Ryman Hospitality Properties, Inc. Reports Second Quarter 2018 Results
- RevPAR Increased 8.0%, Total RevPAR Increased 8.8% Compared to Second Quarter 2017
- Net Income Increased 17.5% to
$55.5 Million in Second Quarter 2018 - Consolidated Adjusted EBITDA Increased 15.4% to
$113.7 Million in Second Quarter 2018 - Gross Room Nights Bookings for All Future Years increased 18.0%, Achieving Highest Second Quarter Booking Production in Company History
- Updates Full Year Guidance
The first six months of 2018 will go in the record books as the strongest bookings results for the first half of any year in our Company’s history. In addition, Gaylord Rockies bookings were strong in the second quarter of 2018, with double the second quarter bookings production in 2017. The group segment continues to perform well, and we remain enthusiastic about the group demand we are seeing for future years, which gives us confidence in the capital investment projects we anticipate coming online later this year and the additional capital investments we have outlined for the next few years.”
Second Quarter and Year-to-Date 2018 Results (As Compared to Second Quarter and Year-to-Date 2017) Included the Following:
Consolidated Results
($ in thousands, except per share amounts)
Consolidated Results | |||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||
June 30, | June 30, | ||||||||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||||||||
Total Revenue | $333,934 | $298,778 | 11.8% | $622,304 | $574,820 | 8.3% | |||||||
Operating Income | $76,699 | $64,644 | 18.6% | $122,643 | $111,619 | 9.9% | |||||||
Operating Income Margin | 23.0% | 21.6% | 1.4pt | 19.7% | 19.4% | 0.3pt | |||||||
Net Income | $55,546 | $47,292 | 17.5% | $82,885 | $79,912 | 3.7% | |||||||
Net Income Margin | 16.6% | 15.8% | 0.8pt | 13.3% | 13.9% | -0.6pt | |||||||
Net Income per diluted share | $1.08 | $0.92 | 17.4% | $1.61 | $1.56 | 3.2% | |||||||
Adjusted EBITDA | $113,689 | $98,488 | 15.4% | $195,416 | $179,049 | 9.1% | |||||||
Adjusted EBITDA Margin | 34.0% | 33.0% | 1.0pt | 31.4% | 31.1% | 0.3pt | |||||||
Funds From Operations (FFO) | $85,509 | $74,989 | 14.0% | $141,901 | $135,264 | 4.9% | |||||||
FFO per diluted share | $1.66 | $1.46 | 13.7% | $2.76 | $2.64 | 4.5% | |||||||
Adjusted FFO | $92,761 | $79,775 | 16.3% | $153,648 | $142,528 | 7.8% | |||||||
Adjusted FFO per diluted share | $1.80 | $1.55 | 16.1% | $2.99 | $2.78 | 7.6% | |||||||
For the Company’s definitions of Operating Income Margin, Net Income Margin, Adjusted EBITDA, Adjusted EBITDA Margin, FFO, and Adjusted FFO, as well as a reconciliation of the non-GAAP financial measure Adjusted EBITDA to Net Income and a reconciliation of the non-GAAP financial measure Adjusted FFO to Net Income, see “Calculation of GAAP Margin Figures,” “Non-GAAP Financial Measures,” “Adjusted EBITDA Definition,” “Adjusted EBITDA Margin Definition,” “Adjusted FFO Definition” and “Supplemental Financial Results” below.
Operating Results
Hospitality Segment
For the three months and six months ended
($ in thousands, except for ADR, RevPAR and Total RevPAR)
Hospitality Segment Results | |||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||
June 30, | June 30, | ||||||||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||||||||
Hospitality Revenue | $291,756 | $263,373 | 10.8% | $556,867 | $517,527 | 7.6% | |||||||
Hospitality Operating Income | $76,149 | $61,295 | 24.2% | $129,648 | $113,262 | 14.5% | |||||||
Hospitality Operating Income Margin | 26.1% | 23.3% | 2.8pt | 23.3% | 21.9% | 1.4pt | |||||||
Hospitality Adjusted EBITDA | $107,841 | $91,373 | 18.0% | $192,936 | $172,949 | 11.6% | |||||||
Hospitality Adjusted EBITDA Margin | 37.0% | 34.7% | 2.3pt | 34.6% | 33.4% | 1.2pt | |||||||
Hospitality Performance Metrics | |||||||||||||
Occupancy | 79.0% | 76.7% | 2.3pt | 76.4% | 74.7% | 1.7pt | |||||||
Average Daily Rate (ADR) | $200.16 | $191.00 | 4.8% | $197.72 | $190.68 | 3.7% | |||||||
RevPAR | $158.13 | $146.42 | 8.0% | $151.11 | $142.37 | 6.1% | |||||||
Total RevPAR | $378.94 | $348.45 | 8.8% | $366.97 | $344.24 | 6.6% | |||||||
Gross Definite Rooms Nights Booked | 644,472 | 546,208 | 18.0% | 1,116,208 | 1,028,001 | 8.6% | |||||||
Net Definite Rooms Nights Booked | 500,653 | 309,065 | 62.0% | 845,293 | 696,789 | 21.3% | |||||||
Group Attrition (as % of contracted block) | 15.6% | 14.4% | 1.2pt | 14.5% | 12.9% | 1.6pt | |||||||
Cancellations ITYFTY (1) | 6,280 | 12,544 | -49.9% | 21,365 | 32,723 | -34.7% | |||||||
(1) "ITYFTY" represents In The Year For The Year. |
For the Company’s definitions of
- Hospitality Segment: Total revenue increased 10.8 percent to
$291.8 million in second quarter 2018 compared to second quarter 2017. RevPAR increased 8.0 percent to$158.13 in second quarter 2018 compared to second quarter 2017, driven primarily by growth in Average Daily Rate (“ADR”) accompanied by strong occupancy performance in the second quarter of 2018. Each of our hotels turned in solid performances during the second quarter and achieved quarter-over-quarter growth in almost every important metric, led by a particularly strong performance at Gaylord Opryland. On a portfolio basis, association room nights increased 17.4 percent, which was a primary driver of a solid 2.3-point increase in occupancy compared to the second quarter of 2017. Rate growth in corporate and transient primarily led to a strong 4.8 percent growth in ADR. The Easter holiday had an estimated 270 basis point favorable impact to RevPAR in the second quarter 2018 as compared to second quarter of 2017. Total RevPAR increased 8.8 percent to$378.94 in the second quarter of 2018 compared to second quarter 2017, led by the improvement in RevPAR coupled with a 9.8 percent increase in outside the room spending for food and beverage. Hospitality segment operating income for the quarter was$76.1 million , an increase of 24.2 percent over second quarter 2017. Higher attrition and cancellation fee collections aided this performance and helped to partially offset higher incentive management fees, as well as increases in sales and marketing expenses. Hospitality Adjusted EBITDA increased 18.0 percent to$107.8 million in second quarter 2018, compared to second quarter 2017.
