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Business Wire 27-Feb-2019 7:00 AM
Fourth Quarter Net Loss Available for Common Shareholders of $(0.66) Per Share
Fourth Quarter Normalized FFO Available for Common Shareholders of $0.61 Per Share
Hospitality Properties Trust (NASDAQ:HPT) today announced its financial results for the quarter and year ended December 31, 2018:
Three Months Ended | Year Ended | |||||||||||||||||||
December 31, | December 31, | |||||||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||||||
($ in thousands, except per share and RevPAR data) | ||||||||||||||||||||
Net income (loss) available for common shareholders | $ | (108,860 | ) | $ | 31,545 | $ | 185,734 | $ | 203,815 | |||||||||||
Net income (loss) available for common shareholders per share | $ | (0.66 | ) | $ | 0.19 | $ | 1.13 | $ | 1.24 | |||||||||||
Adjusted EBITDA (1) | $ | 149,773 | $ | 135,312 | $ | 805,303 | $ | 773,654 | ||||||||||||
Normalized FFO available for common shareholders (1) | $ | 99,994 | $ | 87,865 | $ | 605,708 | $ | 585,734 | ||||||||||||
Normalized FFO available for common shareholders per share (1) | $ | 0.61 | $ | 0.54 | $ | 3.69 | $ | 3.57 | ||||||||||||
Portfolio Performance |
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Comparable hotel RevPAR | $ | 86.24 | $ | 87.70 | $ | 96.22 | $ | 95.74 | ||||||||||||
Change in comparable hotel RevPAR | (1.7 | %) | — | 0.5 | % | — | ||||||||||||||
RevPAR (all hotels) | $ | 86.53 | $ | 87.85 | $ | 95.14 | $ | 95.87 | ||||||||||||
Change in RevPAR (all hotels) | (1.5 | %) | — | (0.8 | %) | — | ||||||||||||||
Coverage of HPT's minimum returns and rents for hotels | 0.77x | 0.90x | 0.97x | 1.06x | ||||||||||||||||
Coverage of HPT's minimum rents for travel centers | 1.59x | 1.46x | 1.63x | 1.50x |
(1) | Reconciliations of net income (loss) determined in accordance with U.S. generally accepted accounting principles, or GAAP, to earnings before interest, taxes, depreciation and amortization, or EBITDA, and EBITDA as adjusted, or Adjusted EBITDA, and net income (loss) available for common shareholders determined in accordance with GAAP to funds from operations, or FFO, available for common shareholders, and Normalized FFO available for common shareholders, for the quarters and years ended December 31, 2018 and 2017 appear later in this press release. |
John Murray, President and Chief Executive Officer of HPT, made the following statement:
"HPT's fourth quarter 2018 comparable hotel RevPAR declined 1.7% compared to the prior year period due to occupancy decreases associated with thirty-seven hotel renovations, non-recurring business related to the hurricanes in Texas and Florida in the prior year period that negatively impacted our Wyndham and IHG portfolios in particular and competition from supply growth. For hotels not impacted by renovations or hurricanes, comparable RevPAR increased 2.0%. Looking ahead to 2019, we expect renovations will occur at fewer of our hotels compared to 2018.
Our TA properties' total gross margin increased by $23.6 million, or 8.1%, for the fourth quarter 2018, versus the same period last year driven by a 32.5% increase in fuel margin and a 1.9% increase in non-fuel margin. Travel center minimum rent coverage was 1.63 times for the year ended 2018.
In January 2019, HPT completed the sale of 20 travel centers to TA for $308.2 million for a significant gain. We used the proceeds to repay amounts outstanding on our revolving credit facility and for general business purposes, including to acquire the Kimpton® Hotel Palomar in Washington, D.C. for $141.5 million in February 2019."
Results for the Quarter and Year Ended December 31, 2018 and Recent Activities:
Tenants and Managers: As of December 31, 2018, HPT had eight operating agreements with six hotel operating companies for 326 hotels with 50,543 rooms, which represented 67% of HPT's total annual minimum returns and rents, and five lease agreements with TA for 199 travel centers, which represented 33% of HPT's total annual minimum returns and rents.
