Service Properties Trust - Shares Of Beneficial Interest · NASDAQ:SVC

Service Properties Trust - Shares Of Beneficial Interest — Hospitality Properties Trust — Q2 2012 Earnings Presentation

34 slides from Service Properties Trust - Shares Of Beneficial Interest's earnings presentation, Aug 7, 2012

  1. Slide 1: Hospitality Properties Trust Second Quarter 2012 Supplemental Operating and Financial Data

    Exhibit 99.2 Hospitality Properties Trust Second Quarter 2012 Supplemental Operating and Financial Data All amounts in this report are unaudited. Royal Sonesta, Baltimore, MD. Guest Rooms: 195.

  2. 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 Condensed Consolidated Balance Sheets 14 Condensed Consolidated Statements of Income 15 Notes to Condensed Consol

  3. 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 WHICH CONSTITUTE FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OT

  4. Slide 4: Forward Looking Statements (continued)

    FORWARD LOOKING STATEMENTS (continued) COMPETITION WITHIN THE REAL ESTATE INDUSTRY OR THOSE INDUSTRIES IN WHICH OUR TENANTS AND HOTEL MANAGERS OPERATE, ACTS OF TERRORISM, OUTBREAKS OF SO CALLED PANDEMICS OR OTHER MANMADE OR NATURAL DISASTERS BEYOND OUR CONTROL, AND ACTUAL AND POTENTIAL CONFLICTS OF

  5. Slide 5: Forward Looking Statements (continued)

    FORWARD LOOKING STATEMENTS (continued) HOTEL ROOM DEMAND AND TRUCKING ACTIVITY VOLUME ARE OFTEN A REFLECTION OF THE GENERAL ECONOMIC ACTIVITY IN THE COUNTRY. IF ECONOMIC ACTIVITY IN THE COUNTRY DECLINES, HOTEL ROOM DEMAND AND TRUCKING ACTIVITY VOLUME MAY DECLINE AND THE OPERATING RESULTS OF OUR HOTE

  6. Slide 6: Corporate Information

    CORPORATE INFORMATION Pictured Below: Residence Inn by Marriott, Fort Worth, TX. Guest Rooms: 114. Pictured Above: Courtyard by Marriott, Fort Worth, TX. Guest Rooms: 154. Hospitality Properties Trust 6 Supplemental Operating and Financial Data, June 30, 2012

  7. Slide 7: Company Profile

    COMPANY PROFILE COMPANY PROFILE The Company: Strategy: Hospitality Properties Trust, or HPT, we, or us, is a real estate investment trust, or REIT. As of June Our business strategy is to maintain and grow a portfolio of hotels and travel centers operated by 30, 2012, we owned or leased 290 hotels an

  8. Slide 8: Company Profile (continued)

    COMPANY PROFILE (continued) COMPANY PROFILE Portfolio Data by Manager (as of 6/30/12) ($ in 000s): Percent of Percent Number Number Percent of Annualized of Total Number of of Rooms/ of Rooms/ Total Minimum Minimum Manager Properties Suites Suites Investment (1) Investment Return / Rent Return / Ren

  9. Slide 9: Investor Information

    INVESTOR INFORMATION INVESTOR INFORMATION Board of Trustees Barry M. Portnoy Adam D. Portnoy Managing Trustee Managing Trustee Bruce M. Gans, M.D. William A. Lamkin Independent Trustee Independent Trustee John L. Harrington Independent Trustee Senior Management John G. Murray Mark L. Kleifges Presid

  10. Slide 10: Research Coverage

    RESEARCH COVERAGE RESEARCH COVERAGE Equity Research Coverage Baird Janney Montgomery Scott Keefe, Bruyette & Woods David Loeb Daniel Donlan Smedes Rose (414) 765-7063 (215) 665-6476 (212) 887-3696 MLV & Co. RBC Stifel Nicolaus Ryan Meliker Mike Salinsky Rod Petrik (212) 542-5872 (216) 378-7627 (410)

  11. Slide 11: Financial Information

    FINANCIAL INFORMATION Hyatt Place, Utica, MI. Guest Rooms: 123. Hospitality Properties Trust Staybridge Suites, Houston, TX. Supplemental Operating and Financial Data, June 30, 2012 Guest Rooms: 93.