($ in thousands, except for ADR, RevPAR and Total RevPAR)
Gaylord Opryland | Three Months Ended | Six Months Ended | |||||||||||||
June 30, | June 30, | ||||||||||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||||||||||
Revenue | $94,915 | $80,260 | 18.3% | $177,660 | $155,222 | 14.5% | |||||||||
Operating Income | $28,930 | $20,630 | 40.2% | $48,725 | $36,107 | 34.9% | |||||||||
Operating Income Margin | 30.5% | 25.7% | 4.8pt | 27.4% | 23.3% | 4.1pt | |||||||||
Adjusted EBITDA | $37,798 | $29,150 | 29.7% | $66,350 | $52,889 | 25.5% | |||||||||
Adjusted EBITDA Margin | 39.8% | 36.3% | 3.5pt | 37.3% | 34.1% | 3.2pt | |||||||||
Occupancy | 81.4% | 72.8% | 8.6pt | 76.9% | 70.6% | 6.3pt | |||||||||
Average daily rate (ADR) | $193.54 | $180.11 | 7.5% | $192.07 | $178.76 | 7.4% | |||||||||
RevPAR | $157.55 | $131.07 | 20.2% | $147.62 | $126.16 | 17.0% | |||||||||
Total RevPAR | $361.16 | $305.40 | 18.3% | $339.87 | $296.95 | 14.5% |
- Gaylord Opryland: Total revenue increased 18.3 percent to
$94.9 million in second quarter 2018 compared to second quarter 2017, driven by strong overall performance, including occupancy over 81 percent, solid rate growth and strong outside the room spending. Occupancy increased 8.6 percentage points in the second quarter of 2018 compared to the second quarter of 2017, aided by the return to service of approximately 18,800 room nights that were out of service during the second quarter of 2017 due to a scheduled rooms renovation project. Corporate room nights increased 21.9 percent in the quarter, which helped drive both room rate and banquets performance in the second quarter of 2018. RevPAR increased 20.2 percent to$157.55 in second quarter 2018 compared to second quarter 2017, driven by the increase in occupancy and a 7.5 percent increase in ADR as compared to second quarter 2017. Transient and corporate ADR increased by 10.2 percent and 6.4 percent, respectively, in the second quarter of 2018 compared to the second quarter of 2017, while association ADR was up 6.5 percent. This performance resulted in overall ADR increasing by$13.43 for the second quarter of 2018 compared to the second quarter of 2017. Total RevPAR increased 18.3 percent to$361.16 in the second quarter of 2018 compared to second quarter 2017, driven by strong performance across the board. Operating income increased by 40.2 percent to$28.9 million compared to second quarter 2017, and Adjusted EBITDA increased by 29.7 percent to$37.8 million compared to second quarter 2017, both supported by strong flow-through in all revenue categories. SoundWaves remains on target to open in earlyDecember 2018 , and this premium ticketed amenity is part of our marketing materials for the upcoming Christmas holiday season.
($ in thousands, except for ADR, RevPAR and Total RevPAR)
Gaylord Palms | Three Months Ended | Six Months Ended | |||||||||||||
June 30, | June 30, | ||||||||||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||||||||||
Revenue | $50,274 | $48,184 | 4.3% | $108,170 | $102,381 | 5.7% | |||||||||
Operating Income | $10,376 | $9,387 | 10.5% | $26,624 | $22,500 | 18.3% | |||||||||
Operating Income Margin | 20.6% | 19.5% | 1.1pt | 24.6% | 22.0% | 2.6pt | |||||||||
Adjusted EBITDA | $16,422 | $15,426 | 6.5% | $38,707 | $34,614 | 11.8% | |||||||||
Adjusted EBITDA Margin | 32.7% | 32.0% | 0.7pt | 35.8% | 33.8% | 2.0pt | |||||||||
Occupancy | 80.8% | 80.3% | 0.5pt | 81.5% | 80.1% | 1.4pt | |||||||||
Average daily rate (ADR) | $188.15 | $181.68 | 3.6% | $199.48 | $194.21 | 2.7% | |||||||||
RevPAR | $152.01 | $145.91 | 4.2% | $162.67 | $155.52 | 4.6% | |||||||||
Total RevPAR | $390.16 | $373.94 | 4.3% | $422.05 | $399.47 | 5.7% |
Gaylord Palms : Total revenue increased 4.3 percent to$50.3 million in second quarter 2018 compared to second quarter 2017, driven by 3.6 percent ADR growth and solid food and beverage results against a strong comparison period in second quarter 2017. Corporate and transient ADR increased by 16.9 percent and 11.7 percent, respectively, in the second quarter of 2018, helping to drive RevPAR and Total RevPAR increases in the quarter of 4.2 percent and 4.3 percent, respectively, compared to the second quarter of 2017. Operating income and Adjusted EBITDA increased 10.5 percent and 6.5 percent to$10.4 million and$16.4 million , respectively, compared to second quarter 2017. The increases in operating income and Adjusted EBITDA were driven by all areas as flow-through for each was strong in the quarter. The previously-announced$150 million expansion project at the property is now underway, starting with construction on a new multi-story parking structure. The 303 new guest rooms and 90,000-square-foot meeting space expansion are expected to be complete in the spring of 2021.
($ in thousands, except for ADR, RevPAR and Total RevPAR)
Gaylord Texan | Three Months Ended | Six Months Ended | |||||||||||||
June 30, | June 30, | ||||||||||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||||||||||
Revenue | $58,611 | $52,772 | 11.1% | $116,968 | $109,517 | 6.8% | |||||||||
Operating Income | $14,953 | $12,631 | 18.4% | $28,985 | $28,521 | 1.6% | |||||||||
Operating Income Margin | 25.5% | 23.9% | 1.6pt | 24.8% | 26.0% | -1.2pt | |||||||||
Adjusted EBITDA | $21,498 | $17,771 | 21.0% | $42,112 | $38,771 | 8.6% | |||||||||
Adjusted EBITDA Margin | 36.7% | 33.7% | 3.0pt | 36.0% | 35.4% | 0.6pt | |||||||||
Occupancy | 73.0% | 72.7% | 0.3pt | 74.6% | 76.1% | -1.5pt | |||||||||
Average daily rate (ADR) | $194.82 | $190.73 | 2.1% | $194.87 | $189.76 | 2.7% | |||||||||
RevPAR | $142.18 | $138.66 | 2.5% | $145.47 | $144.44 | 0.7% | |||||||||
Total RevPAR | $386.67 | $383.79 | 0.8% | $406.75 | $400.44 | 1.6% |
- Gaylord Texan: Total revenue increased 11.1 percent to
$58.6 million in second quarter 2018 compared to second quarter 2017, aided by the addition of 10,700 occupied room nights in the second quarter of 2018 from the recently-completed room and meeting space expansion. The new room inventory was phased in throughout the second half of the second quarter of 2018, which aided the 0.3 percentage point year-over-year occupancy increase. RevPAR increased 2.5 percent in the second quarter of 2018, supported by a positive mix shift toward more premium association room nights. The association groups helped to increase overall ADR up 2.1 percent in the second quarter 2018 compared to the second quarter 2017. This increase in association room nights also led to strong food and beverage performance for the quarter. Total RevPAR increased marginally compared to the second quarter of 2017. The growth in both RevPAR and Total RevPAR was muted on a quarter-over-quarter basis as a result of the additional room night availability during the second quarter of 2018 associated with the expansion opening. Flow-through was strong for second quarter 2018 across all revenue categories. Operating income and Adjusted EBITDA increased by 18.4 percent and 21.0 percent to$15.0 million and$21.5 million , respectively, compared to second quarter 2017.