Conference Call:
At 10:00 a.m. Eastern Time this morning, President and Chief Executive Officer, John Murray, and Chief Financial Officer and Treasurer, Brian Donley, will host a conference call to discuss HPT's fourth quarter and full year 2018 financial results. The conference call telephone number is (877) 329-3720. Participants calling from outside the United States and Canada should dial (412) 317-5434. No pass code is necessary to access the call from either number. Participants should dial in about 15 minutes prior to the scheduled start of the call. A replay of the conference call will be available through Wednesday, March 6, 2019. To access the replay, dial (412) 317-0088. The replay pass code is 10127677.
A live audio webcast of the conference call will also be available in a listen-only mode on HPT's website, which is located at www.hptreit.com. Participants wanting to access the webcast should visit HPT's website about five minutes before the call. The archived webcast will be available for replay on HPT's website for about one week after the call. The transcription, recording and retransmission in any way of HPT's fourth quarter conference call is strictly prohibited without the prior written consent of HPT.
Supplemental Data:
A copy of HPT's Fourth Quarter 2018 Supplemental Operating and Financial Data is available for download at HPT's website, which is located at www.hptreit.com. HPT's website is not incorporated as part of this press release.
Hospitality Properties Trust is a real estate investment trust, or REIT, which owns a diverse portfolio of hotels and travel centers located in 45 states, the District of Columbia, Puerto Rico and Canada. HPT's properties are operated under long term management or lease agreements. HPT is managed by the operating subsidiary of The RMR Group Inc. (NASDAQ:RMR), an alternative asset management company that is headquartered in Newton, Massachusetts.
Please see the pages attached hereto for a more detailed statement of HPT's operating results and financial condition and for an explanation of HPT's calculation of FFO available for common shareholders and Normalized FFO available for common shareholders, EBITDA and Adjusted EBITDA and a reconciliation of those amounts to amounts determined in accordance with GAAP.
WARNING CONCERNING FORWARD LOOKING STATEMENTS
THIS PRESS RELEASE CONTAINS STATEMENTS THAT CONSTITUTE FORWARD LOOKING STATEMENTS WITHIN THE MEANING OF THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 AND OTHER SECURITIES LAWS. ALSO, WHENEVER HPT USES WORDS SUCH AS "BELIEVE", "EXPECT", "ANTICIPATE", "INTEND", "PLAN", "ESTIMATE", "WILL", "MAY" AND NEGATIVES OR DERIVATIVES OF THESE OR SIMILAR EXPRESSIONS, HPT IS MAKING FORWARD LOOKING STATEMENTS. THESE FORWARD LOOKING STATEMENTS ARE BASED UPON HPT'S PRESENT INTENT, BELIEFS OR EXPECTATIONS, BUT FORWARD LOOKING STATEMENTS ARE NOT GUARANTEED TO OCCUR AND MAY NOT OCCUR. ACTUAL RESULTS MAY DIFFER MATERIALLY FROM THOSE CONTAINED IN OR IMPLIED BY HPT'S FORWARD LOOKING STATEMENTS AS A RESULT OF VARIOUS FACTORS. FOR EXAMPLE:
THE INFORMATION CONTAINED IN HPT'S FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION, OR SEC, INCLUDING UNDER THE CAPTION "RISK FACTORS" IN HPT'S PERIODIC REPORTS, OR INCORPORATED THEREIN, IDENTIFIES OTHER IMPORTANT FACTORS THAT COULD CAUSE DIFFERENCES FROM HPT'S FORWARD LOOKING STATEMENTS. HPT'S FILINGS WITH THE SEC ARE AVAILABLE ON THE SEC'S WEBSITE AT WWW.SEC.GOV.
YOU SHOULD NOT PLACE UNDUE RELIANCE UPON FORWARD LOOKING STATEMENTS.
EXCEPT AS REQUIRED BY LAW, HPT DOES NOT INTEND TO UPDATE OR CHANGE ANY FORWARD LOOKING STATEMENTS AS A RESULT OF NEW INFORMATION, FUTURE EVENTS OR OTHERWISE.
