Ashford Hospitality Trust Inc · NYSE:AHT
Ashford Hospitality Trust — Investor Presentation (September 2022)
21 slides from Ashford Hospitality Trust's investor presentation, Sep 20, 2022
Slide 1: Ashford Hospitality Trust September 2022
J® ASHFORD HOSPITALITY TRUST September 2022
Slide 2: Safe Harbor forward-looking statements
2 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 result," "m
Slide 3: Capitalizing on the Recovery
Capitalizing on the Recovery O w n e r o f I n s t i t u t i o n a l Q u a l i t y , G e o g r a p h i c a l l y D i v e r s e L o d g i n g A s s e t s w i t h E x p o s u r e t o R e c o v e r y S e g m e n t s 3 La Concha Key West, FL W Atlanta Downtown Atlanta, GA Marriott Beverly Hills Beverly
Slide 4: Overview
Overview 4 Clear Path Forward to Capitalize on the Recovery Portfolio Positioned for the Recovery Significant Balance Sheet & Liquidity Enhancements
Slide 5: Executive Management Team
5 D e r i c E u b a n k s C h i e f F i n a n c i a l O f f i c e r ▪ 21 years of hospitality experience ▪ 18 years with Ashford ▪ 3 years with ClubCorp ▪ CFA Charterholder ▪ Southern Methodist University, BBA J . R o b i s o n H a y s C h i e f E x e c u t i v e O f f i c e r & P r e s i d e n t ▪
Slide 6: Significant Balance Sheet & Liquidity Enhancements
Significant Balance Sheet & Liquidity Enhancements A H T H a s T a k e n N u m e r o u s S t e p s t o I m p r o v e t h e B a l a n c e S h e e t & L i q u i d i t y P r o f i l e 6 Significant Liquidity: Net Working Capital of $600M+ Attractive Debt Maturity Schedule Achieved Substantive Corporate
Slide 7: Net Working Capital
Net Working Capital 7 A C l o s e r L o o k a t C a s h & L i q u i d i t y P o s i t i o n June 30, 2022 Cash and cash equivalents $ 538,406 Restricted cash 126,555 Accounts receivable, net 57,206 Prepaid expenses 11,421 Due from third-party hotel managers, net 23,187 Due from affiliates, net 5,097
Slide 8: Well-Laddered Maturity Schedule
Significant Balance Sheet & Liquidity Enhancements W e l l - L a d d e r e d M a t u r i t y S c h e d u l e 8(1) As of 6/30/2022. Assumes extension options are exercised; totals for each year exclude scheduled amortization payments. 2022 Pro Forma for the sale of the Ann Arbor Sheraton, which had a
Slide 9: Decisive Actions Resulted in Approximately $1.1B of Deleveraging
Significant Balance Sheet & Liquidity Enhancements D e c i s i v e A c t i o n s H a v e R e s u l t e d i n A p p r o x i m a t e l y $ 1 . 1 B o f D e l e v e r a g i n g s i n c e Q 2 2 0 2 0 9 $3,842,167 $3,153,100 $564,735 $162,970 $3,000,000 $3,500,000 $4,000,000 $4,500,000 6/30/2020 6/30/2022
Slide 10: Portfolio Positioned for the Recovery
Lodging Recovery Expected Over Next 4+ Years Best-in-Class Hotel Brands and Management Companies with Remington Driving Outperformance Chain Scale Mix with RevPAR Growth Expected Portfolio Positioned to Capture Leisure & Transient Demand with Low Historical Reliance Upon Group Business Well Diversif
Slide 11: Occupancy and RevPAR near Full Recovery and ADR Fully Recovering in 2022