($ in thousands, except for ADR, RevPAR and Total RevPAR)
Gaylord National | Three Months Ended | Six Months Ended | |||||||||||||
June 30, | June 30, | ||||||||||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||||||||||
Revenue | $79,687 | $73,995 | 7.7% | $140,443 | $136,452 | 2.9% | |||||||||
Operating Income | $19,529 | $16,152 | 20.9% | $22,846 | $22,861 | -0.1% | |||||||||
Operating Income Margin | 24.5% | 21.8% | 2.7pt | 16.3% | 16.8% | -0.5pt | |||||||||
Adjusted EBITDA | $29,072 | $25,869 | 12.4% | $41,915 | $42,080 | -0.4% | |||||||||
Adjusted EBITDA Margin | 36.5% | 35.0% | 1.5pt | 29.8% | 30.8% | -1.0pt | |||||||||
Occupancy | 78.6% | 81.3% | -2.7pt | 74.7% | 75.5% | -0.8pt | |||||||||
Average daily rate (ADR) | $227.17 | $214.42 | 5.9% | $213.54 | $210.19 | 1.6% | |||||||||
RevPAR | $178.46 | $174.41 | 2.3% | $159.46 | $158.76 | 0.4% | |||||||||
Total RevPAR | $438.72 | $407.38 | 7.7% | $388.74 | $377.69 | 2.9% |
- Gaylord National: Total revenue increased 7.7 percent to
$79.7 million in second quarter 2018 compared to second quarter 2017, driven by strong food and beverage performance in the second quarter of 2018. RevPAR increased 2.3 percent to$178.46 in second quarter 2018 compared to second quarter 2017, driven primarily by a 5.9 percent increase in ADR. A positive mix shift toward more premium corporate and association room nights in the second quarter of 2018 helped the increase in ADR and supported higher banquet revenue for the period. Transient room night growth of 9.2 percent in the second quarter of 2018 compared to the second quarter of 2017 also positively contributed to the increase in RevPAR. Total RevPAR increased 7.7 percent to$438.72 in the second quarter of 2018 compared to second quarter 2017, driven by the strong food and beverage performance. Operating income and Adjusted EBITDA performance increased 20.9 percent and 12.4 percent to$19.5 million and$29.1 million , respectively, compared to second quarter 2017. Preparation work has commenced for the upcoming rooms refurbishment at Gaylord National, which is expected to startNovember 1, 2018 . We anticipate this refurbishment will result in approximately 14,600 room nights out of service in the fourth quarter of 2018.
Reed continued, “Our portfolio of hotels achieved a record second quarter, with Gaylord Opryland delivering outstanding results.
Entertainment Segment
For the three and six months ended
($ in thousands)
Entertainment Segment Results | |||||||
Three Months Ended | Six Months Ended | ||||||
June 30, | June 30, | ||||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||
Revenue | $42,178 | $35,405 | 19.1% | $65,437 | $57,293 | 14.2% | |
Operating Income | $8,638 | $11,357 | -23.9% | $9,920 | $14,325 | -30.8% | |
Operating Income Margin | 20.5% | 32.1% | -11.6pt | 15.2% | 25.0% | -9.8pt | |
Adjusted EBITDA | $11,759 | $13,536 | -13.1% | $14,932 | $18,762 | -20.4% | |
Adjusted EBITDA Margin | 27.9% | 38.2% | -10.3pt | 22.8% | 32.7% | -9.9pt |
The Company’s investment in its Entertainment segment continued during the second quarter of 2018 with the opening of the flagship
Entertainment segment revenue increased 19.1 percent in the second quarter of 2018 compared to the second quarter of 2017. Operating income and Adjusted EBITDA were negatively impacted during the second quarter of 2018 due to losses associated with taking over operations of Opry City Stage, as well as increased costs related to personnel changes within the segment.
Reed continued, “We opened
Corporate and Other Segment Results
For the three months and six months ended
Corporate and Other Segment Results | |||||||
Three Months Ended | Six Months Ended | ||||||
($ in thousands) | June 30, | June 30, | |||||
2018 | 2017 | % ∆ | 2018 | 2017 | % ∆ | ||
Operating Loss | ($8,088) | ($8,008) | -1.0% | ($16,925) | ($15,968) | -6.0% | |
Adjusted EBITDA | ($5,911) | ($6,421) | 7.9% | ($12,452) | ($12,662) | 1.7% |
Dividend Update
The Company paid its second quarter 2018 cash dividend of
Balance Sheet/Liquidity Update
As of
On
Guidance
The Company has raised the lower end of its guidance range for 2018 RevPAR and Total RevPAR growth to reflect strong hotel revenue performance year-to-date, as well as increased visibility into expected performance during the second half of 2018.
Reed continued, “Hospitality revenue is progressing as planned, and results for the first half of 2018 were in line with our expectations. Group room nights on the books for the remainder of 2018 are on track with the plan we had coming into the year, and we continue to believe 2018 will be another strong year for the Company. As we look to the second half of the year, we are now expecting fiscal year 2018 RevPAR growth in the range of 2.5% – 4% (from our prior guidance of 2% – 4%) and Total RevPAR growth in the range of 3.5% – 5% (from our prior guidance of 3% – 5%).
Our net income guidance range for the full year is now
Our 2018 Adjusted EBITDA guidance range for the Entertainment segment has been lowered to
Corporate & Other guidance range for Adjusted EBITDA is now a loss of
We remain confident in our ability to continue capitalizing on the strength of the group market in the near-term, and we are looking forward to an expected strong year of performance in 2019 when we will begin to see the benefits of recent growth investments such as Soundwaves at Gaylord Opryland and our joint venture interest in Gaylord Rockies, which are both scheduled to open in December 2018.”
The Company does not expect to update guidance before next quarter’s earnings release. However, the Company may update its full business outlook or any portion thereof at any time for any reason.
