[April 26, 2018] |
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Pebblebrook Hotel Trust Reports First Quarter 2018 Results and Increases 2018 Outlook
Pebblebrook Hotel Trust (NYSE: PEB) (the "Company") today reported
results for the first quarter ended March 31, 2018. The Company's
results include the following:
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First Quarter
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2018
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2017
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($ in millions except per share and RevPAR data)
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Net income
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$24.5
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$14.1
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Same-Property RevPAR(1)
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$195.17
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$195.53
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Same-Property RevPAR growth rate
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(0.2%)
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Same-Property Total RevPAR(1)
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$288.50
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$283.64
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Same-Property Total RevPAR growth rate
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1.7%
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Same-Property EBITDA(1)
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$55.6
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$54.5
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Same-Property EBITDA growth rate
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2.0%
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Same-Property EBITDA Margin(1)
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30.7%
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30.7%
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Adjusted EBITDA(1)
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$59.3
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$49.0
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Adjusted EBITDA growth rate
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20.9%
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Adjusted FFO(1)
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$46.2
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$38.7
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Adjusted FFO per diluted share(1)
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$0.67
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$0.54
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Adjusted FFO per diluted share growth rate
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24.1%
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(1) See tables later in this press release
for a description of same-property information and reconciliations
from net income (loss) to non-GAAP financial measures, including
Earnings Before Interest, Taxes, Depreciation and Amortization
("EBITDA"), Adjusted EBITDA, Funds from Operations ("FFO"), FFO
per share, Adjusted FFO and Adjusted FFO per share.
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For the details as to which hotels are included in
Same-Property Revenue Per Available Room ("RevPAR"), Same-Property
Total Revenue Per Available Room ("Total RevPAR"), Average Daily
Rate ("ADR"), Occupancy, Revenues, Expenses, EBITDA and EBITDA
Margins appearing in the table above and elsewhere in this press
release, refer to the Same-Property Inclusion Reference Table
later in this press release.
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"We're extremely pleased with our portfolio's first quarter operating
performance, which significantly exceeded our initial outlook, as our
results were much stronger than expected," said Jon E. Bortz, Chairman,
President and Chief Executive Officer of Pebblebrook Hotel Trust. "We
are encouraged by the improved business travel demand trends we're
seeing, including increased short-term group and transient bookings,
better group attendance and increased overall group spend. Leisure
demand also continued to be solid. The overall improvements in business
travel were broad-based across our portfolio, which enabled us to
handily beat our outlook for Same-Property RevPAR growth, Adjusted
EBITDA and Adjusted FFO per diluted share. These favorable demand trends
have continued into the second quarter, which is encouraging, and makes
us more optimistic about overall industry performance for 2018, as well
as for our portfolio."
First Quarter Highlights
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Net income: The Company's net income was $24.5 million in the
first quarter of 2018, increasing $10.4 million as compared to the
same period of 2017.
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Same-Property RevPAR and Same-Property Total RevPAR:
Same-Property RevPAR for the quarter fell slightly by 0.2 percent
versus 2017 to $195.17. Excluding San Francisco, Same-Property RevPAR
rose 0.3 percent versus the prior year. Same-Property ADR increased
0.7 percent from the prior year to $244.44. Same-Property Occupancy
decreased 0.8 percent to 79.8 percent. Same-Property Total RevPAR grew
1.7 percent over the same period of 2017 to $288.50.
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Same-Property EBITDA: The Company's hotels generated $55.6
million of Same-Property EBITDA for the quarter ended March 31, 2018,
increasing 2.0 percent over the same period of 2017. Same-Property
Revenues grew 1.9 percent, while Same-Property Expenses rose by 1.9
percent. Same-Property EBITDA Margin increased 2 basis points to 30.7
percent for the first quarter of 2018, as compared to the same period
last year.
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Adjusted EBITDA: The Company's Adjusted EBITDA rose to $59.3
million from $49.0 million in the prior year period, an increase of
20.9 percent. Adjusted EBITDA includes $3.4 million of business
interruption income related to losses incurred in 2017 at LaPlaya
Beach Resort & Club ("LaPlaya") and $2.4 million of dividend income
received from the Company's investment in liquid marketable securities.
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Adjusted FFO: The Company's Adjusted FFO increased 19.3 percent
to $46.2 million from $38.7 million in the prior year period.
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Dividends: On March 15, 2018, the Company declared a regular
quarterly cash dividend of $0.38 per share on its common shares, a
regular quarterly cash dividend of $0.40625 per share on its 6.50%
Series C Cumulative Redeemable Preferred Shares of Beneficial Interest
and a regular quarterly cash dividend of $0.39844 per share on its
6.375% Series D Cumulative Redeemable Preferred Shares of Beneficial
Interest.
"During the quarter, our RevPAR growth leaders consisted of our recently
redeveloped hotels, including Hotel Zoe Fisherman's Wharf, Revere Hotel
Boston Common and Hotel Palomar Los Angeles Beverly Hills, as these
hotels are continuing to gain market share and ramp up following their
prior year renovations," noted Mr. Bortz. "We also had strong top-line
growth at our South Florida hotels, given the cold winter experienced by
the Northeast and Midwest. Same-Property RevPAR for our portfolio
declined only 0.2 percent, a significant improvement from our initial
outlook of (1.5) percent to (3.5) percent. In addition, our hotels were
successful in driving non-room revenue up 6.2 percent in the quarter as
we continue to make progress reconcepting our food and beverage outlets
and other public areas in order to improve revenue growth and
profitability. As a result, our Same-Property Total Revenues increased
1.9 percent, and by limiting expense growth to 1.9 percent, we were able
to improve Same-Property EBITDA by 2.0 percent, which is encouraging
given the cost pressures we are experiencing across all of our markets."
Update on Impact from Hurricane Irma on LaPlaya
Beach Resort & Club
The Company completed the major repair and remediation work at LaPlaya
in the first quarter of 2018, and all guestrooms have been reopened and
in operation since the end of January. The Company expects to complete
additional scheduled repair work later in 2018, including in the second
and third quarters, which will negatively impact the resort's
performance and is included in the Company's outlook. The Company
anticipates this disruption will be largely covered under the Company's
current business interruption and property insurance programs, although
no business interruption proceeds for 2018 are included in the Company's
outlook. The Company reached an agreement with its insurance carriers on
a net $3.4 million business interruption claim, after the deductible,
for losses sustained by LaPlaya in 2017. This claim was recorded in the
first quarter and was previously included in the Company's 2018 outlook
provided in late February.
Capital Reinvestments
In the first quarter, the Company completed $16.2 million of capital
investments throughout its portfolio. In April, the Company completed a
$5.0 million conversion of Revere Hotel Boston Common's nightlife club
into a newly completed restaurant and bar called Rebel's Guild. During
the remainder of 2018, the Company will continue its remaining
renovation projects at a number of properties that will improve
performance in future years, including:
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Mondrian Los Angeles (estimated at $17.0 million), which will undergo
a renovation of the guestrooms and lobby as well as a renovation of
our legendary Skybar beginning in the fourth quarter of this year,
with an expected completion date in the first quarter of 2019;
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Hotel Zelos San Francisco (estimated at $6.0 million), which is
planning a guestroom renovation to complement the transformative
lobby, guestroom corridor and restaurant renovation completed in 2014;
and
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Hotel Zephyr Fisherman's Wharf, Zephyr Walk (estimated at $5.5
million), which is undergoing a redevelopment and re-leasing of most
of the approximately 46,000 square feet of street level retail space
that began in the fourth quarter of 2017, with an expected completion
date in the second quarter of 2018.
