Royal Host Inc. Reports Earnings Results for the First Quarter Ended March 31, 2013
May 13 13
Royal Host Inc. reported earnings results for the first quarter ended March 31, 2013. For the quarter, the company’s hospitality revenue was $16,911,000 compared to $17,408,000 a year ago. Net loss was $562,000 compared to $2,145,000 a year ago. Basic and diluted loss per share was $0.03 compared to $0.12 a year ago. Basic negative FFO per Share was $0.02 compared to $0.02 a year ago.
Royal Host Inc. Announces Departure of Michael Bobbitt, Chief Operating Officer, Effective from April 19, 2013
Apr 19 13
Royal Host Inc. announced the departure of Michael Bobbitt, Chief Operating Officer, effective from April 19, 2013.
Royal Host Inc. Reports Earnings and Operating Results for the Fourth Quarter and Year Ended December 31, 2012; Provides Operational Guidance for the Year 2013; Announces Board Changes
Mar 28 13
Royal Host Inc. reported earnings and operating results for the fourth quarter and year ended December 31, 2012. For the quarter, the company reported hospitality revenue of $18.500 million against $19.552 million a year ago. Net income was $4.143 million against $0.415 million a year ago. Diluted income per share was $0.24 against diluted loss per share of $0.11 a year ago. FFO was $0.340 million or $0.02 per basic share against FFO of $4.454 million or $0.25 per basic share a year ago.
For the year, the company reported hospitality revenue of $76.214 million against $88.867 million a year ago. Net loss was $8.403 million against $0.029 million a year ago. Diluted loss per share was $0.47 against $0.00 a year ago. FFO was $3.135 million or $0.18 per basic share against FFO of $7.625 million or $0.43 per basic share a year ago. Adjusted funds from operations declined $3,973 to $168 from $4,141 in 2011. The company invested $8,482 in capital improvements at its hotels compared to $3,218 in 2011, completing repositionings of three of its four hotels in Atlantic Canada and Achieved an increase in cash flow from operations of $2,222 to $3,155 from $933 in 2011 primarily as a result of decreased interest and corporate administration costs.
For the quarter, the company's comparable full service hotels experienced a 4.1% decline in RevPAR from $59.76 in the three months ended December 31, 2011 to $57.30 for the same period in 2012. This decline in RevPAR was due to a slight decline in occupancy from 56.4% to 56.1%, a relative decrease of 0.5 percentage points and a more significant decline in ADR from $105.89 to $102.23 or 3.5%. In order for these full service properties to compete in markets with significant downward pressure on occupancy, rates were lowered in the fourth quarter. Declines in RevPAR were experienced at six of the nine comparable full service properties. There was a significant decrease in RevPAR for the company's comparable select service hotels of 8.0%, to $36.87 for the three months ended December 31, 2012 from $40.09 for the same period in 2011. Occupancy declined from 49.9% to 45.2%, with its impact being tempered by an improvement in ADR from $80.37 to $81.53. Several hotels experienced significant declines due to local market and demand conditions and the hotels with positive performance did not achieve results significant enough to offset the declines.
For the year, the company's comparable full service hotels maintained the level of RevPAR achieved in 2011 increasing by only 0.1%, to $62.56 for the year ended December 31, 2012 compared to $62.50 for the same period in 2011. This consistency in RevPAR was due to an increase in occupancy from 60.1% for the year ended December 31, 2011 to 61.4% in 2012, a relative increase of 2.2%, tempered by a decline in ADR from $103.99 to $101.95 or 2.0%. The improvement in RevPAR that was achieved at the company's comparable full service properties was across five of the nine hotels. There was a decrease in RevPAR for the company's comparable select service hotels of 3.7%, to $41.25 for the year
nded December 31, 2012 from $42.82 in 2011. Occupancy declined from 52.2% to 49.8%, with its impact being empered by a slight improvement in ADR from $82.06 to $82.91. The performance of the company's select service properties was mixed for the year ending December 31, 2012, with six of the thirteen comparable properties generating an ncrease in RevPAR.
The company expects to achieve RevPAR growth at the company's comparable hotels in 2013. The company also expects the comparable hotel RevPAR growth at the full service hotels to continue to exceed the comparable hotel RevPAR growth at the company's select service hotels.
The Board of Directors of the company has accepted the resignations of directors Scott McCrea and Alvin Poettcker. The Board of Directors of the company announced the appointment of Michael Rapps as Chairman of the company's Board of Directors. Michael Rapps is Vice President Investments for Clarke Inc. and Managing Director of Geosam Capital Inc. Prior to joining Geosam, Mr. Rapps practiced law at Davies Ward Phillips & Vineberg LLP. Mr. Rapps serves on the Board of Holloway Lodging REIT.