($ in millions, except per share figures) | Revised Guidance | Prior Guidance | Variance to | ||||||||||||
Full Year 2018 | Full Year 2018 | Prior Midpoint | |||||||||||||
Low | High | Low | High | ||||||||||||
Hospitality RevPAR (1)(2) | 2.5% | 4.0% | 2.0% | 4.0% | 0.3pt | ||||||||||
Hospitality Total RevPAR (1)(2) | 3.5% | 5.0% | 3.0% | 5.0% | 0.3pt | ||||||||||
Net Income | $ | 155.3 | $ | 156.0 | $ | 155.3 | $ | 157.0 | $ | (0.5) | |||||
Adjusted EBITDA | |||||||||||||||
Hospitality (1)(2) | $ | 371.0 | $ | 377.0 | $ | 365.0 | $ | 375.0 | $ | 4.0 | |||||
Entertainment | 40.0 | 44.0 | 44.0 | 50.0 | (5.0) | ||||||||||
Corporate and Other | (25.0) | (24.0) | (26.0) | (25.0) | 1.0 | ||||||||||
Consolidated Adjusted EBITDA | $ | 386.0 | $ | 397.0 | $ | 383.0 | $ | 400.0 | $ - | ||||||
Funds from Operations (FFO) | $ | 275.5 | $ | 278.8 | $ | 275.0 | $ | 278.3 | $ | 0.5 | |||||
Adjusted FFO | $ | 300.9 | $ | 306.7 | $ | 300.0 | $ | 306.5 | $ | 0.6 | |||||
Net Income per Diluted Share | $ | 3.01 | $ | 3.02 | $ | 3.01 | $ | 3.04 | $ | (0.01) | |||||
FFO per Diluted Share | $ | 5.34 | $ | 5.40 | $ | 5.33 | $ | 5.39 | $ | 0.01 | |||||
Estimated Diluted Shares Outstanding | 51.6 | 51.6 | 51.6 | 51.6 | - | ||||||||||
- Hospitality segment guidance for RevPAR, Total RevPAR, and Hospitality Adjusted EBITDA include contribution from the Gaylord Texan expansion.
- Hospitality segment guidance assumes approximately 14,600 room nights out of service in 2018 due to the renovation of rooms at Gaylord National. The out of service rooms are included in the total available room count for calculating hotel metrics (e.g., RevPAR and Total RevPAR).
Institutional Investor and Analyst Day Information
As previously announced, the Company will hold its Institutional Investor and Analyst Day on
The presentation portion of the event will be webcast and can be accessed through Ryman Hospitality Properties’ website at www.rymanhp.com. To listen to the webcast, please visit the Investor Relations section of the website at least 15 minutes prior to the beginning of the scheduled presentation to register, download and install necessary multimedia streaming software. For those who cannot listen to the live broadcast, a replay will be available after the presentation and will run for 30 days.
Earnings Call Information
About
Cautionary Note Regarding Forward-Looking Statements
This press release contains statements as to the Company’s beliefs and expectations of the outcome of future events that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. You can identify these statements by the fact that they do not relate strictly to historical or current facts. Examples of these statements include, but are not limited to, statements regarding the future performance of our business, estimated capital expenditures, new projects or investments, out-of-service rooms, the expected approach to making dividend payments, the board’s ability to alter the dividend policy at any time and other business or operational issues. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from the statements made. These include the risks and uncertainties associated with economic conditions affecting the hospitality business generally, the geographic concentration of the Company’s hotel properties, business levels at the Company’s hotels, the effect of the Company’s election to be taxed as a REIT for federal income tax purposes commencing with the year ended
Additional Information
This release should be read in conjunction with the consolidated financial statements and notes thereto included in our most recent annual report on Form 10-K. Copies of our reports are available on our website at no expense at www.rymanhp.com and through the SEC’s Electronic Data Gathering Analysis and Retrieval System (“EDGAR”) at www.sec.gov.
Calculation of RevPAR and Total RevPAR
We calculate revenue per available room (“RevPAR”) for our hotels by dividing room revenue by room nights available to guests for the period. We calculate total revenue per available room (“Total RevPAR”) for our hotels by dividing the sum of room revenue, food & beverage and other ancillary services revenue by room nights available to guests for the period.
Calculation of GAAP Margin Figures
We calculate Net Income Margin by dividing GAAP consolidated Net Income by GAAP consolidated Total Revenue. We calculate consolidated, segment, or property-level Operating Income Margin by dividing consolidated, segment, or property-level GAAP Operating Income by consolidated, segment, or property-level GAAP Revenue.
Non-GAAP Financial Measures
We present the following non-GAAP financial measures we believe are useful to investors as key measures of our operating performance:
Adjusted EBITDA Definition
To calculate Adjusted EBITDA, we first determine Operating Income, which represents Net Income (loss) determined in accordance with GAAP, plus, to the extent the following adjustments occurred during the periods presented: loss (income) from discontinued operations, net; provision (benefit) for income taxes; other (gains) and losses, net; loss on extinguishment of debt; (gain) loss from joint ventures; and interest expense, net. Adjusted EBITDA is then calculated as Operating Income, plus, to the extent the following adjustments occurred during the periods presented: depreciation and amortization; preopening costs; non-cash ground lease expense; equity-based compensation expense; impairment charges; any closing costs of completed acquisitions; interest income on Gaylord National bonds; other gains and (losses), net; (gains) losses on warrant settlements; pension settlement charges; pro rata Adjusted EBITDA from joint ventures, (gains) losses on the disposal of assets, and any other adjustments we have identified in this release. We believe Adjusted EBITDA is useful to investors in evaluating our operating performance because this measure helps investors evaluate and compare the results of our operations from period to period by removing the impact of our capital structure (primarily interest expense) and our asset base (primarily depreciation and amortization) from our operating results. A reconciliation of Net Income (loss) to Operating Income and Adjusted EBITDA and a reconciliation of segment, and property-level Operating Income to segment and property-level Adjusted EBITDA are set forth below under “Supplemental Financial Results.”
Adjusted EBITDA Margin Definition
We calculate consolidated Adjusted EBITDA Margin by dividing consolidated Adjusted EBITDA by GAAP consolidated Total Revenue. We calculate segment or property-level Adjusted EBITDA Margin by dividing segment, or property-level Adjusted EBITDA by segment, or property-level GAAP Revenue. We believe Adjusted EBITDA Margin is useful to investors in evaluating our operating performance because this non-GAAP financial measure helps investors evaluate and compare the results of our operations from period to period by presenting a ratio showing the quantitative relationship between Adjusted EBITDA and GAAP consolidated Total Revenue or segment or property-level GAAP Revenue, as applicable.
Adjusted FFO Definition
We calculate Adjusted FFO to mean Net Income (loss) (computed in accordance with GAAP), excluding, to the extent the following adjustments occurred during the periods presented: non-controlling interests, and (gains) and losses from sales of property; depreciation and amortization (excluding amortization of deferred financing costs and debt discounts) and certain pro rata adjustments from joint ventures (which equals FFO). We then exclude, to the extent the following adjustments occurred during the periods presented, impairment charges; write-offs of deferred financing costs, non-cash ground lease expense, amortization of debt discounts and amortization of deferred financing cost, pension settlement charges, additional pro rata adjustments from joint ventures, (gains) losses on other assets, (gains) losses on extinguishment of debt and warrant settlements, and the impact of deferred income tax expense (benefit). We believe that the presentation of Adjusted FFO provides useful information to investors regarding the performance of our ongoing operations because it is a measure of our operations without regard to specified non-cash items such as real estate depreciation and amortization, gain or loss on sale of assets and certain other items which we believe are not indicative of the performance of our underlying hotel properties. We believe that these items are more representative of our asset base than our ongoing operations. We also use Adjusted FFO as one measure in determining our results after taking into account the impact of our capital structure. A reconciliation of Net Income (loss) to Adjusted FFO is set forth below under “Supplemental Financial Results.”