Capital Markets and Balance Sheet
As of March 31, 2018, the Company had $1.0 billion in consolidated debt
at an effective weighted-average interest rate of 3.3 percent. The
Company had $675.0 million outstanding in the form of unsecured term
loans and $203.0 million outstanding on its $450.0 million senior
unsecured revolving credit facility. As of March 31, 2018, the Company
had $23.2 million of consolidated cash, cash equivalents and restricted
cash.
During the quarter, the Company strategically purchased approximately
4.8 percent of the outstanding common shares of LaSalle Hotel Properties
(NYSE: LHO) ("LaSalle"). As of March 31, 2018, excluding the dividend
income and associated debt related to the purchase of the LaSalle
shares, the Company's fixed charge coverage ratio was 3.9 times and
total net debt to trailing 12-month corporate EBITDA was 3.6 times.
Proposed Combination with LaSalle Hotel
Properties
Following LaSalle's rejection, on March 28, 2018 the Company disclosed
an initial proposal offering a common share-for-common share merger with
LaSalle, representing an implied merger price of $29.95 per LaSalle
common share. On April 16, 2018, the Company disclosed an increased
offer to LaSalle, which also added an optional cash component. On April
24, 2018, the Company again disclosed an increased and final offer,
based on a fixed exchange ratio of 0.9085, or an implied merger price of
$32.49, which included an optional cash component (up to 20.0 percent of
the total offer price), at the option of the shareholders. This third
and final proposal represented a premium of 33.2 percent above LaSalle's
unaffected closing price on March 27, 2018, a 16.5 percent premium above
analyst consensus NAV on March 27, 2018 and a 28.3 percent premium above
analyst consensus price target as of March 27, 2018.
The Company believes that a merger with LaSalle presents a compelling
strategic opportunity for the shareholders of both the Company and
LaSalle, and the Company's Board of Trustees unanimously supports a
combination with LaSalle.
2018 Outlook
The Company has increased its outlook for 2018, incorporating the
Company's first quarter performance as well as the improved business
travel trends and overall incrementally positive economic activity. The
Company's 2018 outlook, which assumes no additional acquisitions or
dispositions, reflects the Company's various planned capital investment
projects and includes other significant assumptions, is as follows:
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2018 Outlook as of April 26, 2018
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Variance to Prior Outlook as of
February 22, 2018
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Low
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High
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Low
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High
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($ and shares/units in millions, except per share and RevPAR data)
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Net income
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$84.4
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$92.9
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$4.7
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$3.2
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Adjusted EBITDA
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$238.0
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$246.5
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$13.5
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$12.0
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Adjusted EBITDA growth rate
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2.1%
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5.8%
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5.8%
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5.2%
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Adjusted FFO
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$178.0
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$186.5
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$6.4
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$4.9
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Adjusted FFO per diluted share
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$2.56
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$2.69
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$0.10
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$0.08
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Adjusted FFO per diluted share growth rate
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(0.4%)
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4.7%
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3.9%
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3.1%
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This 2018 outlook is based, in part, on the following estimates
and assumptions:
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U.S. GDP growth rate
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2.50%
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2.75%
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-
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-
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U.S. Hotel Industry RevPAR growth rate
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1.0%
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3.0%
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-
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-
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Urban Markets RevPAR growth rate
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(1.0%)
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1.0%
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-
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-
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Same-Property RevPAR
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$208
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$211
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$1
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Same-Property RevPAR growth rate
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0.0%
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1.5%
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0.5%
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-
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Same-Property EBITDA
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$250.1
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$258.6
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$5.6
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$4.1
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Same-Property EBITDA growth rate
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(1.7%)
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1.6%
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2.2%
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1.6%
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Same-Property EBITDA Margin
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33.1%
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33.6%
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0.5%
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0.5%
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Same-Property EBITDA Margin growth rate
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(75 bps)
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(25 bps)
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50 bps
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50 bps
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Corporate cash general and administrative expenses
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$19.0
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$19.0
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($2.0)
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($2.0)
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Corporate non-cash general and administrative expenses
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$6.9
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$6.9
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$0.2
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$0.2
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Total capital investments related to renovations, capital
maintenance and return on investment projects
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$55.0
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$65.0
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-
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-
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Weighted-average fully diluted shares and units
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69.4
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69.4
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(0.3)
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(0.3)
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The Company's outlook for the second quarter of 2018 is as follows:
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Second Quarter 2018 Outlook
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Low
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High
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($ and shares/units in millions, except per share and RevPAR data)
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Net income
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$24.8
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$26.8
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Same-Property RevPAR
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$220
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$225
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Same-Property RevPAR growth rate
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1.0%
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3.0%
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Same-Property EBITDA
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$71.4
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$73.4
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Same-Property EBITDA growth rate
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(0.2%)
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2.6%
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Same-Property EBITDA Margin
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35.3%
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35.8%
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Same-Property EBITDA Margin growth rate
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(50 bps)
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0 bps
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Adjusted EBITDA
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$64.8
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$66.8
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Adjusted EBITDA growth rate
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(3.5%)
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(0.6%)
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Adjusted FFO
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$48.2
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$50.2
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Adjusted FFO per diluted share
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$0.69
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$0.72
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Adjusted FFO per diluted share growth rate
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(8.0%)
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(4.0%)
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Weighted-average fully diluted shares and units
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69.4
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69.4
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The Company's estimates and assumptions, including the Company's outlook
for 2018 and the second quarter 2018 for Same-Property RevPAR,
Same-Property RevPAR growth rate, Same-Property EBITDA, Same-Property
EBITDA growth rate, Same-Property EBITDA Margin and Same-Property EBITDA
Margin growth rate include the hotels owned as of March 31, 2018, as if
they had been owned by the Company for all of 2017 and 2018, except for
LaPlaya, which is not included in the third or fourth quarters. The
Company's 2018 outlook assumes no additional acquisitions or
dispositions beyond the hotels the Company owned as of March 31, 2018.
If any of the foregoing estimates and assumptions prove to be
inaccurate, actual results, including the outlook, may vary, and could
vary significantly, from the amounts shown above.
First Quarter 2018 Earnings Call
The Company will conduct its quarterly analyst and investor conference
call on Friday, April 27, 2018 at 10:00 AM ET. To participate in the
conference call, please dial (877) 705-6003 approximately ten minutes
before the call begins. Additionally, a live webcast of the conference
call will be available through the Company's website. To access the
webcast, log on to www.pebblebrookhotels.com
ten minutes prior to the conference call. A replay of the conference
call webcast will be archived and available online through the Investor
Relations section of www.pebblebrookhotels.com.
About Pebblebrook Hotel Trust
Pebblebrook Hotel Trust is a publicly traded real estate investment
trust ("REIT") organized to opportunistically acquire and invest
primarily in upper upscale, full-service hotels located in urban markets
in major gateway cities. The Company owns 28 hotels, with a total of
6,973 guest rooms. The Company owns hotels located in 9 states and the
District of Columbia, including: Los Angeles, California (Beverly Hills,
Santa Monica and West Hollywood); San Diego, California; San Francisco,
California; Washington, DC; Coral Gables, Florida; Naples, Florida;
Buckhead, Georgia; Boston, Massachusetts; Minneapolis, Minnesota;
Portland, Oregon; Philadelphia, Pennsylvania; Nashville, Tennessee;
Columbia River Gorge, Washington; and Seattle, Washington. For more
information, please visit us at www.pebblebrookhotels.com
and follow us on Twitter at @PebblebrookPEB.
