Braemar Hotels & Resorts Inc. · NYSE:BHR
Braemar Hotels & Resorts — Investor Presentation (May 2021)
33 slides from Braemar Hotels & Resorts's investor presentation, May 11, 2021
Slide 1: Braemar Hotels & Resorts May 2021
BRAEMAR May 2021 HOTELS & RESORTS
Slide 2: Forward Looking Statements and Non-GAAP Measures
Company Presentation | May 2021 2 Forward Looking Statements and Non-GAAP Measures 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 diffe
Slide 3: Management Team
Company Presentation | May 2021 3 Management Team 23 years of hospitality experience 4 years with the Company 15 years with Morgan Stanley Cornell School of Hotel Administration BS University of Pennsylvania MBA RICHARD J. STOCKTON Chief Executive Officer & President 20 years of hospital
Slide 4: Post COVID-19 Strategic Initiatives
Company Presentation | May 2021 4 Post COVID-19 Strategic Initiatives Conserve Liquidity Manage the Balance Sheet Return to Profitability Grow the Portfolio Ritz-Carlton Sarasota
Slide 5: 2021 Q1 Hotel Operating Results
Company Presentation | May 2021 5 2021 Q1 Hotel Operating Results Comparable Hotel Operating Results(1)(4)(5) 2021 Q1 2020 Q1 % Variance ADR $ 433.43 $ 345.88 25.3% Occupancy 36.9% 59.8% (38.3)% RevPAR $ 159.97 $ 206.90 (22.7)% Total Hotel Revenue(2) $ 83,848 $ 117,382 (28.6)% Hotel EBITDA(2) $ 20,4
Slide 6: 2021 Q1 Highlights and Results
Company Presentation | May 2021 6 2021 Q1 Highlights and Results AFFO PER SHAREADJUSTED EBITDARE Quarter Highlights Full Year Highlights • Net loss attributable to common stockholders for the quarter was $11.2 million or $0.28 per diluted share. • Comparable RevPAR for all hotels decreased 22.7% to
Slide 7: High Quality Assets Situated in High Barrier to Entry Leisure and Urban Markets
Company Presentation | May 2021 7 Pier House Resort Key West, FL The Ritz-Carlton Lake Tahoe Truckee, CA Hotel Yountville Yountville, CA Marriott Seattle Waterfront Seattle, WA Sofitel Chicago Magnificent Mile Chicago, IL The Notary Hotel Philadelphia, PA Bardessono Hotel & Spa Yountville, CA The Cl
Slide 8: Highest EBITDA Per Room & RevPAR
Company Presentation | May 2021 8 Highest EBITDA Per Room & RevPAR $38 $37 $30 $30 $28 $27 $27 $23 $20 $19 $17 $15 $10 $15 $20 $25 $30 $35 $40 BHR PEB SHO XHR DRH HST PK HT RLJ INN CLDT APLE 2019 EBITDA Per Room $233 $211 $196 $189 $188 $184 $183 $171 $145 $134 $128 $106 $70 $100 $130 $160 $190 $220
Slide 9: TripAdvisor Ratings by Lodging REIT
Company Presentation | May 2021 9 (1) Source: TripAdvisor, Raymond James Research (2) Room count-weighted average TripAdvisor Ratings by Lodging REIT(1) AVG ROOMS TOTAL TRIPADVISOR REVIEWS PER AVG TRIPADVISOR COMPANY (SYMBOL) HOTELS ROOMS PER HOTEL REVIEWS ROOM HOTEL RATING (2) Braemar (BHR) 13 3,72
Slide 10: Portfolio Q1 2021 Performance
Company Presentation | May 2021 10 Portfolio Q1 2021 Performance Hilton Torrey Pines Q1 2021 Core Assets Location Market Type Number of Rooms Occ% ADR RevPAR Hotel EBITDA Ritz-Carlton St. Thomas St. Thomas, USVI Fly-to Leisure 180 78.6% $1,040.97 $818.31 $7,505 Ritz-Carlton Sarasota Sarasota, FL Dri
Slide 11: EBITDA By Brand, Class, and Market
Company Presentation | May 2021 11 EBITDA By Brand, Class, and Market 2021 Q1 TTM Hotel EBITDA by Brand(1) 2021 Q1 TTM Hotel EBITDA by Class(1) (1) Comparable TTM as of 3/31/2021, see appendix for a reconciliation of TTM hotel net income (loss) to hotel TTM EBITDA 2021 Q1 TTM Room Revenue(1) 2021 Q1
Slide 12: Luxury Asset Class Recovering Rapidly
Company Presentation | May 2021 12 Luxury Asset Class Recovering Rapidly
Slide 13: Resort Markets Outperforming
Company Presentation | May 2021 13 Resort Markets Outperforming 7 of BHR’s 13 properties are drive-to Resort destinations Source: B. Riley Securities and STR, a Costar Company
Slide 14: Portfolio Resort Exposure Lifts Performance: Occupancy and ADR
Company Presentation | May 2021 14 Portfolio Resort Exposure Lifts Performance Occupancy and ADR Ramping Up – 03/1/20 to 04/24/21 Resort: Bardessono, Hotel Yountville, Ritz-Carlton St. Thomas, Pier House, Hilton Torrey Pines, Park Hyatt Beaver Creek, Ritz-Carlton Lake Tahoe and Ritz-Carlton Sarasota
Slide 15: Rolling 7-Day RevPAR
Company Presentation | May 2021 15 Rolling 7-Day RevPAR – 03/1/20 to 04/24/21 Resort: Bardessono, Hotel Yountville, Ritz-Carlton St. Thomas, Pier House, Hilton Torrey Pines, Park Hyatt Beaver Creek, Ritz-Carlton Lake Tahoe and Ritz-Carlton Sarasota Urban: The Clancy, The Notary Hotel, Marriott Seatt
