financial Data Sonesta ES Suites, Orlando, FL Operator: Sonesta International Hotels Corp. Guest Rooms: 150 All amounts in this report are unaudited.
Slide 2: Table of Contents
TABLE OF CONTENTS TABLE OF CONTENTS PAGE/EXHIBIT CORPORATE INFORMATION 6 Company Profile 7,8 Investor Information 9 Research Coverage 10 FINANCIAL INFORMATION 11 Key Financial Data 12,13 Consolidated Balance Sheets 14 Consolidated Statements of Income 15 Notes to Consolidated Statements of Income 16
Slide 3: Warning Concerning Forward Looking Statements
WARNING CONCERNING FORWARD LOOKING STATEMENTS WARNING CONCERNING FORWARD LOOKING STATEMENTS THIS PRESENTATION OF SUPPLEMENTAL OPERATING AND FINANCIAL DATA CONTAINS STATEMENTS THAT CONSTITUTE FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OTH
Slide 4: Forward Looking Statements (continued)
FORWARD LOOKING STATEMENTS (continued) • WE EXPECT THAT MARRIOTT INTERNATIONAL INC., OR MARRIOTT, WILL PAY US UP TO 90% OF OUR MINIMUM RETURNS UNDER A LIMITED GUARANTY IF AND AFTER WE DEPLETE THE SECURITY DEPOSIT WE HOLD FOR ANY PAYMENT SHORTFALLS UNDER OUR MARRIOTT NO. 234 AGREEMENT. THIS STATEMENT
Slide 5: Forward Looking Statements (continued)
FORWARD LOOKING STATEMENTS (continued) • THE PURCHASE PRICE WE PAID FOR THE RMR INC. SHARES IS STATED IN OUR ANNUAL REPORT ON FORM 10-K. AN IMPLICATION OF THIS STATEMENT MAY BE THAT THE RMR INC. SHARES WILL HAVE A MARKET VALUE AT LEAST EQUAL TO THE VALUE WE PAID FOR THE RMR INC. SHARES. IN FACT, THE
Slide 6: Corporate Information
CORPORATE INFORMATION Courtyard by Marriott, Dallas, TX Hospitality Properties Trust Operator: Marriott International, Inc. Supplemental Operating and Financial Data, December 31, 2015 Guest Rooms: 160
Slide 7: Company Profile
COMPANY PROFILE COMPANY PROFILE The Company: Corporate Headquarters: Hospitality Properties Trust, or HPT, we, our, or us, is a real estate investment trust, or REIT. As of December 31, 2015, we Two Newton Place owned 302 hotels and 193 travel centers located in 45 states, Puerto Rico and Canada. Ou
Slide 8: Company Profile (continued)
COMPANY PROFILE COMPANY PROFILE (continued) Operating Statistics by Operating Agreement (as of 12/31/15) (dollars in thousands): Number Annualized Percent of Total Number of of Rooms / Minimum Minimum Coverage (3) RevPAR Change (4) (1) Operating Agreement Properties Suites Return / Rent (2) Return /
Slide 9: Investor Information
INVESTOR INFORMATION INVESTOR INFORMATION Board of Trustees Donna D. Fraiche John L. Harrington William A. Lamkin Independent Trustee Lead Independent Trustee Independent Trustee Adam D. Portnoy Barry M. Portnoy Managing Trustee Managing Trustee Senior Management John G. Murray Mark L. Kleifges Etha
Slide 10: Research Coverage
RESEARCH COVERAGE RESEARCH COVERAGE Equity Research Coverage Baird Canaccord Genuity FBR & Co. David Loeb Ryan Meliker Bryan Maher (414) 765-7063 (212) 389-8094 (646)-885-5423 dloeb@rwbaird.com rmeliker@canaccordgenuity.com bmaher@fbr.com JMP Securities RBC Stifel Nicolaus Whitney Stevenson Wes Goll
Slide 11: Financial Information
Hospitality FINANCIALProperties Trust INFORMATION Fourth Quarter 2015 Radisson Hotel, Salt Lake City, UT Operator: Carlson Hotels Worldwide Supplemental Operating and Financial Data Guest Rooms: 381 Sonesta ES Suites, Orlando, FL Operator: Sonesta International Hotels Corp. Guest Rooms: 150 All amou
Slide 12: Key Financial Data
KEY FINANCIAL DATA KEY FINANCIAL DATA (amounts in thousands, except per share data) As of and For the Three Months Ended 12/31/2015 9/30/2015 6/30/2015 3/31/2015 12/31/2014 Shares Outstanding: Common shares outstanding (at end of period) 151,547 151,547 151,485 149,951 149,920 Weighted average commo
Slide 13: Key Financial Data (continued)
