Financial Performance - Net loss attributable to common stockholders was $0.8 million, or $0.01 per diluted share[24], compared to a $3.1 million loss, or $0.05 per diluted share, in the prior year period[24] - Funds from operations (FFO) attributable to common stockholders and noncontrolling interest was $14.3 million, or $0.20 per share and unit[24], compared to $13.9 million, or $0.20 per share and unit, in the prior year period[24] - Adjusted funds from operations (AFFO) attributable to common stockholders and noncontrolling interest was $16.6 million, or $0.23 per share and unit[24], compared to $15.7 million, or $0.22 per share and unit, in the prior year period[24] - The company reaffirms its full year 2025 AFFO per share and unit guidance of $0.89 to $0.93[24] Portfolio and Investment Activities - Gross investment in real estate totaled $1.5 billion[9, 30] with 193 buildings across 35 states[9] - The company completed acquisitions of medical properties for an aggregate purchase price of $38.1 million with annualized base rent of $3.6 million in April 2025[24] - The company sold a medical facility in Chipley, Florida for gross proceeds of $1.4 million, resulting in a gain of $0.2 million[24] - Total annualized base rent (ABR) for the portfolio is $117.5 million[30] with a weighted average cap rate of 8.0%[9, 30] and leased occupancy of 94.5%[9, 30] Debt and Capitalization - The company's leverage was 47.2% as of June 30, 2025[24], and Net Debt / Annualized Adjusted EBITDAre was 6.8x for the second quarter of 2025[24] - As of August 4, 2025, the company's borrowing capacity under the credit facility was $177 million[24]

Core Insights - Host Hotels & Resorts, Inc. reported a strong operational performance with a 4.2% growth in comparable hotel Total RevPAR and a 3.0% increase in comparable hotel RevPAR for Q2 2025, leading to an increase in full-year guidance [1][5][12] - The company completed the sale of The Westin Cincinnati for $60 million, which is part of its ongoing portfolio management strategy [1][5] - The company has repurchased $105 million of common stock and continues to maintain a robust balance sheet with total assets of $13.0 billion and a debt balance of $5.1 billion [5][6][7] Financial Performance - Total revenues for Q2 2025 reached $1,586 million, an 8.2% increase from $1,466 million in Q2 2024, while year-to-date revenues were $3,180 million, up 8.3% from $2,937 million [3][5] - Net income for Q2 2025 was $225 million, a decrease of 7.0% compared to $242 million in Q2 2024, with year-to-date net income at $476 million, down 7.4% from $514 million [3][5] - Adjusted EBITDAre for Q2 2025 was $496 million, a 3.1% increase from $481 million in Q2 2024, and year-to-date Adjusted EBITDAre was $1,010 million, exceeding 2024 by 4.1% [3][5] Operational Highlights - Comparable hotel Total RevPAR for Q2 2025 was $400.91, reflecting a 4.2% increase year-over-year, driven by strong transient demand and improvements in food & beverage revenues [5][10] - Comparable hotel RevPAR for Q2 2025 was $239.64, up 3.0% from the previous year, primarily due to higher room rates and recovering leisure demand in Maui [5][10] - The company anticipates a decline in operating profit margin and comparable hotel EBITDA margin due to rising wage costs and reduced business interruption proceeds compared to 2024 [12][13] Guidance and Outlook - The company has raised its 2025 guidance for comparable hotel RevPAR growth to a range of 1.5% to 2.5% and Total RevPAR growth to 2.0% to 3.0% over 2024 [1][12] - The guidance reflects expected year-over-year RevPAR decline in Q3 2025, with moderate growth anticipated in Q4 2025 [12][13] - The company estimates that for every 100-basis point change in RevPAR, there would be an expected $32 million to $37 million change in both net income and Adjusted EBITDAre [12][13] Capital Expenditures - Year-to-date capital expenditures through Q2 2025 totaled $298 million, with a full-year forecast ranging from $590 million to $660 million [11] - The company plans to invest in ROI projects and renewals and replacements, with a focus on the Hyatt Transformational Capital Program [11]