For further information about the Company's business and financial
results, please refer to the "Management's Discussion and Analysis of
Financial Condition and Results of Operations" and "Risk Factors"
sections of the Company's SEC filings, including, but not limited to,
its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q,
copies of which may be obtained at the Investor Relations section of the
Company's website at www.pebblebrookhotels.com.
All information in this press release is as of April 26, 2018. The
Company undertakes no duty to update the statements in this press
release to conform the statements to actual results or changes in the
Company's expectations.
ADDITIONAL INFORMATION
This communication does not constitute an offer to buy or solicitation
of an offer to sell any securities. This communication relates to a
proposal which Pebblebrook has made for a business combination
transaction with LaSalle. In furtherance of this proposal and subject to
future developments, Pebblebrook (and, if a negotiated transaction is
agreed, LaSalle) may file one or more registration statements, proxy
statements, tender or exchange offer statements, prospectuses or other
documents with the United States Securities and Exchange Commission (the
"SEC"). This communication is not a substitute for any proxy statement,
registration statement, tender or exchange offer statement, prospectus
or other document Pebblebrook or LaSalle may file with the SEC in
connection with the proposed transaction. INVESTORS AND SECURITY HOLDERS
OF PEBBLEBROOK AND LASALLE ARE URGED TO READ ANY SUCH PROXY STATEMENT,
REGISTRATION STATEMENT, TENDER OR EXCHANGE OFFER STATEMENT, PROSPECTUS
AND OTHER DOCUMENTS FILED WITH THE SEC CAREFULLY AND IN THEIR ENTIRETY
IF AND WHEN THEY BECOME AVAILABLE AS THEY WILL CONTAIN IMPORTANT
INFORMATION ABOUT THE PROPOSED TRANSACTION. Any definitive proxy
statement or prospectus (if and when available) will be delivered to
shareholders of LaSalle or Pebblebrook, as applicable. Investors and
security holders will be able to obtain free copies of these documents
(if and when available) and other documents filed with the SEC by
Pebblebrook through the website maintained by the SEC at http://www.sec.gov.
Pebblebrook or LaSalle and their respective trustees and executive
officers and other members of management and employees may be deemed to
be participants in the solicitation of proxies in respect of the
proposed transaction. You can find information about Pebblebrook's
executive officers and trustees in Pebblebrook's definitive proxy
statement filed with the SEC on April 28, 2017. You can find information
about LaSalle's executive officers and trustees in LaSalle's definitive
proxy statement filed with the SEC on March 22, 2018. Additional
information regarding the interests of such potential participants will
be included in one or more registration statements, proxy statements,
tender or exchange offer statements or other documents filed with the
SEC if and when they become available. You may obtain free copies of
these documents using the sources indicated above.
This document shall not constitute an offer to sell or the solicitation
of an offer to buy any securities, nor shall there be any sale of
securities in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction. No offering of securities
shall be made except by means of a prospectus meeting the requirements
of Section 10 of the Securities Act of 1933, as amended.
Forward-Looking Statements
This communication may include "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements include, but are not limited to, statements
regarding Pebblebrook's offer to acquire LaSalle, its financing of the
proposed transaction, its expected future performance (including
expected results of operations and financial guidance), and the combined
company's future financial condition, operating results, strategy and
plans. Forward-looking statements may be identified by the use of the
words "anticipates," "expects," "intends," "plans," "should," "could,"
"would," "may," "will," "believes," "estimates," "potential," "target,"
"opportunity," "tentative," "positioning," "designed," "create,"
"predict," "project," "seek," "ongoing," "upside," "increases" or
"continue" and variations or similar expressions. Other examples of
forward-looking statements include the following: projections and
forecasts of U.S. GDP growth, U.S. hotel industry RevPAR growth, the
Company's net income, FFO, EBITDA, Adjusted FFO, Adjusted EBITDA,
RevPAR, EBITDA Margin and EBITDA Margin growth, and the Company's
expenses, share count or other financial items; descriptions of the
Company's plans or objectives for future operations, acquisitions or
services; forecasts of the Company's future economic performance and its
share of future markets; forecasts of hotel industry performance; and
descriptions of assumptions underlying or relating to any of the
foregoing expectations including assumptions regarding the timing of
their occurrence. These forward-looking statements are subject to
various risks and uncertainties, many of which are beyond the Company's
control, which could cause actual results to differ materially from such
statements. These assumptions, risks and uncertainties include,
but are not limited to, assumptions, risks and uncertainties discussed
in Pebblebrook's most recent annual or quarterly report filed with the
SEC and assumptions, risks and uncertainties relating to the proposed
transaction, as detailed from time to time in Pebblebrook's and
LaSalle's filings with the SEC, which factors are incorporated herein by
reference. Important factors that could cause actual results to differ
materially from the forward-looking statements made in this
communication are set forth in other reports or documents that
Pebblebrook may file from time to time with the SEC, and include, but
are not limited to: (i) the ultimate outcome of any possible transaction
between Pebblebrook and LaSalle, including the possibilities that
LaSalle will reject a transaction with Pebblebrook, (ii) the ultimate
outcome and results of integrating the operations of Pebblebrook and
LaSalle if a transaction is consummated, (iii) the ability to obtain
regulatory approvals and meet other closing conditions to any possible
transaction, including the necessary shareholder approvals, and (iv) the
risks and uncertainties detailed by LaSalle with respect to its business
as described in its reports and documents filed with the SEC. All
forward-looking statements attributable to Pebblebrook or any person
acting on Pebblebrook's behalf are expressly qualified in their entirety
by this cautionary statement. Readers are cautioned not to place undue
reliance on any of these forward-looking statements. These
forward-looking statements speak only as of the date hereof. Pebblebrook
undertakes no obligation to update any of these forward-looking
statements to reflect events or circumstances after the date of this
communication or to reflect actual outcomes.