KEY FINANCIAL DATA (continued) KEY FINANCIAL DATA (dollars in thousands, except per share data) As of and For the Three Months Ended 12/31/2015 9/30/2015 6/30/2015 3/31/2015 12/31/2014 Selected Income Statement Data: Total revenues $ 467,440 $ 511,886 $ 507,066 $ 435,512 $ 430,533 (1) (2) Adjusted E
Slide 14: Consolidated Balance Sheets
CONSOLIDATED BALANCE SHEETS CONSOLIDATED BALANCE SHEETS (dollar amounts in thousands, except per share data) As of As of December 31, December 31, 2015 2014 ASSETS Real estate properties: Land $ 1,529,004 $ 1,484,210 Buildings, improvements and equipment 6,740,423 6,171,983 Total real estate propert
Slide 15: Consolidated Statements of Income
CONSOLIDATED STATEMENTS OF INCOME CONSOLIDATED STATEMENTS OF INCOME (amounts in thousands, except per share data) For the Three Months Ended December 31, For the Year Ended December 31, 2015 2014 2015 2014 Revenues: Hotel operating revenues (1) $ 390,910 $ 362,600 $ 1,634,654 $ 1,474,757 Rental inco
Slide 16: Notes to Consolidated Statements of Income
NOTES TO CONSOLIDATED STATEMENTS OF INCOME NOTES TO CONSOLIDATED STATEMENTS OF INCOME (dollar amounts in thousands, except per share data) (1) At December 31, 2015, we owned 302 hotels; 299 of these hotels are managed by hotel operating companies and three hotels are leased to hotel operating compan
Slide 17: Consolidated Statements of Cash Flows
CONSOLIDATED STATEMENTS OF CASH FLOWS CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) For the Year Ended December 31, 2015 2014 Cash flows from operating activities: Net income $ 166,418 $ 197,185 Adjustments to reconcile net income to cash provided by operating activities: Depreciation and amo
Slide 18: Debt Summary
DEBT SUMMARY DEBT SUMMARY As of December 31, 2015 (dollars in thousands) Interest Principal Maturity Due at Years to Rate Balance Date Maturity Maturity Unsecured Floating Rate Debt: $1,000,000 unsecured revolving credit facility (1)(2) 1.524% $ 465,000 07/15/18 $ 465,000 2.5 $400,000 unsecured term
Slide 19: Debt Maturity Schedule
DEBT MATURITY SCHEDULE DEBT MATURITY SCHEDULE As of December 31, 2015 (dollars in thousands) Unsecured Unsecured Floating Fixed Year Rate Debt Rate Debt Total 2016 $ - $ 275,000 (3) $ 275,000 2017 - 300,000 300,000 2018 465,000 (1) 350,000 815,000 2019 400,000 (2) - 400,000 2022 - 500,000 500,000 20
Slide 20: Leverage Ratios, Coverage Ratios and Public Debt Covenants
LEVERAGE RATIOS, COVERAGE RATIOS AND PUBLIC DEBT COVENANTS LEVERAGE RATIOS, COVERAGE RATIOS AND PUBLIC DEBT COVENANTS As of and For the Three Months Ended 12/31/2015 9/30/2015 6/30/2015 3/31/2015 12/31/2014 Leverage Ratios: Total debt / total market capitalization 43.5% 44.0% 40.2% 35.6% 36.4% Total
Slide 21: FF&E Reserve Escrows
FF&E RESERVE ESCROWS FF&E RESERVE ESCROWS (1) (dollars in thousands) As of and For the Three Months Ended 12/31/2015 9/30/2015 6/30/2015 3/31/2015 12/31/2014 FF&E reserves (beginning of period) $ 44,296 $ 39,106 $ 36,549 $ 33,982 $ 30,621 Manager deposits 17,607 18,683 17,661 13,430 14,434 HPT fundi
Slide 22: Property Acquisition and Disposition Information Since January 1, 2015
PROPERTY ACQUISITION AND DISPOSITION INFORMATION SINCE JANUARY 1, 2015 PROPERTY ACQUISITION AND DISPOSITION INFORMATION SINCE JANUARY 1, 2015 (dollars in thousands) As of December 31, 2015 ACQUISITIONS: (1) Average Number Purchase Date of Rooms Operating Purchase Price per Acquired Properties Brand
Slide 23: Operating Agreements and Portfolio Information
OPERATING AGREEMENTS AND PORTFOLIO INFORMATION Sonesta Resort, Hilton Head, SC Operator: Hospitality Properties TrustHotels Corporation Sonesta International Supplemental Operating and Financial Data, December 31, 2015 Guest Rooms: 340