HOSPITALITY PROPERTIES TRUST |
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CONSOLIDATED STATEMENTS OF INCOME |
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(amounts in thousands, except share data) |
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(Unaudited) |
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Three Months EndedDecember 31, |
Year EndedDecember 31, |
||||||||||||||||||||
2018 | 2017 | 2018 | 2017 | ||||||||||||||||||
Revenues: | |||||||||||||||||||||
Hotel operating revenues (1) | $ | 464,833 | $ | 450,506 | $ | 1,960,958 | $ | 1,843,501 | |||||||||||||
Rental income (2) | 84,745 | 83,490 | 328,446 | 323,764 | |||||||||||||||||
FF&E reserve income (3) | 1,221 | 1,146 | 5,132 | 4,670 | |||||||||||||||||
Total revenues | 550,799 | 535,142 | 2,294,536 | 2,171,935 | |||||||||||||||||
Expenses: | |||||||||||||||||||||
Hotel operating expenses (1) | 336,298 | 314,001 | 1,392,355 | 1,279,547 | |||||||||||||||||
Depreciation and amortization | 102,769 | 99,848 | 403,077 | 386,659 | |||||||||||||||||
General and administrative (4) | 66,582 | 49,305 | 104,862 | 125,402 | |||||||||||||||||
Total expenses | 505,649 | 463,154 | 1,900,294 | 1,791,608 | |||||||||||||||||
Gain on sale of real estate (5) | — | — | — | 9,348 | |||||||||||||||||
Dividend income | 876 | 626 | 2,754 | 2,504 | |||||||||||||||||
Unrealized losses on equity securities (6) | (106,085 | ) | — | (16,737 | ) | — | |||||||||||||||
Interest income | 435 | 208 | 1,528 | 798 | |||||||||||||||||
Interest expense (including amortization of debt issuance costs and debt discounts and premiums of $2,570, $2,331, $10,177 and $8,871, respectively) | (49,624 | ) | (46,250 | ) | (195,213 | ) | (181,579 | ) | |||||||||||||
Loss on early extinguishment of debt (7) | — | (146 | ) | (160 | ) | (146 | ) | ||||||||||||||
Income (loss) before income taxes and equity in earnings (losses) of an investee | (109,248 | ) | 26,426 | 186,414 | 211,252 | ||||||||||||||||
Income tax benefit (expense) (8) | 754 | 5,045 | (1,195 | ) | 3,284 | ||||||||||||||||
Equity in earnings (losses) of an investee | (366 | ) | 74 | 515 | 607 | ||||||||||||||||
Net income (loss) | (108,860 | ) | 31,545 | 185,734 | 215,143 | ||||||||||||||||
Preferred distributions | — | — | — | (1,435 | ) | ||||||||||||||||
Excess of liquidation preference over carrying value of preferred
shares
redeemed (9) |
— | — | — | (9,893 | ) | ||||||||||||||||
Net income (loss) available for common shareholders | $ | (108,860 | ) | $ | 31,545 | $ | 185,734 | $ | 203,815 | ||||||||||||
Weighted average common shares outstanding (basic) | 164,278 | 164,192 | 164,229 | 164,146 | |||||||||||||||||
Weighted average common shares outstanding (diluted) | 164,278 | 164,205 | 164,258 | 164,175 | |||||||||||||||||
Net income (loss) available for common shareholders per common share (basic and diluted) | $ | (0.66 | ) | $ | 0.19 | $ | 1.13 | $ | 1.24 |
See Notes on pages 11 and 12
HOSPITALITY PROPERTIES TRUST |
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RECONCILIATIONS OF FUNDS FROM OPERATIONS, |
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NORMALIZED FUNDS FROM OPERATIONS, EBITDA AND ADJUSTED EBITDA |
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(amounts in thousands, except share data) |
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(Unaudited) |
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Three Months EndedDecember 31, |
Year EndedDecember 31, |
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2018 | 2017 | 2018 | 2017 | ||||||||||||||||||||
Calculation of FFO and Normalized FFO available for common shareholders: (10) | |||||||||||||||||||||||
Net income (loss) available for common shareholders | $ | (108,860 | ) | $ | 31,545 | $ | 185,734 | $ | 203,815 | ||||||||||||||
Add (Less): |
Depreciation and amortization |
102,769 | 99,848 | 403,077 | 386,659 | ||||||||||||||||||
Gain on sale of real estate (5) | — | — | — | (9,348 | ) | ||||||||||||||||||
FFO available for common shareholders | (6,091 | ) | 131,393 | 588,811 | 581,126 | ||||||||||||||||||
Add (Less): |
Business management incentive fees (4) |
— | (38,243 | ) | — | — | |||||||||||||||||
Loss on early extinguishment of debt (7) | — | 146 | 160 | 146 | |||||||||||||||||||
Excess of liquidation preference over carrying value of preferred shares redeemed (9) | — | — | — | 9,893 | |||||||||||||||||||