We caution investors that amounts presented in accordance with our definitions of Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted FFO may not be comparable to similar measures disclosed by other companies, because not all companies calculate these non-GAAP measures in the same manner. Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted FFO, and any related per share measures, should not be considered as alternative measures of our Net Income (loss), operating performance, cash flow or liquidity. Adjusted EBITDA and Adjusted FFO may include funds that may not be available for our discretionary use due to functional requirements to conserve funds for capital expenditures and property acquisitions and other commitments and uncertainties. Although we believe that Adjusted EBITDA, Adjusted EBITDA Margin, and Adjusted FFO can enhance an investor’s understanding of our results of operations, these non-GAAP financial measures, when viewed individually, are not necessarily better indicators of any trend as compared to GAAP measures such as Net Income (loss), Net Income Margin, Operating Income (loss), Operating Income Margin, or cash flow from operations. In addition, you should be aware that adverse economic and market and other conditions may harm our cash flow.
Investor Relations Contacts: | Media Contacts: |
Mark Fioravanti, President and Chief Financial Officer | Shannon Sullivan, Vice President of Corporate and Brand Communications |
Ryman Hospitality Properties, Inc. | Ryman Hospitality Properties, Inc. |
(615) 316-6588 | (615) 316-6725 |
mfioravanti@rymanhp.com | ssullivan@rymanhp.com |
~or~ | ~or~ |
Todd Siefert, Vice President Corporate Finance & Treasurer | Robert Winters or Sam Gibbons |
Ryman Hospitality Properties, Inc. | Alpha IR Group |
(615) 316-6344 | (929) 266-6315 or (312) 445-2874 |
tsiefert@rymanhp.com | robert.winters@alpha-ir.com; sam.gibbons@alpha-ir.com |
RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||
Unaudited | ||||||||||
(In thousands, except per share data) | ||||||||||
Three Months Ended | Six Months Ended | |||||||||
Jun. 30, | Jun. 30, | |||||||||
2018 | 2017 | 2018 | 2017 | |||||||
Revenues : | ||||||||||
Rooms | $ | 121,745 | $ | 110,674 | $ | 229,309 | $ | 214,043 | ||
Food and beverage | 141,053 | 128,441 | 273,992 | 254,610 | ||||||
Other hotel revenue | 28,958 | 24,258 | 53,566 | 48,874 | ||||||
Entertainment | 42,178 | 35,405 | 65,437 | 57,293 | ||||||
Total revenues | 333,934 | 298,778 | 622,304 | 574,820 | ||||||
Operating expenses: | ||||||||||
Rooms | 30,059 | 28,359 | 58,987 | 56,387 | ||||||
Food and beverage | 72,394 | 68,285 | 144,372 | 137,442 | ||||||
Other hotel expenses | 76,733 | 73,536 | 152,615 | 147,774 | ||||||
Management fees | 8,635 | 6,178 | 15,765 | 11,709 | ||||||
Total hotel operating expenses | 187,821 | 176,358 | 371,739 | 353,312 | ||||||
Entertainment | 30,254 | 22,135 | 49,620 | 38,986 | ||||||
Corporate | 7,640 | 7,468 | 15,969 | 14,877 | ||||||
Preopening costs | 1,525 | 494 | 3,672 | 710 | ||||||
Depreciation and amortization | 29,995 | 27,679 | 58,661 | 55,316 | ||||||
Total operating expenses | 257,235 | 234,134 | 499,661 | 463,201 | ||||||
Operating income | 76,699 | 64,644 | 122,643 | 111,619 | ||||||
Interest expense, net of amounts capitalized | (19,625) | (17,155) | (36,354) | (33,019) | ||||||
Interest income | 2,766 | 2,969 | 5,519 | 5,917 | ||||||
Gain (loss) from joint ventures | 1,346 | (943) | (1,242) | (1,717) | ||||||
Other gains and (losses), net | 36 | (1,324) | 204 | (1,396) | ||||||
Income before income taxes | 61,222 | 48,191 | 90,770 | 81,404 | ||||||
Provision for income taxes | (5,676) | (899) | (7,885) | (1,492) | ||||||
Net income | $ | 55,546 | $ | 47,292 | $ | 82,885 | $ | 79,912 | ||
Basic net income per share | $ | 1.08 | $ | 0.92 | $ | 1.62 | $ | 1.56 | ||
Fully diluted net income per share | $ | 1.08 | $ | 0.92 | $ | 1.61 | $ | 1.56 | ||
Weighted average common shares for the period: | ||||||||||
Basic | 51,303 | 51,154 | 51,259 | 51,100 | ||||||
Diluted | 51,476 | 51,334 | 51,459 | 51,316 | ||||||
RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES | ||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
Unaudited | ||||||||
(In thousands) | ||||||||
Jun. 30, | Dec. 31, | |||||||
2018 | 2017 | |||||||
ASSETS: | ||||||||
Property and equipment, net of accumulated depreciation | $ | 2,121,165 | $ | 2,065,657 | ||||
Cash and cash equivalents - unrestricted | 61,779 | 57,557 | ||||||
Cash and cash equivalents - restricted | 32,181 | 21,153 | ||||||
Notes receivable | 113,789 | 111,423 | ||||||
Investment in Gaylord Rockies joint venture | 88,993 | 88,685 | ||||||
Trade receivables, net | 79,694 | 57,520 | ||||||
Deferred income taxes, net | 43,056 | 50,117 | ||||||
Prepaid expenses and other assets | 66,645 | 72,116 | ||||||
Total assets | $ | 2,607,302 | $ | 2,524,228 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY: | ||||||||
Debt and capital lease obligations | $ | 1,674,792 | $ | 1,591,392 | ||||
Accounts payable and accrued liabilities | 176,145 | 179,649 | ||||||
Dividends payable | 44,552 | 42,129 | ||||||
Deferred management rights proceeds | 175,541 | 177,057 | ||||||
Other liabilities | 162,578 | 155,845 | ||||||