For additional information or to receive press releases via email,
please visit our website at www.pebblebrookhotels.com
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Pebblebrook Hotel Trust
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Consolidated Balance Sheets
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($ in thousands, except for per share data)
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March 31, 2018
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December 31, 2017
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(Unaudited)
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ASSETS
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Assets:
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Investment in hotel properties, net
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$
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2,446,670
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$
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2,456,450
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Investment in marketable securities
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157,759
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-
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Ground lease asset, net
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28,889
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29,037
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Cash and cash equivalents
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15,969
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25,410
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Restricted cash
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7,254
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7,123
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Hotel receivables (net of allowance for doubtful accounts of $105
and $245, respectively)
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33,798
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29,206
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Prepaid expenses and other assets
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51,587
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43,642
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Total assets
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$
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2,741,926
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$
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2,590,868
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|
LIABILITIES AND EQUITY
|
|
|
|
|
|
Liabilities:
|
|
|
|
|
Senior unsecured revolving credit facilities
|
|
$
|
203,000
|
|
|
$
|
45,000
|
|
Term loans, net of unamortized deferred financing costs
|
|
|
670,665
|
|
|
|
670,406
|
|
Senior unsecured notes, net of unamortized deferred financing costs
|
|
|
99,398
|
|
|
|
99,374
|
|
Mortgage debt, net of unamortized deferred financing costs
|
|
|
69,875
|
|
|
|
70,457
|
|
Accounts payable and accrued expenses
|
|
|
135,747
|
|
|
|
141,290
|
|
Deferred revenues
|
|
|
28,224
|
|
|
|
26,919
|
|
Accrued interest
|
|
|
3,343
|
|
|
|
2,073
|
|
Distribution payable
|
|
|
31,344
|
|
|
|
31,823
|
|
Total liabilities
|
|
|
1,241,596
|
|
|
|
1,087,342
|
|
Commitments and contingencies
|
|
|
|
|
|
|
|
|
|
Equity:
|
|
|
|
|
Preferred shares of beneficial interest, $0.01 par value
(liquidation preference $250,000 at March 31, 2018 and at December
31, 2017), 100,000,000 shares authorized; 10,000,000 shares issued
and outstanding at March 31, 2018 and December 31, 2017
|
|
|
100
|
|
|
|
100
|
|
Common shares of beneficial interest, $0.01 par value, 500,000,000
shares authorized; 68,912,185 issued and outstanding at March 31,
2018 and 68,812,575 issued and outstanding at December 31, 2017
|
|
|
689
|
|
|
|
688
|
|
Additional paid-in capital
|
|
|
1,683,046
|
|
|
|
1,685,437
|
|
Accumulated other comprehensive income (loss)
|
|
|
8,936
|
|
|
|
3,689
|
|
Distributions in excess of retained earnings
|
|
|
(197,359
|
)
|
|
|
(191,013
|
)
|
Total shareholders' equity
|
|
|
1,495,412
|
|
|
|
1,498,901
|
|
Non-controlling interests
|
|
|
4,918
|
|
|
|
4,625
|
|
Total equity
|
|
|
1,500,330
|
|
|
|
1,503,526
|
|
Total liabilities and equity
|
|
$
|
2,741,926
|
|
|
$
|
2,590,868
|
|
|
|
|
|
|
|
Pebblebrook Hotel Trust
|
Consolidated Statements of Operations
|
($ in thousands, except for per share data)
|
(Unaudited)
|
|
|
|
Three months ended March 31,
|
|
|
2018
|
|
2017
|
|
|
|
|
|
Revenues:
|
|
|
|
|
Room
|
|
$
|
122,471
|
|
|
$
|
125,570
|
|
Food and beverage
|
|
|
44,568
|
|
|
|
43,632
|
|
Other operating
|
|
|
14,016
|
|
|
|
12,976
|
|
Total revenues
|
|
$
|
181,055
|
|
|
$
|
182,178
|
|
|
|
|
|
|
Expenses:
|
|
|
|
|
Hotel operating expenses:
|
|
|
|
|
Room
|
|
$
|
31,708
|
|
|
$
|
32,983
|
|
Food and beverage
|
|
|
30,596
|
|
|
|
29,288
|
|
Other direct and indirect
|
|
|
51,839
|
|
|
|
52,168
|
|
Total hotel operating expenses
|
|
|
114,143
|
|
|
|
114,439
|
|
Depreciation and amortization
|
|
|
24,902
|
|
|
|
26,296
|
|
Real estate taxes, personal property taxes, property insurance, and
ground rent
|
|
|
12,115
|
|
|
|
13,712
|
|
General and administrative
|
|
|
2,610
|
|
|
|
6,151
|
|
Impairment and other losses
|
|
|
795
|
|
|
|
1,049
|
|
Gain on insurance settlement
|
|
|
(4,898
|
)
|
|
|
-
|
|
Total operating expenses
|
|
|
149,667
|
|
|
|
161,647
|
|
Operating income (loss)
|
|
|
31,388
|
|
|
|
20,531
|
|
Interest income
|
|
|
63
|
|
|
|
-
|
|
Interest expense
|
|
|
(9,811
|
)
|
|
|
(9,341
|
)
|
Other
|
|
|
2,447
|
|
|
|
64
|
|
Income (loss) before income taxes
|
|
|
24,087
|
|
|
|
11,254
|
|
Income tax (expense) benefit
|
|
|
429
|
|
|
|
2,835
|
|
Net income (loss)
|
|
|
24,516
|
|
|
|
14,089
|
|
Net income (loss) attributable to non-controlling interests
|
|
|
107
|
|
|
|
55
|
|
Net income (loss) attributable to the Company
|
|
|
24,409
|
|
|
|
14,034
|
|
Distributions to preferred shareholders
|
|
|
(4,023
|
)
|
|
|
(4,023
|
)
|
Net income (loss) attributable to common shareholders
|
|
$
|
20,386
|
|
|
$
|
10,011
|
|
|
|
|
|
|
|
|
|
|
|
Net income (loss) per share available to common shareholders, basic
|
|
$
|
0.29
|
|
|
$
|
0.14
|
|
Net income (loss) per share available to common shareholders, diluted
|
|
$
|
0.29
|
|
|
$
|
0.14
|
|
|
|
|
|
|
Weighted-average number of common shares, basic
|
|
|
68,876,444
|
|
|
|
71,610,994
|
|
Weighted-average number of common shares, diluted
|
|
|
69,208,048
|
|
|
|
71,892,820
|
|
|
|
|
|
|
|
|
|
|
|
Pebblebrook Hotel Trust
|
Reconciliation of Net Income (Loss) to FFO and Adjusted FFO
|
($ in thousands, except per share data)
|
(Unaudited)
|
|
|
|
Three months ended March 31,
|
|
|
2018
|
|
2017
|
|
|
|
|
|
Net income (loss)
|
|
$
|
24,516
|
|
|
$
|
14,089
|
|
Adjustments:
|
|
|
|
|
Depreciation and amortization
|
|
|
24,849
|
|
|
|
26,237
|
|
Impairment loss
|
|
|
-
|
|
|
|
1,049
|
|
FFO
|
|
$
|
49,365
|
|
|
$
|
41,375
|
|
Distribution to preferred shareholders
|
|
|
(4,023
|
)
|
|
|
(4,023
|
)
|
FFO available to common share and unit holders
|
|
$
|
45,342
|
|
|
$
|
37,352
|
|
Hotel acquisition and disposition costs
|
|
|
378
|
|
|
|
75
|
|
Non-cash ground rent
|
|
|
603
|
|
|
|
734
|
|
Management/franchise contract transition costs
|
|
|
52
|
|
|
|
85
|
|
Interest expense adjustment for acquired liabilities
|
|
|
299
|
|
|
|
180
|
|
Capital lease adjustment
|
|
|
142
|
|
|
|
136
|
|
Non-cash amortization of acquired intangibles
|
|
|
141
|
|
|
|
242
|
|
Estimated hurricane related repairs and cleanup costs
|
|
|
795
|
|
|
|
-
|
|
Gain on insurance settlement
|
|
|
(4,898
|
)
|
|
|
-
|
|
Business interruption proceeds
|
|
|
3,381
|
|
|
|
-
|
|
Other
|
|
|
-
|
|
|
|
(64
|
)
|
Adjusted FFO available to common share and unit holders
|
|
$
|
46,235
|
|
|
$
|
38,740
|
|
|
|
|
|
|
FFO per common share - basic
|
|
$
|
0.66
|
|
|
$
|
0.52
|
|
FFO per common share - diluted
|
|
$
|
0.65
|
|
|
$
|
0.52
|
|
Adjusted FFO per common share - basic
|
|
$
|
0.67
|
|
|
$
|
0.54
|
|
Adjusted FFO per common share - diluted
|
|
$
|
0.67
|
|
|
$
|
0.54
|
|
|
|
|
|
|
Weighted-average number of basic common shares and units
|
|
|
69,112,795
|
|
|
|
71,847,345
|
|
Weighted-average number of fully diluted common shares and units
|
|
|
69,444,399
|
|
|
|
72,129,171
|
|
|
|
|
|
|
|
|
|
|
To supplement the Company's consolidated financial statements
presented in accordance with U.S. generally accepted accounting
principles ("GAAP"), this press release includes certain non-GAAP
financial measures as defined under Securities and Exchange
Commission ("SEC") rules.
