NASDAQ$HST
Host Hotels & Resorts Inc · Q1 2020 earnings
Q1 2020 earnings · · Investor relations
Briefing
Host Hotels & Resorts experienced a significant decline in revenue and profitability due to the COVID-19 pandemic, but took swift actions to reduce expenses and strengthen its liquidity position.
Host Hotels & Resorts reported a decrease in revenues to $1.052 billion for Q1 2020, compared to $1.390 billion in Q1 2019. The company experienced a net loss of $3 million, a sharp contrast to the net income of $189 million in the same quarter last year, driven by the impact of the COVID-19 pandemic. To mitigate the impact, Host Hotels has suspended operations at 35 hotels, reduced portfolio-wide operating costs, and increased liquidity by accessing $1.5 billion under its credit facility.
- Suspended operations at 35 hotels as of May 6, 2020, and operating the remaining 45 hotels at reduced capacity.
- Reduced portfolio-wide hotel operating costs by approximately 70% to 75% in April, compared to initial forecasts.
- Increased liquidity by accessing $1.5 billion under the revolver portion of Host’s credit facility in March 2020.
- Rebooked almost 12% of 2020 group revenue that had been canceled as of May 4, with the majority rescheduled for the second half of the year.
Headline financials
Revenue & EPS history
Host Hotels · Revenue · Quarterly
$1.05B
Revenue by segment
Host Hotels · $1.05B total across 3 segments · Q1 2020
- Rooms$626M-27.0%59.5%
- Food and beverage$330M-23.8%31.4%
- Other$96M-4.0%9.1%
Forward guidance
Given the global economic uncertainty caused by COVID-19, the Company cannot provide full-year guidance for its operations and does not expect to see a material improvement until government restrictions have been lifted and travelers are comfortable traveling again.
Tailwinds
- Implemented portfolio-wide cost reductions.
- Collaborated with operators to implement innovations and standards that will help address customers’ heightened safety and hygiene concerns.
- The Company's liquidity position and balance sheet position the Company to endure this crisis and capitalize on future opportunities to create long-term value.
- Prioritized major capital projects in those assets and markets that are expected to recover faster, such as leisure and drive-to destinations.
- Utilizing the low occupancy environment to accelerate certain projects and minimize future disruption.
Headwinds
- Global economic uncertainty created by COVID-19.
- Uncertainty of the depth and duration of the pandemic.
- Possibility of further hotel closures and erosion in operations.
- Near-term pace of group and transient business remains uncertain until the consumer feels comfortable travelling again.
- Company cannot provide full-year guidance for its operations.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q1 2020
-0.4%
Avg return
Earnings day
+0.4%
Avg return
5 days after
+1.7%
Avg return
30 days after
51%
36 / 71 earnings
Positive
+8.3%
Q1 2023
Best reaction
-9.9%
Q3 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +1.2% | -0.7% | +13.7% | |
| Q4 2025 | -0.5% | -1.8% | -8.2% | |
| Q3 2025 | +6.7% | +10.7% | +6.5% | |
| Q1 2025 | +2.9% | +2.5% | +9.7% | |
| Q4 2024 | -1.9% | -6.2% | -14.0% | |
| Q3 2024 | +2.0% | +2.3% | +6.5% | |
| Q2 2024 | -5.9% | -10.6% | -0.6% | |
| Q1 2024 | -2.2% | -0.5% | -4.9% | |
| Q4 2023 | +5.1% | +2.0% | +6.1% | |
| Q3 2023 | +5.3% | +7.7% | +14.5% | |
| Q2 2023 | -8.6% | -8.7% | -14.0% | |
| Q1 2023 | +8.3% | +9.0% | +10.1% | |
| Q4 2022 | -6.4% | -8.6% | -17.2% | |
| Q3 2022 | -9.9% | -9.0% | -1.5% | |
| Q2 2022 | +2.2% | +4.7% | -0.2% | |
| Q1 2022 | -0.7% | -3.9% | +3.4% | |
| Q4 2021 | +3.1% | +2.1% | +1.7% | |
| Q3 2021 | +3.2% | +5.8% | -11.1% | |
| Q2 2021 | -4.1% | +2.2% | +4.5% | |
| Q1 2021 | -3.0% | -2.7% | -3.5% | |
| Q4 2020 | +6.9% | +5.9% | +13.8% | |
| Q3 2020 | -4.0% | +19.9% | +37.5% | |
| Q2 2020 | -2.2% | -1.0% | +6.1% | |
| Q1 2020 | +5.0% | -6.6% | +33.0% | |
| Q4 2019 | +2.0% | -2.5% | -36.9% | |
| Q3 2019 | +1.8% | +0.2% | +3.4% | |
| Q2 2019 | +0.1% | +0.2% | +0.7% | |
| Q1 2019 | +1.9% | +3.3% | -5.9% | |
| Q4 2018 | +5.6% | +8.0% | +2.7% | |
| Q3 2018 | -2.3% | -3.2% | -0.6% | |
| Q2 2018 | -5.0% | -6.3% | -1.7% | |
| Q1 2018 | -0.5% | +3.0% | +12.2% | |
| Q4 2017 | -2.1% | -2.6% | -7.8% | |
| Q3 2017 | -0.5% | +1.2% | -0.3% | |
| Q2 2017 | +1.3% | +1.2% | -4.0% | |
| Q1 2017 | -6.2% | -5.4% | -6.1% | |
| Q4 2016 | -3.5% | -2.6% | -3.4% | |
| Q3 2016 | -2.8% | +2.9% | +16.3% | |
| Q2 2016 | +3.5% | +1.6% | +3.9% | |
| Q1 2016 | +1.2% | — | — | |
| Q4 2015 | +3.2% | — | — | |
| Q3 2015 | +4.6% | — | — | |
| Q2 2015 | -5.1% | — | — | |
| Q1 2015 | +0.2% | — | — | |
| Q4 2014 | -7.5% | — | — | |
| Q3 2014 | +1.2% | — | — | |
| Q2 2014 | -4.2% | — | — | |
| Q1 2014 | +0.1% | — | — | |
| Q4 2013 | +3.1% | — | — | |
| Q3 2013 | -0.8% | — | — | |
| Q2 2013 | -0.5% | — | — | |
| Q1 2013 | +0.2% | — | — | |
| Q4 2012 | -0.8% | — | — | |
| Q3 2012 | +0.1% | — | — | |
| Q2 2012 | -5.7% | — | — | |
| Q1 2012 | +1.6% | — | — | |
| Q4 2011 | +1.3% | — | — | |
| Q3 2011 | +4.3% | — | — | |
| Q2 2011 | -0.6% | — | — | |
| Q1 2011 | -4.1% | — | — | |
| Q4 2010 | +1.8% | — | — | |
| Q3 2010 | +2.0% | — | — | |
| Q2 2010 | -1.3% | — | — | |
| Q1 2010 | +0.7% | — | — | |
| Q4 2007 | +0.2% | — | — | |
| Q4 2009 | +0.2% | — | — | |
| Q3 2009 | -2.3% | — | — | |
| Q3 2008 | -2.3% | — | — | |
| Q2 2008 | -3.9% | — | — | |
| Q4 2008 | -3.9% | — | — | |
| Q2 2009 | -3.9% | — | — |
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