Stockholders' equity | 373,694 | 378,156 | ||||||
Total liabilities and stockholders' equity | $ | 2,607,302 | $ | 2,524,228 | ||||
RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||||||||
SUPPLEMENTAL FINANCIAL RESULTS | ||||||||||||||||
ADJUSTED EBITDA RECONCILIATION | ||||||||||||||||
Unaudited | ||||||||||||||||
(in thousands) | ||||||||||||||||
Three Months Ended Jun. 30, | Six Months Ended Jun. 30, | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
$ | Margin | $ | Margin | $ | Margin | $ | Margin | |||||||||
Consolidated | ||||||||||||||||
Revenue | $ | 333,934 | $ | 298,778 | $ | 622,304 | $ | 574,820 | ||||||||
Net income | $ | 55,546 | 16.6% | $ | 47,292 | 15.8% | $ | 82,885 | 13.3% | $ | 79,912 | 13.9% | ||||
Provision for income taxes | 5,676 | 899 | 7,885 | 1,492 | ||||||||||||
Other (gains) and losses, net | (36) | 1,324 | (204) | 1,396 | ||||||||||||
(Gain) loss from joint ventures | (1,346) | 943 | 1,242 | 1,717 | ||||||||||||
Interest expense, net | 16,859 | 14,186 | 30,835 | 27,102 | ||||||||||||
Operating Income | 76,699 | 23.0% | 64,644 | 21.6% | 122,643 | 19.7% | 111,619 | 19.4% | ||||||||
Depreciation & amortization | 29,995 | 27,679 | 58,661 | 55,316 | ||||||||||||
Preopening costs | 1,525 | 494 | 3,672 | 710 | ||||||||||||
Non-cash ground lease expense | 1,290 | 1,304 | 2,534 | 2,609 | ||||||||||||
Equity-based compensation expense | 2,006 | 1,644 | 3,929 | 3,213 | ||||||||||||
Interest income on Gaylord National bonds | 2,659 | 2,931 | 5,313 | 5,862 | ||||||||||||
Pro rata adjusted EBITDA from joint ventures | (670) | - | (1,689) | - | ||||||||||||
Other gains and (losses), net | 36 | (1,324) | 204 | (1,396) | ||||||||||||
Loss on disposal of assets | 149 | 1,116 | 149 | 1,116 | ||||||||||||
Adjusted EBITDA | $ | 113,689 | 34.0% | $ | 98,488 | 33.0% | $ | 195,416 | 31.4% | $ | 179,049 | 31.1% | ||||
Hospitality segment | ||||||||||||||||
Revenue | $ | 291,756 | $ | 263,373 | $ | 556,867 | $ | 517,527 | ||||||||
Operating income | $ | 76,149 | 26.1% | $ | 61,295 | 23.3% | $ | 129,648 | 23.3% | $ | 113,262 | 21.9% | ||||
Depreciation & amortization | 27,233 | 25,547 | 53,433 | 50,725 | ||||||||||||
Preopening costs | 553 | 173 | 2,047 | 228 | ||||||||||||
Non-cash lease expense | 1,247 | 1,279 | 2,495 | 2,559 | ||||||||||||
Interest income on Gaylord National bonds | 2,659 | 2,931 | 5,313 | 5,862 | ||||||||||||
Other gains and (losses), net | - | 148 | - | 313 | ||||||||||||
Adjusted EBITDA | $ | 107,841 | 37.0% | $ | 91,373 | 34.7% | $ | 192,936 | 34.6% | $ | 172,949 | 33.4% | ||||
Entertainment segment | ||||||||||||||||
Revenue | $ | 42,178 | $ | 35,405 | $ | 65,437 | $ | 57,293 | ||||||||
Operating income | $ | 8,638 | 20.5% | $ | 11,357 | 32.1% | $ | 9,920 | 15.2% | $ | 14,325 | 25.0% | ||||
Depreciation & amortization | 2,315 | 1,592 | 4,272 | 3,500 | ||||||||||||
Preopening costs | 972 | 321 | 1,625 | 482 | ||||||||||||
Non-cash lease expense | 43 | 25 | 39 | 50 | ||||||||||||
Equity-based compensation | 461 | 220 | 765 | 357 | ||||||||||||
Pro rata adjusted EBITDA from joint ventures | (670) | - | (1,689) | - | ||||||||||||
Other gains and (losses), net | - | (410) | - | (383) | ||||||||||||
Loss on disposal of assets | - | 431 | - | 431 | ||||||||||||
Adjusted EBITDA | $ | 11,759 | 27.9% | $ | 13,536 | 38.2% | $ | 14,932 | 22.8% | $ | 18,762 | 32.7% | ||||
Corporate and Other segment | ||||||||||||||||
Operating loss | $ | (8,088) | $ | (8,008) | $ | (16,925) | $ | (15,968) | ||||||||
Depreciation & amortization | 447 | 540 | 956 | 1,091 | ||||||||||||
Equity-based compensation | 1,545 | 1,424 | 3,164 | 2,856 | ||||||||||||
Other gains and (losses), net | 36 | (1,062) | 204 | (1,326) | ||||||||||||
Loss on disposal of assets | 149 | 685 | 149 | 685 | ||||||||||||
Adjusted EBITDA | $ | (5,911) | $ | (6,421) | $ | (12,452) | $ | (12,662) | ||||||||
RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||||
SUPPLEMENTAL FINANCIAL RESULTS | ||||||||||||
FUNDS FROM OPERATIONS ("FFO") AND ADJUSTED FFO RECONCILIATION | ||||||||||||
Unaudited | ||||||||||||
(in thousands, except per share data) | ||||||||||||
Three Months Ended Jun. 30, |
Six Months Ended Jun. 30, |
|||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||
Consolidated | ||||||||||||
Net income | $ | 55,546 | $ | 47,292 | $ | 82,885 | $ | 79,912 | ||||
Depreciation & amortization | 29,995 | 27,679 | 58,661 | 55,316 | ||||||||
Pro rata adjustments from joint ventures | (32) | 18 | 355 | 36 | ||||||||
FFO | 85,509 | 74,989 | 141,901 | 135,264 | ||||||||
Non-cash lease expense | 1,290 | 1,304 | 2,534 | 2,609 | ||||||||
Pro rata adjustments from joint ventures | (2,786) | 79 | (2,729) | 176 | ||||||||
Loss on other assets | 80 | 1,116 | 80 | 1,116 | ||||||||
Write-off of deferred financing costs | 1,956 | 925 | 1,956 | 925 | ||||||||
Amortization of deferred financing costs | 1,426 | 1,304 | 2,841 | 2,567 | ||||||||
Deferred tax (benefit) expense | 5,286 | 58 | 7,065 | (129) | ||||||||
Adjusted FFO | $ | 92,761 | $ | 79,775 | $ | 153,648 | $ | 142,528 | ||||
Capital expenditures (1) | (16,062) | (13,583) | (31,138) | (28,495) | ||||||||
Adjusted FFO less maintenance capital expenditures | $ | 76,699 | $ | 66,192 | $ | 122,510 | $ | 114,033 | ||||