These measures are
not in accordance with, or an alternative to, measures prepared in
accordance with GAAP and may be different from similarly titled
non-GAAP financial measures used by other companies. In addition,
these non-GAAP financial measures are not based on any
comprehensive set of accounting rules or principles. Non-GAAP
financial measures have limitations in that they do not reflect
all of the amounts associated with the Company's results of
operations determined in accordance with GAAP.
Funds
from Operations ("FFO") - FFO represents net income (computed in
accordance with GAAP), excluding gains or losses from sales of
properties, plus real estate-related depreciation and amortization
and after adjustments for unconsolidated partnerships. The Company
considers FFO a useful measure of performance for an equity REIT
because it facilitates an understanding of the Company's operating
performance without giving effect to real estate depreciation and
amortization, which assume that the value of real estate assets
diminishes predictably over time. Since real estate values have
historically risen or fallen with market conditions, the Company
believes that FFO provides a meaningful indication of its
performance. The Company also considers FFO an appropriate
performance measure given its wide use by investors and analysts.
The Company computes FFO in accordance with standards established
by the Board of Governors of NAREIT in its March 1995 White Paper
(as amended in November 1999 and April 2002), which may differ
from the methodology for calculating FFO utilized by other equity
REITs and, accordingly, may not be comparable to that of other
REITs. Further, FFO does not represent amounts available for
management's discretionary use because of needed capital
replacement or expansion, debt service obligations or other
commitments and uncertainties, nor is it indicative of funds
available to fund the Company's cash needs, including its ability
to make distributions. The Company presents FFO per diluted share
calculations that are based on the outstanding dilutive common
shares plus the outstanding Operating Partnership units for the
periods presented.
The Company also evaluates its
performance by reviewing Adjusted FFO because it believes that
adjusting FFO to exclude certain recurring and non-recurring items
described below provides useful supplemental information regarding
the Company's ongoing operating performance and that the
presentation of Adjusted FFO, when combined with the primary GAAP
presentation of net income (loss), more completely describes the
Company's operating performance. The Company adjusts FFO for the
following items, which may occur in any period, and refers to this
measure as Adjusted FFO:
- Hotel acquisition and
disposition costs: The Company excludes acquisition and
disposition transaction costs expensed during the period because
it believes that including these costs in FFO does not reflect the
underlying financial performance of the Company and its hotels. -
Non-cash ground rent: The Company excludes the non-cash ground
rent expense, which is primarily made up of the straight-line rent
impact from a ground lease. - Management/franchise contract
transition costs: The Company excludes one-time management and/or
franchise contract transition costs expensed during the period
because it believes that including these costs in FFO does not
reflect the underlying financial performance of the Company and
its hotels. - Interest expense adjustment for acquired
liabilities: The Company excludes interest expense adjustment for
acquired liabilities assumed in connection with acquisitions,
because it believes that including these non-cash adjustments in
FFO does not reflect the underlying financial performance of the
Company. - Capital lease adjustment: The Company excludes the
effect of non-cash interest expense from capital leases because it
believes that including these non-cash adjustments in FFO does not
reflect the underlying financial performance of the Company.
-
Non-cash amortization of acquired intangibles: The Company
excludes The Non-cash amortization of acquired intangibles, which
includes but is not limited to The amortization of favorable and
unfavorable leases and above/below market real estate tax
reduction agreements because it believes that including these
Non-cash adjustments in FFO does not reflect The underlying
financial performance of The Company. - Estimated hurricane
related repairs and cleanup costs: The Company excludes Estimated
hurricane related repairs and cleanup costs during The period
because it believes that including these adjustments in FFO does
not reflect The underlying financial performance of The Company
and its hotels. - Gain on insurance settlement: The Company
excludes The Gain on insurance settlement because The Company
believes that including this adjustment in FFO does not reflect
The underlying financial performance of The Company and its hotels. -
Business interruption proceeds: The Company includes Business
interruption proceeds because The Company believes that including
these proceeds reflects The underlying financial performance of
The Company and its hotels. - Other: The Company excludes The
ineffective portion of The change in fair value of The hedging
instruments during The period because it believes that including
these Non-cash adjustments in FFO does not reflect The underlying
financial performance of The Company and its hotels.
The
Company's presentation of FFO in accordance with The NAREIT White
Paper, and as adjusted by The Company, should not be considered as
an alternative to net income (computed in accordance with GAAP) as
an indicator of The Company's financial performance or to cash
flow from operating activities (computed in accordance with GAAP)
as an indicator of its liquidity.
|
|
|
Pebblebrook Hotel Trust
|
Reconciliation of Net Income (Loss) to EBITDA and Adjusted EBITDA
|
($ in thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Three months ended March 31,
|
|
|
2018
|
|
2017
|
|
|
|
|
|
Net income (loss)
|
|
$
|
24,516
|
|
|
$
|
14,089
|
|
Adjustments:
|
|
|
|
|
Interest expense
|
|
|
9,811
|
|
|
|
9,341
|
|
Income tax expense (benefit)
|
|
|
(429
|
)
|
|
|
(2,835
|
)
|
Depreciation and amortization
|
|
|
24,902
|
|
|
|
26,296
|
|
EBITDA
|
|
$
|
58,800
|
|
|
$
|
46,891
|
|
Hotel acquisition and disposition costs
|
|
|
378
|
|
|
|
75
|
|
Non-cash ground rent
|
|
|
603
|
|
|
|
734
|
|
Management/franchise contract transition costs
|
|
|
52
|
|
|
|
85
|
|
Non-cash amortization of acquired intangibles
|
|
|
141
|
|
|
|
242
|
|
Impairment loss
|
|
|
-
|
|
|
|
1,049
|
|
Estimated hurricane related repairs and cleanup costs
|
|
|
795
|
|
|
|
-
|
|
Gain on insurance settlement
|
|
|
(4,898
|
)
|
|
|
-
|
|
Business interruption proceeds
|
|
|
3,381
|
|
|
|
-
|
|
Other
|
|
|
-
|
|
|
|
(64
|
)
|
Adjusted EBITDA
|
|
$
|
59,252
|
|
|
$
|
49,012
|
|
|
|
|
|
|
|
|
|
|
To supplement the Company's consolidated financial statements
presented in accordance with U.S. generally accepted accounting
principles ("GAAP"), this press release includes certain non-GAAP
financial measures as defined under Securities and Exchange
Commission ("SEC") rules.
These measures are
not in accordance with, or an alternative to, measures prepared in
accordance with GAAP and may be different from similarly titled
non-GAAP measures used by other companies. In addition, these
non-GAAP measures are not based on any comprehensive set of
accounting rules or principles. Non-GAAP measures have limitations
in that they do not reflect all of the amounts associated with the
Company's results of operations determined in accordance with GAAP.
