Xenia Hotels & Resorts, Inc. · NYSE:XHR
Xenia Hotels & Resorts — Investor Presentation (February 2019)
39 slides from Xenia Hotels & Resorts's investor presentation, Feb 27, 2019
Slide 1: Investor Presentation February 2019
Hyatt Regency Grand Cypress Park Hyatt Aviara Resort, Golf Club & Spa Royal Palms Resort & Spa The Ritz-Carlton, Denver Hyatt Regency Scottsdale Resort & Spa Fairmont Pittsburgh The Ritz-Carlton, Pentagon City Investor Presentation February 2019
Slide 2: Forward-Looking Statements
Forward-Looking Statements 2
Slide 3: Corporate Strategy
Transaction-Oriented Mindset Focus on diversification, quality, and portfolio enhancement Corporate Conservative Leverage Profile Strategy Emphasis on a healthy balance sheet throughout various lodging cycles Aggressive Asset Management Initiatives Leveraging strong relationships with both brands an
Slide 4: Xenia's Portfolio Today
Xenia’s Portfolio Today Portfolio Characteristics Diversified Branding Key Portfolio Statistics • 40 Hotels • 11,167 15 Rooms Brands • 17 26 • States Markets Andaz Savannah Fairmont Dallas Andaz Napa Loews New Orleans 4
Slide 5: Diversified Geographic Footprint
Diversified Geographic Footprint Hotels located across 26 unique lodging markets including the higher-growth Sunbelt region and several gateway markets. No single market contributes more than 10% of 2018 Hotel EBITDA1 5
Slide 6: Catalysts for Value Creation
Catalysts for Value Creation Post-renovation ramp opportunities at recently renovated hotels • • • • Margin growth opportunities at newly acquired hotels • • • Asset Repositioning / Rebrandings • • • 6
Slide 7: Strong Financial Profile
Strong Financial Profile $3.3 Billion 3.6x 5.6% Enterprise Value1 Net Debt/EBITDA2 Dividend Yield1 Balance Sheet Overview3 Debt Maturity Profile3 $575M Term Loans 30 Hotels unencumbered, $673M Property represents ~65% Level of Hotel EBITDA Debt $500M LOC Availability 7
Slide 8: Xenia Track Record
Xenia Track Record
Slide 9: Strategic Capital Allocation Improves Portfolio Quality
Strategic Capital Allocation Improves Portfolio Quality Xenia’s Current Portfolio 40 $165.27 $28,183 3.6x Hotels 2018 RevPAR 2018 Hotel EBITDA/Key Net Debt/EBITDA1 9
Slide 10: Transaction Activity Transforms Company Profile
Transaction Activity Transforms Company Profile Since listing in February 2015, Xenia has completed $2.5 billion in transactions including 12 acquisitions and 20 dispositions • • • • • • • • • • • • • • • • • • 10
Slide 11: Strategically Transformed Portfolio
Strategically Transformed Portfolio At Listing Current1 Brand Mix 7% Chain Scale Mix1
Slide 12: Strategically Transformed Portfolio: Transaction Activity Since Listing
Strategically Transformed Portfolio Transaction Activity Since Listing Acquisitions1 Dispositions $1.4 Billion $1.1 Billion All Luxury or Upper Upscale All Upper Upscale or Upscale 12 3,289 20 4,869 Hotels Rooms Hotels Rooms 12
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Slide 14: 2018 Operating Results
2018 Operating Results 2018 Company Results $299.8 Million $2.22 Adjusted EBITDAre Adjusted FFO/Share 14
Slide 15: Transaction Activity Strengthens Competitive Profile
Transaction Activity Strengthens Competitive Profile Acquisitions Dispositions $354 Million $420 Million 4 841 3 1,173 Luxury Hotels Rooms Upscale Hotels Rooms $214.18 $24,700 14.8% $154.19 $26,835 40.4% 2018 RevPAR 2018 EBITDA/Key 2018 EBITDA Margin TTM RevPAR TTM EBITDA/Key TTM EBITDA Margin • • •
Slide 16: 2018 Capital Markets Activity