Basic net income per share | $ | 1.08 | $ | 0.92 | $ | 1.62 | $ | 1.56 | ||||
Fully diluted net income per share | $ | 1.08 | $ | 0.92 | $ | 1.61 | $ | 1.56 | ||||
FFO per basic share | $ | 1.67 | $ | 1.47 | $ | 2.77 | $ | 2.65 | ||||
Adjusted FFO per basic share | $ | 1.81 | $ | 1.56 | $ | 3.00 | $ | 2.79 | ||||
FFO per diluted share | $ | 1.66 | $ | 1.46 | $ | 2.76 | $ | 2.64 | ||||
Adjusted FFO per diluted share | $ | 1.80 | $ | 1.55 | $ | 2.99 | $ | 2.78 | ||||
(1) Represents FF&E reserve for managed properties and maintenance capital expenditures for non-managed properties. | ||||||||||||
RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES | ||||||||||||||||
SUPPLEMENTAL FINANCIAL RESULTS | ||||||||||||||||
HOSPITALITY SEGMENT ADJUSTED EBITDA RECONCILIATIONS AND OPERATING METRICS | ||||||||||||||||
Unaudited | ||||||||||||||||
(in thousands) | ||||||||||||||||
Three Months Ended Jun. 30, | Six Months Ended Jun. 30, | |||||||||||||||
2018 | 2017 | 2018 | 2017 | |||||||||||||
$ | Margin | $ | Margin | $ | Margin | $ | Margin | |||||||||
Hospitality segment | ||||||||||||||||
Revenue | $ | 291,756 | $ | 263,373 | $ | 556,867 | $ | 517,527 | ||||||||
Operating Income | $ | 76,149 | 26.1% | $ | 61,295 | 23.3% | $ | 129,648 | 23.3% | $ | 113,262 | 21.9% | ||||
Depreciation & amortization | 27,233 | 25,547 | 53,433 | 50,725 | ||||||||||||
Preopening costs | 553 | 173 | 2,047 | 228 | ||||||||||||
Non-cash lease expense | 1,247 | 1,279 | 2,495 | 2,559 | ||||||||||||
Interest income on Gaylord National bonds | 2,659 | 2,931 | 5,313 | 5,862 | ||||||||||||
Other gains and (losses), net | - | 148 | - | 313 | ||||||||||||
Adjusted EBITDA | $ | 107,841 | 37.0% | $ | 91,373 | 34.7% | $ | 192,936 | 34.6% | $ | 172,949 | 33.4% | ||||
Occupancy | 79.0% | 76.7% | 76.4% | 74.7% | ||||||||||||
Average daily rate (ADR) | $ | 200.16 | $ | 191.00 | $ | 197.72 | $ | 190.68 | ||||||||
RevPAR | $ | 158.13 | $ | 146.42 | $ | 151.11 | $ | 142.37 | ||||||||
OtherPAR | $ | 220.81 | $ | 202.03 | $ | 215.86 | $ | 201.87 | ||||||||
Total RevPAR | $ | 378.94 | $ | 348.45 | $ | 366.97 | $ | 344.24 | ||||||||
Gaylord Opryland | ||||||||||||||||
Revenue | $ | 94,915 | $ | 80,260 | $ | 177,660 | $ | 155,222 | ||||||||
Operating Income | $ | 28,930 | 30.5% | $ | 20,630 | 25.7% | $ | 48,725 | 27.4% | $ | 36,107 | 23.3% | ||||
Depreciation & amortization | 8,859 | 8,373 | 17,537 | 16,470 | ||||||||||||
Preopening costs | 9 | - | 88 | - | ||||||||||||
Other gains and (losses), net | - | 147 | - | 312 | ||||||||||||
Adjusted EBITDA | $ | 37,798 | 39.8% | $ | 29,150 | 36.3% | $ | 66,350 | 37.3% | $ | 52,889 | 34.1% | ||||
Occupancy | 81.4% | 72.8% | 76.9% | 70.6% | ||||||||||||
Average daily rate (ADR) | $ | 193.54 | $ | 180.11 | $ | 192.07 | $ | 178.76 | ||||||||
RevPAR | $ | 157.55 | $ | 131.07 | $ | 147.62 | $ | 126.16 | ||||||||
OtherPAR | $ | 203.61 | $ | 174.33 | $ | 192.25 | $ | 170.79 | ||||||||
Total RevPAR | $ | 361.16 | $ | 305.40 | $ | 339.87 | $ | 296.95 | ||||||||
Gaylord Palms | ||||||||||||||||
Revenue | $ | 50,274 | $ | 48,184 | $ | 108,170 | $ | 102,381 | ||||||||
Operating Income | $ | 10,376 | 20.6% | $ | 9,387 | 19.5% | $ | 26,624 | 24.6% | $ | 22,500 | 22.0% | ||||
Depreciation & amortization | 4,799 | 4,759 | 9,588 | 9,554 | ||||||||||||
Non-cash lease expense | 1,247 | 1,279 | 2,495 | 2,559 | ||||||||||||
Other gains and (losses), net | - | 1 | - | 1 | ||||||||||||
Adjusted EBITDA | $ | 16,422 | 32.7% | $ | 15,426 | 32.0% | $ | 38,707 | 35.8% | $ | 34,614 | 33.8% | ||||
Occupancy | 80.8% | 80.3% | 81.5% | 80.1% | ||||||||||||
Average daily rate (ADR) | $ | 188.15 | $ | 181.68 | $ | 199.48 | $ | 194.21 | ||||||||
RevPAR | $ | 152.01 | $ | 145.91 | $ | 162.67 | $ | 155.52 | ||||||||
OtherPAR | $ | 238.15 | $ | 228.03 | $ | 259.38 | $ | 243.95 | ||||||||
Total RevPAR | $ | 390.16 | $ | 373.94 | $ | 422.05 | $ | 399.47 | ||||||||
Gaylord Texan | ||||||||||||||||
Revenue | $ | 58,611 | $ | 52,772 | $ | 116,968 | $ | 109,517 | ||||||||
Operating Income | $ | 14,953 | 25.5% | $ | 12,631 | 23.9% | $ | 28,985 | 24.8% | $ | 28,521 | 26.0% | ||||
Depreciation & amortization | 6,001 | 5,140 | 11,168 | 10,250 | ||||||||||||
Preopening costs | 544 | - | 1,959 | - | ||||||||||||
Adjusted EBITDA | $ 21,498 | 36.7% | $ 17,771 | 33.7% | $ 42,112 | 36.0% | $ 38,771 | 35.4% | ||||||||
Occupancy | 73.0% | 72.7% | 74.6% | 76.1% | ||||||||||||
Average daily rate (ADR) | $ | 194.82 | $ | 190.73 | $ | 194.87 | $ | 189.76 | ||||||||
RevPAR | $ | 142.18 | $ | 138.66 | $ | 145.47 | $ | 144.44 | ||||||||
OtherPAR | $ | 244.49 | $ | 245.13 | $ | 261.28 | $ | 256.00 | ||||||||
Total RevPAR | $ | 386.67 | $ | 383.79 | $ | 406.75 | $ | 400.44 | ||||||||
Gaylord National | ||||||||||||||||
Revenue | $ | 79,687 | $ | 73,995 | $ | 140,443 | $ | 136,452 | ||||||||
Operating Income | $ | 19,529 | 24.5% | $ | 16,152 | 21.8% | $ | 22,846 | 16.3% | $ | 22,861 | 16.8% | ||||
Depreciation & amortization | 6,884 | 6,613 | 13,756 | 13,129 | ||||||||||||
Preopening costs | - | 173 | - | 228 | ||||||||||||
Interest income on Gaylord National bonds | 2,659 | 2,931 | 5,313 | 5,862 | ||||||||||||
Adjusted EBITDA | $ | 29,072 | 36.5% | $ | 25,869 | 35.0% | $ | 41,915 | 29.8% | $ | 42,080 | 30.8% | ||||