Earnings
before Interest, Taxes, and Depreciation and Amortization
("EBITDA") - The Company believes that EBITDA provides investors a
useful financial measure to evaluate its operating performance,
excluding the impact of our capital structure (primarily interest
expense) and our asset base (primarily depreciation and
amortization).
The Company also evaluates its
performance by reviewing Adjusted EBITDA because it believes that
adjusting EBITDA to exclude certain recurring and non-recurring
items described below provides useful supplemental information
regarding the Company's ongoing operating performance and that the
presentation of Adjusted EBITDA, when combined with the primary
GAAP presentation of net income (loss), more completely describes
the Company's operating performance. The Company adjusts EBITDA
for the following items, which may occur in any period, and refers
to these measures as Adjusted EBITDA:
- Hotel
acquisition and disposition costs: The Company excludes
acquisition and disposition transaction costs expensed during the
period because it believes that including these costs in EBITDA
does not reflect the underlying financial performance of the
Company and its hotels. - Non-cash ground rent: The Company
excludes the non-cash ground rent expense, which is primarily made
up of the straight-line rent impact from a ground lease. -
Management/franchise contract transition costs: The Company
excludes one-time management and/or franchise contract transition
costs expensed during the period because it believes that
including these costs in EBITDA does not reflect the underlying
financial performance of the Company and its hotels. -
Non-cash amortization of acquired intangibles: The Company
excludes the non-cash amortization of acquired intangibles, which
includes but is not limited to the amortization of favorable and
unfavorable leases and above/below market real estate tax
reduction agreements because it believes that including these
non-cash adjustments in EBITDA does not reflect the underlying
financial performance of the Company and its hotels. -
Impairment loss: The Company excludes impairment loss because it
believes that including this adjustment in EBITDA does not reflect
the underlying financial performance of the Company and its hotels. -
Estimated hurricane related repairs and cleanup costs: The Company
excludes estimated hurricane related repairs and cleanup costs
during the period because it believes that including these
adjustments in EBITDA does not reflect the underlying financial
performance of the Company and its hotels. - Gain on
insurance settlement: The Company excludes the gain on insurance
settlement because the Company believes that including this
adjustment in EBITDA does not reflect the underlying financial
performance of the Company and its hotels. - Business
interruption proceeds: The Company includes business interruption
proceeds because the Company believes that including these
proceeds reflects the underlying financial performance of the
Company and its hotels. - Other: The Company excludes the
ineffective portion of the change in fair value of the hedging
instruments during the period because it believes that including
these non-cash adjustments in EBITDA does not reflect the
underlying financial performance of the Company and its hotels.
The
Company's presentation of EBITDA, and as adjusted by the Company,
should not be considered as an alternative to net income (computed
in accordance with GAAP) as an indicator of the Company's
financial performance or to cash flow from operating activities
(computed in accordance with GAAP) as an indicator of its
liquidity.
|
|
|
Pebblebrook Hotel Trust
|
Reconciliation of Outlook of Net Income (Loss) to FFO and
Adjusted FFO
|
($ in millions, except per share data)
|
(Unaudited)
|
|
|
|
Three months ending June 30, 2018
|
|
Year ending December 31, 2018
|
|
|
Low
|
|
High
|
|
Low
|
|
High
|
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
25
|
|
|
$
|
27
|
|
|
$
|
84
|
|
|
$
|
93
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
26
|
|
|
|
26
|
|
|
|
105
|
|
|
|
105
|
|
FFO
|
|
$
|
51
|
|
|
$
|
53
|
|
|
$
|
189
|
|
|
$
|
198
|
|
Distribution to preferred shareholders
|
|
|
(4
|
)
|
|
|
(4
|
)
|
|
|
(16
|
)
|
|
|
(16
|
)
|
FFO available to common share and unit holders
|
|
$
|
47
|
|
|
$
|
49
|
|
|
$
|
173
|
|
|
$
|
182
|
|
Non-cash ground rent
|
|
|
1
|
|
|
|
1
|
|
|
|
2
|
|
|
|
2
|
|
Gain on insurance settlement
|
|
|
-
|
|
|
|
-
|
|
|
|
(5
|
)
|
|
|
(5
|
)
|
Business interruption proceeds
|
|
|
-
|
|
|
|
-
|
|
|
|
3
|
|
|
|
3
|
|
Other
|
|
|
-
|
|
|
|
-
|
|
|
|
5
|
|
|
|
4
|
|
Adjusted FFO available to common share and unit holders
|
|
$
|
48
|
|
|
$
|
50
|
|
|
$
|
178
|
|
|
$
|
186
|
|
|
|
|
|
|
|
|
|
|
FFO per common share - diluted
|
|
$
|
0.68
|
|
|
$
|
0.71
|
|
|
$
|
2.49
|
|
|
$
|
2.62
|
|
Adjusted FFO per common share - diluted
|
|
$
|
0.69
|
|
|
$
|
0.72
|
|
|
$
|
2.56
|
|
|
$
|
2.69
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of fully diluted common shares and units
|
|
|
69.4
|
|
|
|
69.4
|
|
|
|
69.4
|
|
|
|
69.4
|
|
|
|
|
|
|
|
|
|
|
To supplement the Company's consolidated financial statements
presented in accordance with U.S. generally accepted accounting
principles ("GAAP"), this press release includes certain non-GAAP
financial measures as defined under Securities and Exchange
Commission ("SEC") rules.
These measures are
not in accordance with, or an alternative to, measures prepared in
accordance with GAAP and may be different from similarly titled
non-GAAP financial measures used by other companies. In addition,
these non-GAAP financial measures are not based on any
comprehensive set of accounting rules or principles. Non-GAAP
financial measures have limitations in that they do not reflect
all of the amounts associated with the Company's results of
operations determined in accordance with GAAP.
Funds
from Operations ("FFO") - FFO represents net income (computed in
accordance with GAAP), excluding gains or losses from sales of
properties, plus real estate-related depreciation and amortization
and after adjustments for unconsolidated partnerships. The Company
considers FFO a useful measure of performance for an equity REIT
because it facilitates an understanding of the Company's operating
performance without giving effect to real estate depreciation and
amortization, which assume that the value of real estate assets
diminishes predictably over time. Since real estate values have
historically risen or fallen with market conditions, the Company
believes that FFO provides a meaningful indication of its
performance. The Company also considers FFO an appropriate
performance measure given its wide use by investors and analysts.
The Company computes FFO in accordance with standards established
by the Board of Governors of NAREIT in its March 1995 White Paper
(as amended in November 1999 and April 2002), which may differ
from the methodology for calculating FFO utilized by other equity
REITs and, accordingly, may not be comparable to that of other
REITs. Further, FFO does not represent amounts available for
management's discretionary use because of needed capital
replacement or expansion, debt service obligations or other
commitments and uncertainties, nor is it indicative of funds
available to fund the Company's cash needs, including its ability
to make distributions. The Company presents FFO per diluted share
calculations that are based on the outstanding dilutive common
shares plus the outstanding Operating Partnership units for the
periods presented.