2018 Capital Markets Activity ✓ ✓ ✓ ✓ ✓ ✓ ATM Utilization New Loans and Refinancings Strong Leverage Profile • • • • • • • • • Marriott Dallas City Center Hotel Palomar Philadelphia Grand Bohemian Hotel Orlando Hyatt Regency Santa Clara 16
Slide 17: Well-Maintained Portfolio: Andaz Savannah
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Andaz Savannah 17
Slide 18: Well-Maintained Portfolio: Hotel Monaco Denver
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Hotel Monaco Denver 18
Slide 19: Well-Maintained Portfolio: Hyatt Regency Grand Cypress
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Hyatt Regency Grand Cypress 19
Slide 20: Well-Maintained Portfolio: Lorien Hotel & Spa
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Lorien Hotel & Spa 20
Slide 21: Well-Maintained Portfolio: Marriott Chicago Medical District
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Marriott Chicago Medical District 21
Slide 22: Well-Maintained Portfolio: Marriott Dallas City Center
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Marriott Dallas City Center 22
Slide 23: Well-Maintained Portfolio: Westin Oaks Houston
Well-Maintained Portfolio Select 2018 Guestroom Renovation Projects Westin Oaks Houston 23
Slide 24: Well-Maintained Portfolio: Other 2018 Renovation Projects
Well-Maintained Portfolio Other 2018 Renovation Projects Marriott San Francisco Airport – Great Room 24
Slide 25: Well-Maintained Portfolio: Select 2017 Renovation Projects
Well-Maintained Portfolio Select 2017 Renovation Projects Marriott San Francisco Airport – Meeting Space 25
Slide 26: Well-Maintained Portfolio: Other 2018 Renovation Projects
Well-Maintained Portfolio Other 2018 Renovation Projects Westin Galleria Houston – Meeting Space 26
Slide 27: 2018 Property Optimization Process
2018 Property Optimization Process Initiatives $2.8 Million Total Hotel • $ $1.5 Million $0.8 Million $0.1 Million $0.4 Million Rooms Food & Beverage Property Operations Other • • • • • • • • 27
Slide 28: 2019 Outlook
2019 Outlook
Slide 29: 2019 Earnings Outlook Bridge
2019 Earnings Outlook Bridge In addition to industry-wide factors, the Company’s current portfolio will experience various headwinds and tailwinds in 2019, which will impact year over year comparisons. Negative Impacts Positive Impacts • • • • • • • • • • • • • • 29
Slide 30: 2019 Outlook by Market
2019 Outlook by Market 30
Slide 31: 2019 Renovations
2019 Renovations 2019 Capital Expenditures are anticipated to be between $85 million and $105 million 31
Slide 32: 2019 Guidance
2019 Guidance 2019 Guidance (as of 2/26/2019) Low High Additional Details • • • • • • 32
Slide 33: What You Can Continue to Expect from Us
What You Can Continue to Expect from Us ✓ Transaction-oriented mindset with focus on quality ✓ Healthy balance sheet throughout the cycle ✓ Aggressive asset management initiatives ✓ Leveraging relationships with brands and managers
Slide 34: Appendix
APPENDIX 34
Slide 35: Definitions
Definitions XENIA Same-Property Portfolio: "Same-Property” includes all hotels owned as of December 31, 2018. "Same-Property" includes periods prior to the Company's ownership of Hyatt Regency Grand Cypress, Hyatt Regency Scottsdale Resort & Spa at Gainey Ranch, Royal Palms Resort & Spa, The Ritz-Ca
Slide 36: Reconciliation of Net Income to EBITDA, Adjusted EBITDA, and Same-Property Hotel EBITDA
Reconciliation of Net Income to EBITDA, Adjusted EBITDA, and Same-Property Hotel EBITDA 36
Slide 37: Reconciliation Footnotes
Reconciliation of Net Income to EBITDA, Adjusted EBITDA, and Same-Property Hotel EBITDA Footnotes 37
Slide 38: Non-GAAP Financial Measures
Non-GAAP Financial Measures 38
Slide 39: Slide 39
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