Portfolio Overview - The company's portfolio consists of 600 buildings across 41 states, totaling 1183 million square feet[9] - The total portfolio occupancy is 963%, with the operating portfolio at 970%[9] - The weighted average lease term is 42 years, with a weighted average rent of $579 per square foot[9] Financial Performance - For the three months ended June 30, 2025, rental income was $207438 thousand, compared to $186467 thousand for the same period in 2024[16] - Net income for the three months ended June 30, 2025, was $51063 thousand, compared to $61074 thousand for the same period in 2024[19] - Same Store Cash NOI increased by 30% to $145266 thousand for the three months ended June 30, 2025, compared to $140984 thousand for the same period in 2024[40] - Core FFO per share/unit - basic is $063 for the three months ended June 30, 2025, compared to $061 for the same period in 2024[22] Capital Structure and Debt - Net Debt to Annualized Run Rate Adjusted EBITDAre ratio is 51x[9] - Liquidity stands at $9612 million[53] - The company's unsecured credit facility has a committed balance of $10000 million, with a principal balance of $510 million and a Term SOFR + 0775% interest rate[56] Acquisitions and Dispositions - In the second quarter of 2025, the company acquired one property in Chicago, IL, with 183200 square feet for $18399 thousand, with a cash capitalization rate of 71%[27] - Disposed of one property in Calhoun, GA, with 151200 square feet for gross proceeds of $9100 thousand in the second quarter of 2025[33]

Core Viewpoint - Ryman Hospitality Properties, Inc. has announced a definitive agreement to acquire the JW Marriott Phoenix Desert Ridge Resort & Spa for $865 million, which is expected to enhance long-term customer and shareholder value [1][2]. Acquisition Details - The acquisition price of $865 million represents a 12.7x Adjusted EBITDAre multiple based on the property's 2024 results [1]. - The acquisition is anticipated to be accretive to Adjusted FFO per fully diluted share for the year 2026 [1]. - The transaction is expected to close in the second or third quarter of 2025, subject to customary closing conditions [4]. Property Overview - JW Marriott Desert Ridge is situated on approximately 402 acres and features 950 guest rooms, including 81 suites, and around 243,000 square feet of meeting and event space [3]. - The resort includes amenities such as a 28,000-square-foot spa, seven dining options, a large water amenity, and two golf courses [3]. - The property has recently undergone nearly $100 million in capital investments, enhancing its facilities and guest experience [3]. Market Context - Phoenix is a top 10 meetings market in North America, with strong leisure demand and no new competitive supply under development [4]. - The city is served by Phoenix-Sky Harbor Airport, which is the 14th busiest in the U.S. and has plans for further expansion [4]. Strategic Fit - The acquisition aligns with the company's strategy to expand its portfolio of group-focused assets and is expected to create operating synergies with existing properties [2][3]. - The company has expressed confidence in the strength of forward bookings and the durability of its group business model, citing previous successful acquisitions [2].

Quarterly Investor Presentation REAL ESTATE PARTNER TO THE WORLD'S LEADING COMPANIES® May 2025 Safe Harbor For Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act of 1934, as amended. When used in this presentation, the words "estimated," "anticipated," "expect," "believe," "intend," "continue," "should," "may," "l ...