  12. Slide 12: Key Financial Data

    KEY FINANCIAL DATA KEY FINANCIAL DATA (dollar amounts in thousands, except per share data) As of and For the Three Months Ended 6/30/2012 3/31/2012 12/31/2011 9/30/2011 6/30/2011 Shares Outstanding: Common shares outstanding (at end of period) 123,563 123,555 123,522 123,522 123,454 Weighted average

  13. Slide 13: Key Financial Data (continued)

    KEY FINANCIAL DATA (continued) KEY FINANCIAL DATA (dollar amounts in thousands, except per share data) As of and For the Three Months Ended 6/30/2012 3/31/2012 12/31/2011 9/30/2011 6/30/2011 Selected Income Statement Data: Total revenues $ 343,183 $ 301,420 $ 295,851 $ 318,689 $ 313,809 EBITDA (1) $

  14. Slide 14: Condensed Consolidated Balance Sheets

    CONDENSED CONSOLIDATED BALANCE SHEETS CONDENSED CONSOLIDATED BALANCE SHEETS (dollar amounts in thousands, except share data) As of As of June 30, December 31, 2012 2011 ASSETS Real estate properties, at cost Land $ 1,416,807 $ 1,360,773 Buildings, improvements and equipment 5,084,160 4,879,908 6,500

  15. Slide 15: Condensed Consolidated Statements of Income

    CONDENSED CONSOLIDATED STATEMENTS OF INCOME CONDENSED CONSOLIDATED STATEMENTS OF INCOME (amounts in thousands, except per share data) For the Three Months Ended For the Six Months Ended 6/30/2012 6/30/2011 6/30/2012 6/30/2011 Revenues: Hotel operating revenues (1) $ 265,068 $ 230,335 $ 490,053 $ 427

  16. Slide 16: Notes to Condensed Consolidated Statements of Income

    NOTES TO CONDENSED CONSOLIDATED STATEMENTS OF INCOME NOTES TO CONDENSED CONSOLIDATED STATEMENTS OF INCOME (in thousands, except per share data) (1) At June 30, 2012, we owned or leased 290 hotels; 234 of these hotels are leased by us to our taxable REIT subsidiaries, or TRSs, and managed by hotel op

  17. Slide 17: Condensed Consolidated Statements of Cash Flows

    CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands) For the Six Months Ended 6/30/2012 6/30/2011 Cash flows from operating activities: Net income $ 80,634 $ 104,691 Adjustments to reconcile net income to cash provided by operating activities

  18. Slide 18: Segment Information

    SEGMENT INFORMATION SEGMENT INFORMATION (in thousands) For the Three Months Ended June 30, 2012 Hotels Travel Centers Corporate Consolidated Hotel operating revenues $ 265,068 $ - $ - $ 265,068 Rental income 22,096 51,592 - 73,688 FF&E reserve income 4,427 - - 4,427 Total revenues 291,591 51,592 - 3

  19. Slide 19: Segment Information

    SEGMENT INFORMATION SEGMENT INFORMATION (in thousands) For the Three Months Ended June 30, 2011 Hotels Travel Centers Corporate Consolidated Hotel operating revenues $ 230,335 $ - $ - $ 230,335 Rental income 27,986 50,254 - 78,240 FF&E reserve income 5,234 - - 5,234 Total revenues 263,555 50,254 - 3

  20. Slide 20: Debt Summary

    DEBT SUMMARY DEBT SUMMARY AS OF JUNE 30, 2012 (dollars in thousands) Interest Principal Maturity Years to Rate Balance Date Maturity Unsecured Debt: Unsecured Floating Rate Debt: Revolving credit facility (LIBOR + 130 bps) (1) - - 09/07/15 3.2 Unsecured term loan (LIBOR + 145 bps) (2) 1.700% 400,000

  21. Slide 21: Debt Maturity Schedule

    DEBT MATURITY SCHEDULE DEBT MATURITY SCHEDULE AS OF JUNE 30, 2012 (dollars in thousands) Unsecured Unsecured Floating Fixed Year Rate Debt Rate Debt Total 2012 $ - $ - $ - 2013 - 287,000 287,000 2014 - 300,000 300,000 2015 - (1) 280,000 280,000 2016 - 275,000 275,000 2017 400,000 (2) 300,000 700,000

  22. Slide 22: 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 6/30/2012 3/31/2012 12/31/2011 9/30/2011 6/30/2011 Leverage Ratios: Total debt / total assets 41.0% 41.9% 41.2% 40.7% 41.2% Total debt / gross bo

  23. Slide 23: FF&E Reserve Escrows

    FF&E RESERVE ESCROWS FF&E RESERVE ESCROWS (1) (dollars in thousands) For the Three Months Ended 6/30/2012 3/31/2012 12/31/2011 9/30/2011 6/30/2011 FF&E reserves (beginning of period) $ 59,644 $ 50,196 $ 41,747 $ 51,686 $ 59,919 Manager deposits 9,142 12,133 8,337 15,229 14,959 HPT fundings (2): Marr