Slide 16: Strong Asset Class and Strategic Market Exposure Position Portfolio for Rapid Recovery
Company Presentation | May 2021 16 Strong Asset Class and Strategic Market Exposure Position Portfolio for Potential Rapid Recovery ($20,000) ($10,000) $0 $10,000 $20,000 $30,000 $40,000 2019 Q4 2020 Q1 2020 Q2 2020 Q3 2020 Q4 2021 Q1 Quarterly EBITDA ( In Thousands) $0 $50 $100 $150 $200 $250 2019
Slide 17: Reduced New Supply Estimates
Company Presentation | May 2021 17 Reduced New Supply Estimates +2.3% NEXT 12 MONTHS NEXT 13-24 MONTHS DECLINING ESTIMATED GROSS SUPPLY GROWTH(1)(2) (1) Source: Smith Travel Research (2) Weighted by revenue exposure by market (3) Weighted by revenue exposure by tract PRE-COVID As of Feb-2020 +2.0% C
Slide 18: Current Liquidity
Company Presentation | May 2021 18 Current Liquidity(1) $85.7M CASH & CASH EQUIVALENTS $39.3MRESTRICTED CASH 73% CAD PAYOUT RATIO(3) 44% AFFO PAYOUT RATIO(1)(3) TOTAL CASH $143.6M CASH POSITION (1) As of 3/31/21 (2) Q1 2021 $16.6MADJ. EBITDARE ($6.0M)INTEREST EXPENSE POSITIVE OPERATING CASH FLOW(2)
Slide 19: Well Designed to Handle Pandemic Impact
Company Presentation | May 2021 19 Floating-rate debt provides a natural hedge to hotel cash flows and maximizes flexibility in all economic environments Long-standing lender relationships Proactive strategy to opportunistically refinance loans and extend maturities Overview Leverage Strategy Well D
Slide 20: Laddered Debt Maturities
Company Presentation | May 2021 20 Laddered debt maturities(1)(2) Debt Maturities 2022 NEXT HARD DEBT MATURITY OVERVIEW (1) As of 3/31/2021 (2) Assumes extension options are exercised. There can be no guaranty that extension options are exercisable on or before maturity. In the event one or more ext
Slide 21: Strategic Initiatives Position Braemar for Ramp Up in 2021
Company Presentation | May 2021 21 Villa Construction Completed 2019 Autograph Conversion Completed Q3 2020 Hurricane Recovery Completed 2019 Lobby Renovation Completed 2019 Autograph Conversion Completed 2019 Beach Improvement Completed 2019 Portfolio Well Positioned for Ramp Up Ritz-Carlton Saraso
Slide 22: Highly Aligned Management Team
Company Presentation | May 2021 22 Highly Aligned Management Team Management has significant personal wealth invested in the Company11.0% Insider ownership 2.9x higher than public lodging REIT industry average2.9x Total dollar value of insider ownership (as of 05/03/2020)$36.4M REIT Avg includes: AH
Slide 23: Key Takeaways
Company Presentation | May 2021 23 Key Takeaways Conserve Liquidity Manage the Balance Sheet Return to Profitability Grow the Portfolio The Ritz-Carlton Sarasota Sarasota, FL
Slide 24: Appendix
Appendix
Slide 25: Reconciliation of Net Income (Loss) to Comparable Hotel EBITDA
Company Presentation | May 2021 25 Reconciliation of Net Income (Loss) to Comparable Hotel EBITDA In thousands
Slide 26: Reconciliation of Net Income (Loss) to EBITDAre and Adjusted EBITDAre
Company Presentation | May 2021 26 Reconciliation of Net Income (Loss) to EBITDAre and Adjusted EBITDAre In thousands
Slide 27: Reconciliation of Net Income (Loss) to Adjusted FFO
Company Presentation | May 2021 27 Reconciliation of Net Income (Loss) to Adjusted FFO In thousands
Slide 28: Indebtedness
Company Presentation | May 2021 28 Indebtedness In thousands (1) This mortgage loan has five one-year extension options subject to satisfaction of certain conditions, of which the first was exercised in June 2020. This mortgage loan is secured by the Chicago Sofitel Magnificent Mile, The Clancy, Sea
Slide 29: Indebtedness
Company Presentation | May 2021 29 Indebtedness In thousands (1) This mortgage loan is secured by the Chicago Sofitel Magnificent Mile, The Clancy, Seattle Marriott Waterfront and The Notary Hotel.
Slide 30: Reconciliation of Net Income (Loss) to Adjusted FFO Q4
Company Presentation | May 2021 30 Reconciliation of Net Income (Loss) to Adjusted FFO Q4
Slide 31: Reconciliation of Net Income (Loss) to Adjusted FFO Q3
Company Presentation | May 2021 31 Reconciliation of Net Income (Loss) to Adjusted FFO Q3
Slide 32: Reconciliation of Net Income (Loss) to Adjusted FFO Q2
Company Presentation | May 2021 32 Reconciliation of Net Income (Loss) to Adjusted FFO Q2
Slide 33: Reconciliation of Net Income (Loss) to Adjusted FFO Q1
Company Presentation | May 2021 33 Reconciliation of Net Income (Loss) to Adjusted FFO Q1
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