Company Highlights - Realty Income Corporation reported total revenue of $1,380.5 million for the three months ended March 31, 2025, an increase from $1,260.5 million in the same period of 2024, representing a growth of 9.5% [3] - Net income available to common stockholders was $249.8 million, or $0.28 per share, compared to $129.7 million, or $0.16 per share, in the prior year, indicating a significant increase of 92.7% [3][10] - Funds from operations (FFO) available to common stockholders reached $937.7 million, up from $785.7 million year-over-year, with FFO per share increasing to $1.05 from $0.94 [3][10] Dividend Information - The company announced its 110th consecutive quarterly dividend increase, with an annualized dividend amount of $3.222 per share as of March 31, 2025 [6] - Monthly dividends paid per share increased by 3.4% to $0.796 compared to $0.770 in the same period of 2024, representing 75.1% of diluted AFFO per share of $1.06 [6] Real Estate Portfolio - As of March 31, 2025, Realty Income owned or held interests in 15,627 properties leased to 1,598 clients across 91 industries, with a portfolio occupancy rate of 98.5% [7] - The weighted average remaining lease term for the portfolio was approximately 9.1 years, indicating stability in rental income [7] Investment Activity - The company invested $1.4 billion in real estate during the first quarter of 2025, achieving an initial weighted average cash yield of 7.5% [10] - A total of 50 properties were acquired, with 34 in the U.S. and 16 in Europe, contributing to a diversified investment strategy [11] Financial Metrics - Adjusted funds from operations (AFFO) available to common stockholders was $949.7 million, with AFFO per share increasing to $1.06 from $1.03 year-over-year [3][10] - The net debt to annualized pro forma adjusted EBITDA ratio was reported at 5.4x, indicating a manageable level of leverage [10][38] Earnings Guidance - The revised earnings guidance for 2025 estimates net income per share to be between $1.40 and $1.46, with AFFO per share projected between $4.22 and $4.28 [21][22]

Financial Data and Key Metrics Changes - For Q1 2025, the company reported net income of $15.6 million, adjusted EBITDAre of $72.9 million, and adjusted FFO per share of $0.51, reflecting nearly 12% growth in adjusted EBITDAre and nearly 16% growth in adjusted FFO per share compared to Q1 2024 [6][14][32] - RevPAR grew by 6.3% year-over-year, with same property RevPAR for the 31 hotel portfolio at $188.73, occupancy increasing by 80 basis points, and ADR increasing by 3.6% [6][19][24] Business Line Data and Key Metrics Changes - The Grand Hyatt Scottsdale's RevPAR grew approximately 60% in Q1 2025 compared to the same quarter last year, driven by a transformative renovation and strong group production [10][23] - Group room nights were up 6.6% with ADR up 4.1%, and business from the largest corporate accounts grew approximately 15% compared to Q1 2024 [21][36] Market Data and Key Metrics Changes - Hotels in Washington DC and New Orleans benefited from significant events, contributing to RevPAR growth, while the Houston market was softer due to winter storms [8][20] - The company’s same property portfolio grew RevPAR by approximately 3.4% in April 2025 compared to the previous year, despite the negative impact of Easter timing [14][32] Company Strategy and Development Direction - The company completed two significant transactions, acquiring land in Santa Clara for $25 million and selling Fairmont Dallas for $111 million, reflecting prudent capital allocation [11][12] - The company plans to reduce capital expenditures to between $75 million and $85 million for the year, a reduction of $25 million compared to previous guidance, in response to macroeconomic uncertainties [16][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the portfolio's resilience despite macroeconomic uncertainties, noting that all hotels are in luxury and upper upscale segments, which may be more resilient [17][39] - The company expects RevPAR growth to be driven more by occupancy than rate this year, with strong non-rooms revenue growth anticipated [33][39] Other Important Information - The company increased its quarterly dividend by 17% and repurchased 2.7% of its outstanding shares during Q1 2025 [18][31] - The balance sheet remains strong, with a leverage ratio of 5.4 times trailing twelve months net debt to EBITDA, and no significant debt maturities until late 2028 [30][31] Q&A Session Summary Question: Have group booking trends evolved in response to the current uncertainty? - Management noted that group booking activity remains healthy with no uptick in cancellations or attrition, indicating a positive outlook for group production [42][43] Question: Have you seen any meaningful impact from lower international inbound travel? - Management indicated limited impact from lower international visitation, as the portfolio is not heavily dependent on international travel [44][45] Question: Can you provide background on the Santa Clara acquisition process? - The acquisition was a unique opportunity from the city of Santa Clara, aimed at eliminating future rent escalation risks and increasing asset value [49][50][52] Question: What is the plan for deferred CapEx projects? - Management stated that they will continually evaluate deferred projects and may consider executing them in 2026, depending on macroeconomic conditions and tariff impacts [54][73] Question: What trends are seen in leisure business? - Management observed varied performance in leisure business across properties, with a slight decline expected in RevPAR at leisure assets overall [61][65]