  24. Slide 24: Acquisition and Disposition Information Since January 1, 2012

    ACQUISITION AND DISPOSITION INFORMATION SINCE JANUARY 1, 2012 ACQUISITION AND DISPOSITION INFORMATION SINCE JANUARY 1, 2012 (dollars in thousands) ACQUISITIONS: Number Purchase Date of Rooms Operating Purchase Price per Acquired Properties Brand Location / Suites Agreement Price (2) Room / Suite 1/3

  25. Slide 25: Operating Agreements and Portfolio Information

    OPERATING AGREEMENTS AND PORTFOLIO INFORMATION InterContinental, San Juan, PR. Guest Rooms:Hospitality 402. Properties Trust 25 Supplemental Operating and Financial Data, June 30, 2012

  26. Slide 26: Summary of Operating Agreements

    SUMMARY OF OPERATING AGREEMENTS SUMMARY OF OPERATING AGREEMENTS (as of June 30, 2012) (dollars in thousands) Operating Agreement Marriott (No. 1) Marriott (No. 234) Marriott (No. 5) InterContinental Hyatt Carlson Number of Properties (1) (2) 11 53 71 1 126 22 Number of Rooms / Suites 7,610 9,954 356

  27. Slide 27: Summary of Operating Agreements (continued)

    SUMMARY OF OPERATING AGREEMENTS (continued) SUMMARY OF OPERATING AGREEMENTS (as of June 30, 2012) (dollars in thousands) Total / Range / Average (all Operating Agreement Sonesta (No. 1) (17) Sonesta (No. 2) (18) TA (No. 1) TA (No. 2) investments) Number of Properties 5 1 145 40 475 Number of Rooms /

  28. Slide 28: Notes to Summary of Operating Agreements

    NOTES TO SUMMARY OF OPERATING AGREEMENTS NOTES TO SUMMARY OF OPERATING AGREEMENTS (1) We had previously identified 21 hotels included in this agreement for potential sale. The information provided in this table includes these 21 hotels. In May 2012, we agreed to retain and renovate 18 of these hotel

  29. Slide 29: Portfolio by Operating Agreement, Manager and Brand

    PORTFOLIO BY OPERATING AGREEMENT, MANAGER AND BRAND PORTFOLIO BY OPERATING AGREEMENT, MANAGER AND BRAND (as of June 30, 2012) (dollars in thousands) Percent of Percent of Annual Percent of Number of Number of Number of Number of Percent of Investment per Minimum Minimum Properties Properties Rooms /

  30. Slide 30: Operating Statistics by Hotel Operating Agreement

    OPERATING STATISTICS BY HOTEL OPERATING AGREEMENT OPERATING STATISTICS BY HOTEL OPERATING AGREEMENT (as of June 30, 2012) No. of No. of Rooms / Second Quarter (1) Year to Date (1) Hotels Suites 2012 2011 Change 2012 2011 Change ADR InterContinental (2) 126 18,771 $ 88.25 $ 81.84 7.8% $ 88.73 $ 82.67

  31. Slide 31: Coverage by Operating Agreement

    COVERAGE BY OPERATING AGREEMENT (1) COVERAGE BY OPERATING AGREEMENT (as of June 30, 2012) For the Twelve Months Ended (2) Operating Agreement 6/30/2012 3/31/2012 12/31/2011 9/30/2011 6/30/2011 InterContinental (3) (4) 0.87x 0.85x 0.86x 0.83x 0.74x Marriott (no. 1) 0.88x 0.85x 0.81x 0.75x 0.73x Marri

  32. Slide 32: Exhibits

    Ontario Travel Center, Ontario, CA. Truck Parking: 154. EXHIBITS Hospitality Properties Trust 32 Supplemental Operating and Financial Data, June 30, 2012

  33. Slide 33: Calculation of EBITDA

    CALCULATION OF EBITDA CALCULATION OF EBITDA (in thousands) For the Three Months Ended For the Six Months Ended 6/30/2012 6/30/2011 6/30/2012 6/30/2011 EXHIBIT A Net income $ 37,686 $ 51,643 $ 80,634 $ 104,691 Plus: Interest expense 32,714 33,331 66,806 66,670 Depreciation and amortization 64,277 57,

  34. Slide 34: Calculation of Funds from Operations (FFO) and Normalized FFO

    CALCULATION OF FUNDS FROM OPERATIONS (FFO) AND NORMALIZED FFO CALCULATION OF FUNDS FROM OPERATIONS (FFO) AND NORMALIZED FFO (in thousands, except per share data) For the Three Months Ended For the Six Months Ended 6/30/2012 6/30/2011 6/30/2012 6/30/2011 Net income available for common shareholders $

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