The Company also evaluates its
performance by reviewing Adjusted FFO because it believes that
adjusting FFO to exclude certain recurring and non-recurring items
described below provides useful supplemental information regarding
the Company's ongoing operating performance and that the
presentation of Adjusted FFO, when combined with the primary GAAP
presentation of net income (loss), more completely describes the
Company's operating performance. The Company adjusts FFO for the
following items, which may occur in any period, and refers to this
measure as Adjusted FFO:
- Non-cash ground rent: The
Company excludes the non-cash ground rent expense, which is
primarily made up of the straight-line rent impact from a ground
lease. - Gain on insurance settlement: The Company excludes
the gain on insurance settlement because the Company believes that
including this adjustment in FFO does not reflect the underlying
financial performance of the Company and its hotels. -
Business interruption proceeds: The Company includes business
interruption proceeds because the Company believes that including
these proceeds reflects the underlying financial performance of
the Company and its hotels. - Other: The Company excludes
other expenses, which include hotel acquisition and disposition
costs, management/franchise contract transition costs, interest
expense adjustment for acquired liabilities, capital lease
adjustment, non-cash amortization of acquired intangibles and
estimated hurricane related repairs and cleanup costs because the
Company believes that including these non-cash adjustments in FFO
does not reflect the underlying financial performance of the
Company and its hotels.
The Company's presentation of
FFO in accordance with the NAREIT White Paper, and as adjusted by
the Company, should not be considered as an alternative to net
income (computed in accordance with GAAP) as an indicator of the
Company's financial performance or to cash flow from operating
activities (computed in accordance with GAAP) as an indicator of
its liquidity.
Any differences are a result of rounding.
|
|
|
Pebblebrook Hotel Trust
|
Reconciliation of Outlook of Net Income (Loss) to EBITDA and
Adjusted EBITDA
|
($ in millions)
|
(Unaudited)
|
|
|
|
Three months ending June 30, 2018
|
|
Year ending December 31, 2018
|
|
|
Low
|
|
High
|
|
Low
|
|
High
|
|
|
|
|
|
|
|
|
|
Net income (loss)
|
|
$
|
25
|
|
$
|
27
|
|
$
|
84
|
|
|
$
|
93
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
Interest expense and income tax expense
|
|
|
13
|
|
|
13
|
|
|
45
|
|
|
|
45
|
|
Depreciation and amortization
|
|
|
26
|
|
|
26
|
|
|
105
|
|
|
|
105
|
|
EBITDA
|
|
$
|
64
|
|
$
|
66
|
|
$
|
234
|
|
|
$
|
243
|
|
Non-cash ground rent
|
|
|
1
|
|
|
1
|
|
|
2
|
|
|
|
2
|
|
Gain on insurance settlement
|
|
|
-
|
|
|
-
|
|
|
(5
|
)
|
|
|
(5
|
)
|
Business interruption proceeds
|
|
|
-
|
|
|
-
|
|
|
3
|
|
|
|
3
|
|
Other
|
|
|
-
|
|
|
-
|
|
|
4
|
|
|
|
3
|
|
Adjusted EBITDA
|
|
$
|
65
|
|
$
|
67
|
|
$
|
238
|
|
|
$
|
246
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
To supplement the Company's consolidated financial statements
presented in accordance with U.S. generally accepted accounting
principles ("GAAP"), this press release includes certain non-GAAP
financial measures as defined under Securities and Exchange
Commission ("SEC") rules.
These measures are
not in accordance with, or an alternative to, measures prepared in
accordance with GAAP and may be different from similarly titled
non-GAAP financial measures used by other companies. In addition,
these non-GAAP financial measures are not based on any
comprehensive set of accounting rules or principles. Non-GAAP
financial measures have limitations in that they do not reflect
all of the amounts associated with the Company's results of
operations determined in accordance with GAAP.
Earnings
before Interest, Taxes, and Depreciation and Amortization
("EBITDA") - The Company believes that EBITDA provides investors a
useful financial measure to evaluate its operating performance,
excluding the impact of our capital structure (primarily interest
expense) and our asset base (primarily depreciation and
amortization).
The Company also evaluates its
performance by reviewing Adjusted EBITDA because it believes that
adjusting EBITDA to exclude certain recurring and non-recurring
items described below provides useful supplemental information
regarding the Company's ongoing operating performance and that the
presentation of Adjusted EBITDA, when combined with the primary
GAAP presentation of net income (loss), more completely describes
the Company's operating performance. The Company adjusts EBITDA
for the following items, which may occur in any period, and refers
to this measure as Adjusted EBITDA:
- Non-cash ground
rent: The Company excludes the non-cash ground rent expense, which
is primarily made up of the straight-line rent impact from a
ground lease. - Gain on insurance settlement: The Company
excludes the gain on insurance settlement because the Company
believes that including this adjustment in EBITDA does not reflect
the underlying financial performance of the Company and its hotels. -
Business interruption proceeds: The Company includes business
interruption proceeds because the Company believes that including
these proceeds reflects the underlying financial performance of
the Company and its hotels. - Other: The Company excludes
other expenses, which include hotel acquisition and disposition
costs, management/franchise contract transition costs, non-cash
amortization of acquired intangibles and estimated hurricane
related repairs and cleanup costs because the Company believes
that including these non-cash adjustments in EBITDA does not
reflect the underlying financial performance of the Company and
its hotels.
The Company's presentation of EBITDA, and
as adjusted by the Company, should not be considered as an
alternative to net income (computed in accordance with GAAP) as an
indicator of the Company's financial performance or to cash flow
from operating activities (computed in accordance with GAAP) as an
indicator of its liquidity.
Any differences are a
result of rounding.
|
|
|
Pebblebrook Hotel Trust
|
Same-Property Statistical Data
|
(Unaudited)
|
|
|
|
Three months ended March 31,
|
|
|
2018
|
|
2017
|
|
|
|
|
|
Same-Property Occupancy
|
|
79.8%
|
|
80.5%
|
Increase/(Decrease)
|
|
(0.8%)
|
|
|
Same-Property ADR
|
|
$244.44
|
|
$242.82
|
Increase/(Decrease)
|
|
0.7%
|
|
|
Same-Property RevPAR
|
|
$195.17
|
|
$195.53
|
Increase/(Decrease)
|
|
(0.2%)
|
|
|
|
|
|
|
|
Notes:
|
This schedule of hotel results for the three months ended March 31
includes information from all of the hotels the Company owned as of
March 31, 2018.
|
|
These hotel results for the respective periods may include
information reflecting operational performance prior to the
Company's ownership of the hotels. Any differences are a result of
rounding.
|
|
The information above has not been audited and is presented only for
comparison purposes.
|
|
|
Pebblebrook Hotel Trust
|
Same Property Statistical Data - by Market
|
(Unaudited)
|
|
|
|
|
|
Three months ended March 31,
|
|
|
2018
|
RevPAR Variance:
|
|
|
Boston
|
|
12.9
|
%
|
Other
|
|
3.4
|
%
|
Los Angeles
|
|
1.7
|
%
|
San Francisco
|
|
(1.4
|
%)
|
Seattle
|
|
(4.0
|
%)
|
Portland
|
|
(4.7
|
%)
|
San Diego
|
|
(9.6
|
%)
|
|
|
|
East Coast
|
|
4.0
|
%
|
West Coast
|
|
(2.5
|
%)
|
|
|
|
|
Notes:
|
This schedule of hotel results for the three months ended March 31
includes information from all of the hotels the Company owned as of
March 31, 2018.