Financial Data and Key Metrics Changes - Adjusted EBITDAre for the first quarter was $514 million, a 5.1% increase year-over-year, while adjusted FFO per share was $0.64, up 4.9% from last year [6] - Comparable hotel total RevPAR improved by 5.8% compared to the previous year, with a 7% increase driven by strong rate growth [6][7] - Comparable hotel EBITDA margin improved by 30 basis points year-over-year to 31.8% as revenue growth outpaced expenses [6][27] Business Line Data and Key Metrics Changes - Transient RevPAR grew by 6%, particularly strong in resorts due to a late Easter, with Maui's transient rooms sold up approximately 70% year-over-year [8][9] - Group RevPAR increased by 7% year-over-year, driven by special events and strong corporate group bookings [10][25] - Food and beverage RevPAR grew by 5%, with solid growth in both banquet and outlet revenues [11][20] Market Data and Key Metrics Changes - Strong performance noted in Washington DC, New York, New Orleans, Los Angeles, and Maui, with Maui showing a 16% RevPAR growth [9][10] - Business transient RevPAR was up 2%, driven by rate growth, while group room nights were down slightly compared to the previous year [10][25] - Total group revenue pace increased by 3.3% compared to the same time last year [10][26] Company Strategy and Development Direction - The company is focused on capital allocation, including share repurchases and property renovations, with $585 million remaining under the share repurchase program [14][15] - Continued investment in portfolio reinvestment, with comprehensive renovations completed at several properties [14][16] - The company maintains a cautious outlook for 2025, with guidance reflecting potential economic uncertainties [18][28] Management's Comments on Operating Environment and Future Outlook - Management remains cautious due to heightened macroeconomic uncertainty, maintaining comparable hotel RevPAR guidance with slight reductions to total RevPAR [18][28] - The company is well-positioned to weather economic fluctuations, supported by a strong balance sheet and diversified portfolio [19][31] - Future guidance includes expectations for a $32 million to $37 million change in adjusted EBITDAre for every 100 basis point change in RevPAR [29][30] Other Important Information - The company expects to complete the mid-rise condominium building at the Four Seasons Resort Orlando by the fourth quarter of this year [15] - Total property damage and remediation costs at the Don Cesar are estimated between $100 million and $110 million, with $10 million collected in business interruption proceeds [13][30] - The company has a weighted average maturity of five years at a 4.7% interest rate, with $2.2 billion in total available liquidity [31] Q&A Session Summary Question: Recent trends in April from a demand standpoint - Management noted that top markets are performing well, with international inbound travel affecting only a small portion of total room nights [36] Question: Outlook for Maui for the remainder of the year - Maui's EBITDA projection has improved, with expectations for continued improvement throughout the year [46] Question: Opportunities for acquisitions in the current market - Management expressed uncertainty about the transaction market but remains opportunistic in capital deployment [51][54] Question: Consumer environment and off-peak periods - No significant changes in trends were observed, with consistent performance across weekdays and weekends [64] Question: CapEx budget risks due to tariffs - Management is maintaining CapEx guidance and does not anticipate significant impacts from tariffs at this time [72][73] Question: Impact of administration policies on labor supply - No pressure on labor supply has been observed, with a strong recovery in staffing levels post-COVID [85][86] Question: Performance of the Rich Carlton, Turtle Bay - Turtle Bay's RevPAR was up 13% in the quarter, with positive performance expected [100]

