Portfolio Re-Investment and Growth Opportunities Presentation slide image

Portfolio Re-Investment and Growth Opportunities Presentation

COMPANY OVERVIEW RECENT HIGHLIGHTS PORTFOLIO UPDATE GROWTH OPPORTUNITIES CORPORATE RESPONSIBILITY RECONCILIATIONS & SUPPLEMENTAL INFO Acquisitions & Dispositions Metrics. The following tables reconcile net income to Hotel EBITDA for the 2018-2024 acquisitions and dispositions (in millions, except for room count and multiples): Net income multiple 1. 2. 3. Hotel No. of Rooms Price Hotel Net Income(3) Plus: Depreciation Plus: Interest Expense Equals: Hotel EBITDA EBITDA multiple 2018-2024 Acquisitions (1) 2021-2024 Acquisitions (1) 4,589 $ 2,712 $ 4,014 $ 2,404 $ 173.5 $ 106.6 $ 120.6 $ 73.8 $ 4.7 4.7 $ $ 298.8 23x 13.5x 185.1 23x 13x No. of Rooms 19,045 6,402 Hotel Net Price Income(3) $ 5,003 $ 163.4 $ 1,530 $ 45.7 Plus: Depreciation Plus: Interest Expense Plus: Income Tax Equals: Hotel EBITDA Net income multiple EBITDA multiple $ $ 169.5 69.1 $ 10.4 $ $ $ 2.3 $ 345.6 31x 17.3x $ 114.8 34x 17.5x Hotel 2018-2024 Dispositions (2) 2021-2024 Dispositions (2) 2018-2024 Acquisitions include 14 properties and two Ka'anapali golf courses acquired since January 1, 2018, through May 1, 2024. Baker's Cay Resort Key Largo and Alila Ventana Big Sur are based on 2021 forecast operations at acquisition, as the hotels experienced renovation disruption and closures in 2019. The Laura Hotel is based on estimated normalized results, which assumes results are in-line with the 2019 results of comparable Houston properties, as the property was re-opened with a new manager and brand in 2021. The Alida, Savannah is based on estimated normalized 2019 results, adjusting for construction disruption to the surrounding Plant Riverside District and for initial ramp-up of hotel operations. The Four Seasons Resort and Residences Jackson Hole is based on 2022 forecast operations at acquisition. The 1 Hotel Nashville and Embassy Suites by Hilton Nashville downtown acquisition is based on 2024 forecast operations at acquisition. The other seven properties and Ka'anapali golf courses use full year 2019 results. Due to the impact of COVID-19, actual results in 2020 and 2021 are not reflective of normal operations of the hotels. Any forecast incremental increases to net income compared to net income at underwriting would be equal to the incremental increases in Hotel EBITDA. Some operating results are based on actual results from the manager for periods prior to our ownership. Since the operations include periods prior to our ownership, the results may not necessarily correspond to our actual results. 2018-2024 Dispositions include the sale of 30 hotels since January 1, 2018, through May 1, 2024, as well as the sale of the European Joint Venture and the New York Marriott Marquis retail, theater and signage commercial condominium units. European Joint Venture balances included in this total represent our approximate 33% previous ownership interest, except for the number of rooms of 4,335, which represents the total room count of the European Joint Venture properties. The 2018, 2019 and 2023 dispositions use trailing twelve-month results from the disposition date, while the 2020, 2021 and 2022 dispositions use 2019 full year results as the TTM is not representative of normalized operations. For 2018-2024 dispositions, combined avoided capital expenditures over the 5 years following the disposition dates totaled $976 million. For 2021-2024 dispositions, combined avoided capital expenditures over the 5 years following the disposition dates totaled $473 million. Certain items from our statement of operations are not allocated to individual properties, including interest on our senior notes, corporate and other expenses, and the benefit (provision) for income taxes. The following table reconciles hotel net income to Hotel-level EBITDA from $3 billion of potential net acquisitions at a 14x EBITDA multiple (in millions, except multiples): Net Acquisitions Price Hotel Net Income Plus: Depreciation Equals: Hotel EBITDA $ 3,000 $ 115 85 $ 200 Net income multiple EBITDA multiple 26x 14x The following table reconciles net income to Hotel EBITDA for the AC Hotel Scottsdale North for the year ended December 31, 2023 (in millions, except for room count and multiples): Hotel AC Scottsdale No. of Rooms Price 165 $ 36.1 $ Hotel Net Income Plus: Depreciation Equals: Hotel EBITDA Net income multiple EBITDA multiple 5.2 $ 1.6 $ 6.8 7x 5.3x 2024 Host Hotels & Resorts, Inc. A-21
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