|
|
"Other" includes Atlanta (Buckhead), GA; Coral Gables, FL;
Minneapolis, MN; Naples, FL; Nashville, TN; Philadelphia, PA and
Washington, DC.
|
|
These hotel results for the respective periods may include
information reflecting operational performance prior to the
Company's ownership of the hotels. Any differences are a result of
rounding.
|
|
The information above has not been audited and is presented only for
comparison purposes.
|
|
|
Pebblebrook Hotel Trust
|
Hotel Operational Data
|
Schedule of Same-Property Results
|
($ in thousands)
|
(Unaudited)
|
|
|
|
Three months ended March 31,
|
|
|
2018
|
|
2017
|
|
|
|
|
|
Same-Property Revenues:
|
|
|
|
|
Room
|
|
$
|
122,471
|
|
|
$
|
122,420
|
|
Food and beverage
|
|
|
44,568
|
|
|
|
43,616
|
|
Other
|
|
|
13,998
|
|
|
|
11,551
|
|
Total hotel revenues
|
|
|
181,037
|
|
|
|
177,587
|
|
|
|
|
|
|
Same-Property Expenses:
|
|
|
|
|
Room
|
|
$
|
31,708
|
|
|
$
|
31,323
|
|
Food and beverage
|
|
|
30,596
|
|
|
|
29,275
|
|
Other direct
|
|
|
2,847
|
|
|
|
2,933
|
|
General and administrative
|
|
|
14,670
|
|
|
|
14,375
|
|
Information and telecommunication systems
|
|
|
2,951
|
|
|
|
2,740
|
|
Sales and marketing
|
|
|
15,438
|
|
|
|
14,771
|
|
Management fees
|
|
|
5,303
|
|
|
|
5,222
|
|
Property operations and maintenance
|
|
|
5,493
|
|
|
|
5,495
|
|
Energy and utilities
|
|
|
4,119
|
|
|
|
3,981
|
|
Property taxes
|
|
|
7,641
|
|
|
|
8,165
|
|
Other fixed expenses
|
|
|
4,669
|
|
|
|
4,808
|
|
Total hotel expenses
|
|
|
125,435
|
|
|
|
123,088
|
|
|
|
|
|
|
Same-Property EBITDA
|
|
$
|
55,602
|
|
|
$
|
54,499
|
|
|
|
|
|
|
Same-Property EBITDA Margin
|
|
|
30.7
|
%
|
|
|
30.7
|
%
|
|
|
|
|
|
|
|
|
|
Notes:
|
This schedule of hotel results for the three months ended March 31
includes information from all of the hotels the Company owned as of
March 31, 2018.
|
|
These hotel results for the respective periods may include
information reflecting operational performance prior to the
Company's ownership of the hotels. Any differences are a result of
rounding.
|
|
The information above has not been audited and is presented only for
comparison purposes.
|
|
|
Pebblebrook Hotel Trust
|
Same-Property Inclusion Reference Table
|
|
Hotels
|
|
|
Q1
|
|
|
Q2
|
|
|
Q3
|
|
|
Q4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sir Francis Drake
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
InterContinental Buckhead Atlanta
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Monaco Washington DC
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
The Grand Hotel Minneapolis
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Skamania Lodge
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Le Méridien Delfina Santa Monica
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Sofitel Philadelphia
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Argonaut Hotel
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
The Westin San Diego Gaslamp Quarter
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Monaco Seattle
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Mondrian Los Angeles
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
W Boston
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Zetta San Francisco
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Vintage Seattle
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Vintage Portland
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
W Los Angeles - West Beverly Hills
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Zelos San Francisco
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Embassy Suites San Diego Bay - Downtown
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Modera
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Zephyr Fisherman's Wharf
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Zeppelin San Francisco
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
The Nines, a Luxury Collection Hotel, Portland
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Colonnade Coral Gables, a Tribute Portfolio Hotel
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Hotel Palomar Los Angeles Beverly Hills
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Union Station Hotel Nashville, Autograph Collection
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
Revere Hotel Boston Common
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
LaPlaya Beach Resort & Club
|
|
|
X
|
|
|
X
|
|
|
|
|
|
|
Hotel Zoe Fisherman's Wharf
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
X
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
A property marked with an "X" in a specific quarter denotes that the
same-property operating results of that property are included in the
Same-Property Statistical Data and in the Schedule of Same-Property
Results.
|
|
The Company's first quarter Same-Property RevPAR, RevPAR Growth,
Total RevPAR, Total RevPAR Growth, ADR, Occupancy, Revenues,
Expenses, EBITDA and EBITDA Margin include all of the hotels the
Company owned as of March 31, 2018. Operating statistics and
financial results may include periods prior to the Company's
ownership of the hotels.
|
|
The Company's estimates and assumptions for Same Property RevPAR,
RevPAR Growth, ADR, Occupancy, Revenues, Expenses, EBITDA and EBITDA
Margin for the Company's 2018 outlook include all of the hotels the
Company owned as of March 31, 2018, except for LaPlaya Beach Resort
& Club for Q3 and Q4 in both 2018 and 2017 because it was closed
during a portion of the third and fourth quarters of 2017 due to the
impact from Hurricane Irma. The operating statistics and financial
results in this press release may include periods prior to the
Company's ownership of the hotels.
|
|
|
Pebblebrook Hotel Trust
|
Historical Operating Data
|
($ in millions except ADR and RevPAR data)
|
(Unaudited)
|
|
|
Historical Operating Data:
|
|
|
|
|
First Quarter
|
|
Second Quarter
|
|
Third Quarter
|
|
Fourth Quarter
|
|
Full Year
|
|
|
2017
|
|
2017
|
|
2017
|
|
2017
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
Occupancy
|
|
81%
|
|
87%
|
|
88%
|
|
79%
|
|
84%
|
ADR
|
|
$243
|
|
$251
|
|
$256
|
|
$236
|
|
$247
|
RevPAR
|
|
$196
|
|
$218
|
|
$226
|
|
$186
|
|
$206
|
|
|
|
|
|
|
|
|
|
|
|
Hotel Revenues
|
|
$177.6
|
|
$200.1
|
|
$201.9
|
|
$179.7
|
|
$759.2
|
Hotel EBITDA
|
|
$54.5
|
|
$71.6
|
|
$74.6
|
|
$53.6
|
|
$254.2
|
Hotel EBITDA Margin
|
|
30.7%
|
|
35.8%
|
|
36.9%
|
|
29.8%
|
|
33.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
First Quarter
|
|
|
|
|
|
|
|
|
|
|
2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Occupancy
|
|
80%
|
|
|
|
|
|
|
|
|
ADR
|
|
$244
|
|
|
|
|
|
|
|
|
RevPAR
|
|
$195
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Hotel Revenues
|
|
$181.0
|
|
|
|
|
|
|
|
|
Hotel EBITDA
|
|
$55.6
|
|
|
|
|
|
|
|
|
Hotel EBITDA Margin
|
|
30.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Notes:
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These historical hotel operating results include information for all
of the hotels the Company owned as of March 31, 2018. These
historical operating results include periods prior to the Company's
ownership of the hotels. The information above does not reflect the
Company's corporate general and administrative expense, interest
expense, property acquisition costs, depreciation and amortization,
taxes and other expenses. Any differences are a result of rounding.
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The information above has not been audited and is presented only for
comparison purposes.
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View source version on businesswire.com: https://www.businesswire.com/news/home/20180426006747/en/
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