Core Insights - The company reported a 1.5% increase in same-store RevPAR for Q1 2025, indicating effective expense management despite low revenue growth [1][5] - A $275 million term loan was secured to refinance convertible notes maturing in February 2026, eliminating debt maturity risk until 2027 [1][13] - The Board of Directors authorized a $50 million share repurchase program to return capital to shareholders [2][12] Financial Performance - The net loss attributable to common stockholders was $4.7 million, or $0.04 per diluted share, compared to a net loss of $2.1 million, or $0.02 per diluted share in Q1 2024 [4][28] - Total revenues decreased to $184.5 million from $188.1 million year-over-year [4][35] - Adjusted EBITDAre fell to $45.0 million from $48.8 million in the same period last year [5][33] Operational Metrics - Pro forma RevPAR increased by 0.9% to $124.99, with pro forma ADR rising by 0.8% to $173.06 and occupancy increasing by 0.1% to 72.2% [5][44] - Same-store RevPAR grew by 1.5% to $126.26, with same-store ADR up by 0.7% to $174.03 and occupancy increasing by 0.8% to 72.5% [5][44] - Hotel EBITDA margin contracted to 35.6%, down from 36.0% in the prior year [4][5] Capital Structure and Liquidity - The company has outstanding debt of $1.1 billion with a weighted average interest rate of 4.63%, and 71% of this debt is at a fixed rate [16] - Total liquidity available is approximately $310 million, including unrestricted cash and cash equivalents [16] - The average length to maturity of the company's debt will increase to nearly four years following the refinancing [15] Market Outlook - Despite near-term softness in lodging demand due to macroeconomic volatility, the company remains confident in long-term fundamentals and expects a multi-year growth cycle in the lodging industry [2][18] - Capital expenditure expectations for 2025 have been reduced to $60 million to $70 million [18]

Financial Data and Key Metrics Changes - Cash basis NOI grew by nearly 2% year over year, while normalized FFO increased 43% year over year and 52% sequentially [7][15] - NOI for the quarter was reported at $87,500,000, with cash basis NOI at $83,800,000 and adjusted EBITDAre at $85,300,000, all showing increases year over year and sequentially [16] - Interest expense decreased to $69,800,000, reflecting a reduction in interest rate cap costs [16] Business Line Data and Key Metrics Changes - The company executed over 2,300,000 square feet of total leasing activity with an occupancy rate of 94.6%, reflecting a sequential increase of 20 basis points [7] - The Mainland properties accounted for nearly 80% of renewal activity, with significant leases signed with major tenants [11] - In Hawaii, 492,000 square feet of renewals were signed at rental rates 18.2% higher than prior rents [9] Market Data and Key Metrics Changes - The company is monitoring the evolving landscape surrounding global tariffs, which may impact tenant demand and the overall leasing environment [10] - The leasing pipeline includes 32 deals for more than 7,400,000 square feet, with anticipated roll-ups in rent of 20% on the Mainland and 30% in Hawaii [13] Company Strategy and Development Direction - The company aims to maximize mark-to-market growth opportunities, maintain strong tenant retention, and lease vacancies, particularly in undeveloped land parcels [10] - There is a focus on evaluating opportunities to improve the balance sheet and reduce leverage, potentially through refinancing existing debt and strategic property dispositions [10][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the portfolio's ability to withstand short-term volatility due to its high-quality assets and diversified tenant roster [10] - The company anticipates that tariffs may positively impact tenant demand, leading to higher tenant retention in the short term [38] Other Important Information - The company reported a strong start to the year with solid financial performance and steady demand for industrial real estate [17] - The company has no debt maturities until 2027, with all debt currently carried at fixed rates [17] Q&A Session Summary Question: Details on bad debt recovery impact - The financial impact from bad debt recovery in the first quarter was around $750,000, which is reflected in revenues [20][21] Question: Insights on leasing timelines - Leasing timelines have elongated, with tenants looking to start renewal processes earlier due to more stakeholders involved in lease decisions [22][23] Question: Status of notable vacancies in Hawaii and Indianapolis - Activity has been seen for the Hawaii property, with proposals out, while the Indianapolis property is actively being marketed with proposals but no finalized leases yet [24][26] Question: Motivation for leverage reduction and property sales - The company is evaluating unsolicited offers for properties, particularly from owner-users, which may lead to higher valuations [28][30] Question: Impact of tariffs on tenant decisions - Tariffs are anticipated to be beneficial for tenant demand, with some tenants opting to stay in place rather than relocate due to concerns about construction costs [37][38] Question: Exposure of Hawaii portfolio to inbound travel - The portfolio's exposure to inbound travel is minimal, as tenants generally serve the local economy rather than relying on tourism [39]