Unrealized losses on equity securities (6) | 106,085 | — | 16,737 | — | |||||||||||||||||||
Deferred tax benefit (8) | — | (5,431 | ) | — | (5,431 | ) | |||||||||||||||||
Normalized FFO available for common shareholders | 99,994 | $ | 87,865 | $ | 605,708 | $ | 585,734 | ||||||||||||||||
Weighted average common shares outstanding (basic) | 164,278 | 164,192 | 164,229 | 164,146 | |||||||||||||||||||
Weighted average common shares outstanding (diluted) | 164,278 | 164,205 | 164,258 | 164,175 | |||||||||||||||||||
Basic and diluted per common share amounts: | |||||||||||||||||||||||
FFO available for common shareholders | $ | (0.04 | ) | $ | 0.80 | $ | 3.59 | $ | 3.54 | ||||||||||||||
Normalized FFO available for common shareholders | $ | 0.61 | $ | 0.54 | $ | 3.69 | $ | 3.57 | |||||||||||||||
Distributions declared per share | $ | 0.53 | $ | 0.52 | $ | 2.11 | $ | 2.07 | |||||||||||||||
Three Months EndedDecember 31, |
Year EndedDecember 31, |
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2018 | 2017 | 2018 | 2017 | ||||||||||||||||||||
Calculation of EBITDA and Adjusted EBITDA: (11) |
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Net income (loss) |
$ | (108,860 | ) | $ | 31,545 | $ | 185,734 | $ | 215,143 | ||||||||||||||
Add (Less): |
Interest expense |
49,624 | 46,250 | 195,213 | 181,579 | ||||||||||||||||||
Income tax expense (benefit) (8) | (754 | ) | (5,045 | ) | 1,195 | (3,284 | ) | ||||||||||||||||
Depreciation and amortization | 102,769 | 99,848 | 403,077 | 386,659 | |||||||||||||||||||
EBITDA |
42,779 | 172,598 | 785,219 | 780,097 | |||||||||||||||||||
Add (Less): |
General and administrative expense paid in common shares (12) |
909 | 811 | 3,187 | 2,759 | ||||||||||||||||||
Business management incentive fees (4) | — | (38,243 | ) | — | — | ||||||||||||||||||
Loss on early extinguishment of debt (7) | — | 146 | 160 | 146 | |||||||||||||||||||
Gain on sale of real estate (5) | — | — | — | (9,348 | ) | ||||||||||||||||||
Unrealized losses on equity securities (6) | 106,085 | — | 16,737 | — | |||||||||||||||||||
Adjusted EBITDA | $ | 149,773 | $ | 135,312 | $ | 805,303 | $ | 773,654 |
See Notes on pages 11 and 12
(1) | As of December 31, 2018, HPT owned 326 hotels; 324 of these hotels were managed by hotel operating companies and two hotels were leased to hotel operating companies. As of December 31, 2018, HPT also owned 199 travel centers; all 199 of these travel centers were leased to a travel center operating company under five lease agreements. HPT's consolidated statements of income include hotel operating revenues and expenses of managed hotels and rental income from its leased hotels and travel centers. Certain of HPT's managed hotels had net operating results that were, in the aggregate, $31,610 and $14,138 less than the minimum returns due to HPT for the three months ended December 31, 2018 and 2017, respectively, and $50,203 and $31,477 less than the minimum returns due to HPT for the years ended December 31, 2018 and 2017, respectively. When managers of these hotels are required to fund the shortfalls under the terms of HPT's management agreements or their guarantees, HPT reflects such fundings (including security deposit applications) in its consolidated statements of income as a reduction of hotel operating expenses. The reduction to hotel operating expenses was $6,748 and $2,885 for the three months ended December 31, 2018 and 2017, respectively, and $5,569 and $4,673 for the years ended December 31, 2018 and 2017, respectively. When HPT reduces the amounts of the security deposit it holds for any of its operating agreements for payment deficiencies, it does not result in additional cash flows to HPT of the deficiency amounts, but reduces the refunds due to the respective tenants or managers who have provided HPT with these deposits upon expiration of the respective operating agreement. The security deposits are non-interest bearing and are not held in escrow. HPT had shortfalls at certain of its managed hotel portfolios not funded by the managers of these hotels under the terms of its management agreements of $15,981 and $44,634 for the three months and year ended December 31, 2018, respectively, which represent the unguaranteed portions of HPT's minimum returns from its Sonesta and Wyndham agreements. HPT had shortfalls at certain of its managed