Occupancy | 78.6% | 81.3% | 74.7% | 75.5% | ||||||||||||
Average daily rate (ADR) | $ | 227.17 | $ | 214.42 | $ | 213.54 | $ | 210.19 | ||||||||
RevPAR | $ | 178.46 | $ | 174.41 | $ | 159.46 | $ | 158.76 | ||||||||
OtherPAR | $ | 260.26 | $ | 232.97 | $ | 229.28 | $ | 218.93 | ||||||||
Total RevPAR | $ | 438.72 | $ | 407.38 | $ | 388.74 | $ | 377.69 | ||||||||
The AC Hotel at National Harbor | ||||||||||||||||
Revenue | $ | 3,511 | $ | 3,679 | $ | 5,882 | $ | 6,138 | ||||||||
Operating Income | $ | 1,078 | 30.7% | $ | 1,378 | 37.5% | $ | 1,209 | 20.6% | $ | 1,757 | 28.6% | ||||
Depreciation & amortization | 328 | 322 | 655 | 647 | ||||||||||||
Adjusted EBITDA | $ | 1,406 | 40.0% | $ | 1,700 | 46.2% | $ | 1,864 | 31.7% | $ | 2,404 | 39.2% | ||||
Occupancy | 78.6% | 82.5% | 69.6% | 72.4% | ||||||||||||
Average daily rate (ADR) | $ | 227.80 | $ | 224.19 | $ | 211.90 | $ | 214.09 | ||||||||
RevPAR | $ | 179.03 | $ | 184.85 | $ | 147.57 | $ | 154.94 | ||||||||
OtherPAR | $ | 21.92 | $ | 25.77 | $ | 21.69 | $ | 21.70 | ||||||||
Total RevPAR | $ | 200.95 | $ | 210.62 | $ | 169.26 | $ | 176.64 | ||||||||
The Inn at Opryland (1) | ||||||||||||||||
Revenue | $ | 4,758 | $ | 4,483 | $ | 7,744 | $ | 7,817 | ||||||||
Operating Income | $ | 1,283 | 27.0% | $ | 1,117 | 24.9% | $ | 1,259 | 16.3% | $ | 1,516 | 19.4% | ||||
Depreciation & amortization | 362 | 340 | 729 | 675 | ||||||||||||
Adjusted EBITDA | $ | 1,645 | 34.6% | $ | 1,457 | 32.5% | $ | 1,988 | 25.7% | $ | 2,191 | 28.0% | ||||
Occupancy | 83.9% | 81.9% | 73.7% | 76.9% | ||||||||||||
Average daily rate (ADR) | $ | 158.06 | $ | 152.73 | $ | 145.70 | $ | 142.07 | ||||||||
RevPAR | $ | 132.63 | $ | 125.07 | $ | 107.32 | $ | 109.26 | ||||||||
OtherPAR | $ | 39.82 | $ | 37.49 | $ | 33.84 | $ | 33.24 | ||||||||
Total RevPAR | $ | 172.45 | $ | 162.56 | $ | 141.16 | $ | 142.50 | ||||||||
(1) Includes other hospitality revenue and expense | ||||||||||||||||
Ryman Hospitality Properties, Inc. and Subsidiaries | ||||||||||
Reconciliation of Forward-Looking Statements | ||||||||||
Unaudited | ||||||||||
(in thousands) | ||||||||||
Adjusted Earnings Before Interest, Taxes, Depreciation and Amortization ("Adjusted EBITDA") | ||||||||||
and Adjusted Funds From Operations ("AFFO") reconciliation: | ||||||||||
GUIDANCE RANGE | ||||||||||
FOR FULL YEAR 2018 | ||||||||||
Low | High | |||||||||
Ryman Hospitality Properties, Inc. | ||||||||||
Net Income | $ | 155,300 | $ | 156,000 | ||||||
Provision (benefit) for income taxes | 15,000 | 16,000 | ||||||||
Loss from Joint Ventures | 4,100 | 6,000 | ||||||||
Other (gains) and losses, net | (1,400) | (2,000) | ||||||||
Interest expense | 76,000 | 78,300 | ||||||||
Interest income | (10,500) | (10,500) | ||||||||
Operating Income | 238,500 | 243,800 | ||||||||
Depreciation and amortization | 119,900 | 122,400 | ||||||||
Non-cash lease expense | 5,000 | 5,000 | ||||||||
Preopening expense | 5,000 | 6,400 | ||||||||
Pro Rata Adj. EBITDA from Joint Ventures | (2,500) | (2,000) | ||||||||
Equity based compensation | 7,500 | 7,800 | ||||||||
Pension settlement charge, Other | 1,700 | 1,500 | ||||||||
Other gains and (losses), net | 400 | 1,600 | ||||||||
Interest income on Gaylord National Bonds | 10,500 | 10,500 | ||||||||
Adjusted EBITDA | $ | 386,000 | $ | 397,000 | ||||||
Hospitality Segment | ||||||||||
Operating Income | $ | 245,000 | $ | 247,500 | ||||||
Depreciation and amortization | 107,000 | 108,500 | ||||||||
Non-cash lease expense | 5,000 | 5,000 | ||||||||
Preopening expense | 3,000 | 4,000 | ||||||||
Pro Rata Adj. EBITDA from Joint Ventures | (1,500) | (1,000) | ||||||||
Other gains and (losses), net | 2,000 | 2,500 | ||||||||
Interest income on Gaylord National Bonds | 10,500 | 10,500 | ||||||||
Adjusted EBITDA | $ | 371,000 | $ | 377,000 | ||||||
Entertainment Segment | ||||||||||
Operating Income | $ | 27,500 | $ | 30,200 | ||||||
Depreciation and amortization | 10,400 | 11,000 | ||||||||
Preopening expense | 2,000 | 2,400 | ||||||||
Pro Rata Adj. EBITDA from Joint Ventures | (1,000) | (1,000) | ||||||||
Equity based compensation | 1,100 | 1,400 | ||||||||
Adjusted EBITDA | $ | 40,000 | $ | 44,000 | ||||||
Corporate and Other Segment | ||||||||||
Operating Loss | $ | (34,000) | $ | (33,900) | ||||||
Depreciation and amortization | 2,500 | 2,900 | ||||||||
Equity based compensation | 6,400 | 6,400 | ||||||||
Pension settlement charge, Other | 1,700 | 1,500 | ||||||||
Other gains and (losses), net | (1,600) | (900) | ||||||||
Adjusted EBITDA | $ | (25,000) | $ | (24,000) | ||||||
Ryman Hospitality Properties, Inc. | ||||||||||
Net income | $ | 155,300 | $ | 156,000 | ||||||
Pro Rata FFO from Joint Ventures | 300 | 400 | ||||||||
Depreciation & amortization | 119,900 | 122,400 | ||||||||
Funds from Operations (FFO) | 275,500 | 278,800 | ||||||||
Pro Rata AFFO from Joint Ventures | (2,500) | (1,500) | ||||||||
Non-cash lease expense | 5,000 | 5,000 | ||||||||
Amortization of DFC | 5,700 | 6,200 | ||||||||
Write-Off of Deferred Financing Costs | 2,000 | 2,200 | ||||||||
Deferred tax expense (benefit) | 13,500 | 14,500 | ||||||||
Pension settlement charge | 1,700 | 1,500 | ||||||||
Adjusted FFO | $ | 300,900 | $ | 306,700 | ||||||
Source: Ryman Hospitality Properties, Inc.