Slide 24: Portfolio by Operating Agreement and Manager
PORTFOLIO BY OPERATING AGREEMENT AND MANAGER PORTFOLIO BY OPERATING AGREEMENT AND MANAGER As of December 31, 2015 (dollars in thousands) Percent of Percent of Percent of Total Total Total Percent of Investment Annual Annual Number of Number of Number of Number of Total Per Minimum Minimum By Operati
Slide 25: Portfolio by Brand
PORTFOLIO BY BRAND PORTFOLIO BY BRAND As of December 31, 2015 (dollars in thousands) Percent of Percent of Total Total Percent of Investment Number of Number of Number of Number of Total Per Brand Manager Properties Properties Rooms / Suites Rooms / Suites Investment (1) Investment Room / Suite ® Co
Slide 26: Operating Agreement Information
OPERATING AGREEMENT INFORMATION OPERATING AGREEMENT INFORMATION As of December 31, 2015 (dollars in thousands) Marriott No. 1- We lease 53 Courtyard by Marriott® branded hotels in 24 states to one of our TRSs. The hotels are managed by a subsidiary of Marriott under a combination management agreemen
Slide 27: Operating Agreement Information
OPERATING AGREEMENT INFORMATION OPERATING AGREEMENT INFORMATION As of December 31, 2015 (dollars in thousands) Sonesta- We lease our 31 Sonesta branded hotels (four Royal Sonesta Hotels ®, four Sonesta Hotels & Resorts ® and 23 Sonesta ES Suites ® hotels) in 18 states to one of our TRSs. The hotels
Slide 28: Operating Agreement Information
OPERATING AGREEMENT INFORMATION OPERATING AGREEMENT INFORMATION As of December 31, 2015 (dollars in thousands) Morgans- We lease the Clift Hotel, a full service hotel in San Francisco, CA, to a subsidiary of Morgans under a lease agreement that expires in 2103. On October 14, 2019 and on each fifth
Slide 29: Operating Statistics by Hotel Operating Agreement and Manager
OPERATING STATISTICS BY HOTEL OPERATING AGREEMENT AND MANAGER OPERATING STATISTICS BY HOTEL OPERATING AGREEMENT AND MANAGER No. of For the Three Months Ended For the Year Ended No. of Rooms / December 31, December 31, Hotels Suites 2015 2014 Change 2015 2014 Change ADR Marriott (no. 1) 53 7,610 $ 12
Slide 30: Coverage by Operating Agreement and Manager
COVERAGE BY OPERATING AGREEMENT AND MANAGER COVERAGE BY OPERATING AGREEMENT AND MANAGER (1) Number of For the Twelve Months Ended Operating Agreement Properties 12/31/2015 9/30/2015 6/30/2015 3/31/2015 12/31/2014 Marriott (no. 1) 53 1.33x 1.29x 1.26x 1.21x 1.16x Marriott (no. 234) 68 1.08x 1.07x 1.0
Slide 31: Exhibits
EXHIBITS TA Travel Center, I-75, Exit 296, Cartersville, GA Operator: TravelCenters of America Hospitality Properties Trust Supplemental Operating and Financial Data, December 31, 2015
Slide 32: Calculation of EBITDA and Adjusted EBITDA
CALCULATION OF EBITDA AND ADJUSTED EBITDA CALCULATION OF EBITDA AND ADJUSTED EBITDA (1) (in thousands) For the Three Months Ended, For the Year Ended December 31, 12/31/2015 9/30/2015 6/30/2015 3/31/2015 12/31/2014 2015 2014 Net income (loss) $ (19,494) $ 61,185 $ 83,146 $ 41,581 $ 56,523 $ 166,418
Slide 33: Calculation of FFO and Normalized FFO
CALCULATION OF FUNDS FROM OPERATIONS (FFO) AND NORMALIZED FFO CALCULATION OF FUNDS FROM OPERATIONS (FFO) AND NORMALIZED FFO AVAILABLE FOR COMMON SHAREHOLDERS (1) (dollar amounts in thousands, except per share data) For the Three Months Ended, For the Year Ended December 31, 12/31/2015 9/30/2015 6/30
Slide 34: Non-GAAP Financial Measures Definitions
Non-GAAP Financial Measures Definitions NON-GAAP FINANCIAL MEASURES DEFINITIONS Definition of EBITDA We calculate EBITDA and Adjusted EBITDA as shown in Exhibit A. We consider EBITDA and Adjusted EBITDA to be appropriate measures of our operating performance, along with net income, net income availa
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