hotel portfolios not funded by the managers of these hotels under the terms of its management agreements of $10,522 and $26,804 for the three months and year ended December 31, 2017, respectively, which represents the unguaranteed portion of HPT's minimum returns from its Sonesta agreement. Certain of HPT's managed hotel portfolios had net operating results that were, in the aggregate, $2,918 more than the minimum returns due to HPT for the three months ended December 31, 2017 and $35,464 and $68,338 more than the minimum returns due to HPT for the years ended December 31, 2018 and 2017, respectively. The net operating results of HPT's managed hotel portfolios did not exceed the minimum returns due to HPT for the three months ended December 31, 2018. Certain of HPT's guarantees and its security deposits may be replenished by a share of future cash flows from the applicable hotel operations in excess of the minimum returns due to HPT pursuant to the terms of the respective agreements. When HPT's guarantees and security deposits are replenished by cash flows from hotel operations, HPT reflects such replenishments in its consolidated statements of income as an increase to hotel operating expenses. HPT had $10,743 and $25,419 of guaranty and security deposit replenishments for the years ended December 31, 2018 and 2017, respectively. There were no replenishments for either of the three months ended December 31, 2018 or 2017. | |
(2) | Rental income includes $3,150 and $3,170 for the three months ended December 31, 2018 and 2017, respectively, and $12,509 and $12,378 for the years ended December 31, 2018 and 2017, respectively, of adjustments necessary to record scheduled rent increases under certain of HPT's leases, the deferred rent obligations under HPT's travel center leases and the estimated future payments to HPT under its travel center leases for the cost of removing underground storage tanks on a straight line basis. Rental income also includes $3,695 and $2,106 in both the three months and years ended December 31, 2018 and 2017, respectively, of percentage rental income. | |
(3) | Various percentages of total sales at certain of HPT's hotels are escrowed as reserves for future renovations or refurbishment, or FF&E reserve escrows. HPT owns all the FF&E reserve escrows for its hotels. HPT reports deposits by its tenants into the escrow accounts under its hotel leases as FF&E reserve income. HPT does not report the amounts which are escrowed as FF&E reserves for its managed hotels as FF&E reserve income. | |
(4) | Incentive fees under HPT's business management agreement with The RMR Group LLC are payable after the end of each calendar year, are calculated based on common share total return, as defined, and are included in general and administrative expense in HPT's consolidated statements of income. In calculating net income (loss) in accordance with GAAP, HPT recognizes estimated business management incentive fee expense, if any, in the first, second and third quarters. Although HPT recognizes this expense, if any, in the first, second and third quarters for purposes of calculating net income (loss), HPT does not include these amounts in the calculation of Normalized FFO available for common shareholders or Adjusted EBITDA until the fourth quarter, which is when the business management incentive fee expense amount for the year, if any, is determined. General and administrative expense includes $53,635 of business management incentive fee expense for both the three months and year ended December 31, 2018 and $36,330 and $74,573 of business management incentive fee expense for the three months and year ended December 31, 2017, respectively. Business management incentive fees for 2018 and 2017 were paid in January 2019 and 2018, respectively. | |
(5) | HPT recorded a $9,348 gain on sale of real estate during the three months ended September 30, 2017 in connection with the sales of three hotels. | |
(6) | Unrealized losses on equity securities represent the adjustment required to adjust the carrying value of HPT's investments in The RMR Group Inc. and TA common shares to their fair value as of December 31, 2018 in accordance with new GAAP standards effective January 1, 2018. | |