Occupancy and RevPAR near Full Recovery and ADR Fully Recovering in 2022 U . S . K P I s , I n d e x e d t o 2 0 1 9 11 Source: STR 87.4 96.2 98.7 100.6 101.1 0 25 50 75 100 125 2021 2022 2023 2024 2025 Occupancy Index 83.2 106.8 112.9 118.7 122.3 0 25 50 75 100 125 2021 2022 2023 2024 2025 RevPAR I
Slide 12: RevPAR has Rebounded Strongly from Depths of the Crisis
Portfolio Positioned for the Recovery R e v P A R h a s R e b o u n d e d S t r o n g l y f r o m D e p t h s o f t h e C r i s i s 12 -100.0% -90.0% -80.0% -70.0% -60.0% -50.0% -40.0% -30.0% -20.0% -10.0% 0.0% AHT RevPAR as % of ‘19 (as of August 2022) Source: AHT internal reporting, Room RevPAR as
Slide 13: Significant Assets in Early Recovery Segments and High-Growth Chain Scales
Portfolio by Hotel EBITDA(2) CHAIN SCALE UPPER UPSCALE 63% UPSCALE INDEPENDENT 6% LUXURY 4% UPPER MIDSCALE 2% REMINGTON 58% 32% HILTON 6% HYATT 4% INTERSTATE <1% 13 FULL-SERVICE 75% SELECT-SERVICE 25% SERVICE TYPE 100 H O T E L S ( 1 ) 28 S T A T E S ( 1 ) 22,313 H O T E L R O O M S ( 1 ) MARRIOTTHI
Slide 14: High Exposure to Transient Leisure, Low Exposure to Group
Portfolio Positioned for the Recovery H i g h E x p o s u r e t o T r a n s i e n t L e i s u r e , L o w E x p o s u r e t o G r o u p 14 73% 24% 3% AHT 2019 Pro Forma Hotel Revenue Transient Group Other 71% 23% 6% AHT 2019 Pro Forma Transient Hotel Revenue Leisure Business Other Note: Pro forma TT
Slide 15: Geographically Diverse Portfolio Focused on Upper Upscale Assets
Portfolio Positioned for the Recovery G e o g r a p h i c a l l y D i v e r s e P o r t f o l i o F o c u s e d o n U p p e r U p s c a l e A s s e t s 15(1) Pro forma TTM Hotel EBITDA as of December 31, 2019 excluding assets disposed of in 2020 and 2021; excludes WorldQuest Source: PwC Forecasted G
Slide 16: Geographically Diverse Portfolio Focused on Top 25 Markets
Portfolio Positioned for the Recovery G e o g r a p h i c a l l y D i v e r s e P o r t f o l i o F o c u s e d o n T o p 2 5 ( “ T 2 5 ” ) M a r k e t s 16 0% 2% 4% 6% 8% 10% 12% 14% Top 25 Markets Central Business Districts All Other Markets 2023 2024 Forecasted Growth by Market of Hotel EBITDA(1)
Slide 17: Positioned to Take Advantage of Demographic Shifts
Portfolio Positioned for the Recovery P o s i t i o n e d t o T a k e A d v a n t a g e o f D e m o g r a p h i c S h i f t A w a y f r o m t h e N o r t h e a s t , R u s t B e l t & W e s t C o a s t 17 Inbound or Outbound Migration 2016 – 2021(2) • 25% of business owners are considering moving op
Slide 18: Conclusion
Conclusion 18 Clear Path Forward to Capitalize on the Recovery Portfolio Positioned for the Recovery Significant Balance Sheet & Liquidity Enhancements
Slide 19: Appendix
Appendix
Slide 20: Reconciliation of Net Income to Hotel EBITDA
Reconci l ia t ion of Net Income to Hote l EB I TDA 20 December 31, 2019 TTM Net income (loss) 168,758$ Non-property adjustments 7,341 Interest income (306) Interest expense 19,208 Amortization of loan costs 1,763 Depreciation and amortization 268,896 Income tax expense (benefit) 324 Non-hotel EBITD
Slide 21: Ashford Hospitality Trust September 2022
J® ASHFORD HOSPITALITY TRUST September 2022
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