(7) | HPT recorded a loss of $160 on early extinguishment of debt in the three months ended June 30, 2018 in connection with the amendment of its revolving credit facility and term loan. HPT recorded a loss of $146 on early extinguishment of debt in the three months ended December 31, 2017 in connection with the redemption of certain senior unsecured notes. | |
(8) | HPT realized a $5,431 tax benefit in the three months ended December 31, 2017 related to the enactment of the Tax Act. | |
(9) | In February 2017, HPT redeemed all 11,600,000 of its outstanding 7.125% Series D cumulative redeemable preferred shares at the stated liquidation preference of $25.00 per share plus accrued and unpaid distributions to the date of redemption (an aggregate of $291,435). The liquidation preference of the redeemed shares exceeded the carrying amount for the redeemed shares as of the date of redemption by $9,893, or $0.06 per share, and HPT reduced net income available to common shareholders in the three months ended March 31, 2017 by that excess amount. | |
(10) | HPT calculates FFO available for common shareholders and Normalized FFO available for common shareholders as shown above. FFO available for common shareholders is calculated on the basis defined by The National Association of Real Estate Investment Trusts, or Nareit, which is net income (loss) available for common shareholders, calculated in accordance with GAAP, excluding any gain or loss on sale of properties and loss on impairment of real estate assets, if any, plus real estate depreciation and amortization, as well as certain other adjustments currently not applicable to HPT. HPT's calculation of Normalized FFO available for common shareholders differs from Nareit's definition of FFO available for common shareholders because HPT includes business management incentive fees, if any, only in the fourth quarter versus the quarter when they are recognized as expense in accordance with GAAP due to their quarterly volatility not necessarily being indicative of HPT's core operating performance and the uncertainty as to whether any such business management incentive fees will be payable when all contingencies for determining such fees are known at the end of the calendar year, and HPT excludes the loss on early extinguishment of debt, excess of liquidation preference over carrying value of preferred shares redeemed, unrealized losses on equity securities and certain deferred tax benefits. HPT considers FFO available for common shareholders and Normalized FFO available for common shareholders to be appropriate supplemental measures of operating performance for a REIT, along with net income (loss) and net income (loss) available for common shareholders. HPT believes that FFO available for common shareholders and Normalized FFO available for common shareholders provide useful information to investors because by excluding the effects of certain historical amounts, such as depreciation expense, FFO available for common shareholders and Normalized FFO available for common shareholders may facilitate a comparison of HPT's operating performance between periods and with other REITs. FFO available for common shareholders and Normalized FFO available for common shareholders are among the factors considered by HPT's Board of Trustees when determining the amount of distributions to its shareholders. Other factors include, but are not limited to, requirements to maintain HPT's qualification for taxation as a REIT, limitations in its credit agreement and public debt covenants, the availability to HPT of debt and equity capital, HPT's expectation of its future capital requirements and operating performance and HPT's expected needs for and availability of cash to pay its obligations. FFO available for common shareholders and Normalized FFO available for common shareholders do not represent cash generated by operating activities in accordance with GAAP and should not be considered alternatives to net income (loss) or net income (loss) available for common shareholders as indicators of HPT's operating performance or as measures of HPT's liquidity. These measures should be considered in conjunction with net income (loss) and net income (loss) available for common shareholders as presented in HPT's consolidated statements of income. Other real estate companies and REITs may calculate FFO available for common shareholders and Normalized FFO available for common shareholders differently than HPT does. | |
(11) | HPT calculates EBITDA and Adjusted EBITDA as shown above. HPT considers EBITDA and Adjusted EBITDA to be appropriate supplemental measures of its operating performance, along with net income (loss) and net income (loss) available for common shareholders. HPT believes that EBITDA and Adjusted EBITDA provide useful information to investors because by excluding the effects of certain historical amounts, such as interest, depreciation and amortization expense, EBITDA and Adjusted EBITDA may facilitate a comparison of current operating performance with HPT's past operating performance. In calculating Adjusted EBITDA, HPT includes business management incentive fees only in the fourth quarter versus the quarter when they are recognized as expense in accordance with GAAP due to their quarterly volatility not necessarily being indicative of HPT's core operating performance and the uncertainty as to whether any such business management incentive fees will be payable when all contingencies for determining such fees are known at the end of the calendar year. EBITDA and Adjusted EBITDA do not represent cash generated by operating activities in accordance with GAAP and should not be considered alternatives to net income (loss) or net income (loss) available for common shareholders as indicators of operating performance or as measures of HPT's liquidity. These measures should be considered in conjunction with net income (loss) and net income (loss) available for common shareholders as presented in HPT's consolidated statements of income. Other real estate companies and REITs may calculate EBITDA and Adjusted EBITDA differently than HPT does. | |
(12) | Amounts represent the equity compensation for HPT's trustees, its officers and certain other employees of HPT's manager. | |
HOSPITALITY PROPERTIES TRUST |
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CONSOLIDATED BALANCE SHEETS |
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(amounts in thousands, except share data) |
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(Unaudited) |
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December 31, | December 31, | ||||||||||
2018 | 2017 | ||||||||||
ASSETS | |||||||||||
Real estate properties: | |||||||||||
Land | $ | 1,626,239 | $ | 1,668,797 | |||||||
Buildings, improvements and equipment | 7,896,734 | 7,758,862 | |||||||||
Total real estate properties, gross | 9,522,973 | 9,427,659 | |||||||||
Accumulated depreciation | (2,973,384 | ) | (2,784,478 | ) | |||||||
Total real estate properties, net | 6,549,589 | 6,643,181 | |||||||||
Cash and cash equivalents | 25,966 | 24,139 | |||||||||
Restricted cash | 50,037 | 73,357 | |||||||||
Due from related persons | 91,212 | 78,513 | |||||||||
Other assets, net | 460,275 | 331,195 | |||||||||
Total assets | $ | 7,177,079 | $ | 7,150,385 | |||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||
Unsecured revolving credit facility | $ | 177,000 | $ | 398,000 | |||||||
Unsecured term loan, net | 397,292 | 399,086 | |||||||||
Senior unsecured notes, net | 3,598,295 | 3,203,962 | |||||||||
Security deposits | 132,816 | 126,078 | |||||||||
Accounts payable and other liabilities | 211,332 | 184,788 | |||||||||
Due to related persons | 62,913 | 83,049 | |||||||||
Total liabilities | 4,579,648 | 4,394,963 | |||||||||
Commitments and contingencies | |||||||||||
Shareholders' equity: | |||||||||||
Common shares of beneficial interest, $.01 par value; 200,000,000 shares authorized; 164,441,709 and 164,349,141 shares issued and outstanding, respectively | 1,644 | 1,643 | |||||||||
Additional paid in capital | 4,545,481 | 4,542,307 | |||||||||
Cumulative net income | 3,575,307 | 3,310,017 | |||||||||
Cumulative other comprehensive income (loss) | (266 | ) | 79,358 | ||||||||
Cumulative preferred distributions | (343,412 | ) | (343,412 | ) | |||||||
Cumulative common distributions | (5,181,323 | ) | (4,834,491 | ) | |||||||
Total shareholders' equity | 2,597,431 | 2,755,422 | |||||||||
Total liabilities and shareholders' equity | $ | 7,177,079 | $ | 7,150,385 | |||||||
A Maryland Real Estate Investment Trust with transferable shares of beneficial interest listed on the Nasdaq.No shareholder, Trustee or officer is personally liable for any act or obligation of the Trust.
View source version on businesswire.com: https://www.businesswire.com/news/home/20190227005189/en/