NYSE$APLE

Apple Hospitality REIT Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Apple Hospitality reported strong operating performance driven by leisure demand and improving business travel.

Apple Hospitality REIT reported a net income of $65.3 million for the second quarter of 2023. Comparable Hotels RevPAR increased by 5% year-over-year, driven by improvements in both occupancy and ADR. The Company acquired the Courtyard Cleveland University Circle and continues to pursue strategic acquisitions to enhance shareholder value.

  • Comparable Hotels RevPAR increased by 5% compared to the second quarter of 2022.
  • Comparable Hotels ADR increased by 5% compared to the second quarter of 2022.
  • Comparable Hotels Occupancy increased by nearly 1% compared to the second quarter of 2022.
  • The Company acquired the Courtyard by Marriott Cleveland University Circle for $31 million.

Headline financials

Total Revenue

$362M

Previous: $338M+7.1%
EPS (adj)

$0.49

Previous: $0.48+2.1%
ADR

$160.98

Previous: $153.35+5.0%
Occupancy

78.2%

Previous: 77.9%+0.4%
RevPAR

$125.96

Previous: $119.41+5.5%
Capital Expenditures

-$67.1M

Previous: -$76.7M+12.6%
Free Cash Flow

-$1.81M

Previous: -$11.4M+84.1%
Net Income

$65.3M

Previous: $65.3M-0.1%
Operating Income

$83M

Previous: $80.7M+2.8%
Gross Profit

$161M

Previous: $155M+3.8%
Cash & Equivalents

$6.42M

Previous: $1.6M+301.8%
Total Assets

$4.77B

Previous: $4.78B-0.2%

Revenue & EPS history

Apple Hospitality · Revenue · Quarterly

$362M

Q2 2023+7.1%vs Q2 2022
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Revenue by segment

Apple Hospitality · $347M total across 2 segments · Q2 2023

  • Room Revenue
    $331M+6.0%
  • Food & Beverage
    $15.5M+29.0%

Forward guidance

The Company is updating its operational and financial outlook for 2023. The reduction in the midpoint of the Company's guidance for Net Income and Adjusted EBITDAre is primarily a result of higher anticipated general and administrative expenses associated with outperformance of the Company's relative shareholder return metrics, which are components of the Company's incentive plans.

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 Q2 2023

Historical avgQ2 2023

-0.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+0.3%

Avg return

30 days after

47%

20 / 43 earnings

Positive

+19.1%

Q1 2020

Best reaction

-9.0%

Q4 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.9%+5.5%+13.4%
Q4 2025-1.0%+0.4%-2.5%
Q3 2025-1.9%+2.3%+1.4%
Q1 2025-0.1%-3.1%-1.1%
Q4 2024-1.6%+1.3%-11.1%
Q3 2024+0.5%+8.5%+9.6%
Q2 2024-3.1%-3.0%-2.8%
Q1 2024+1.2%+1.1%-2.5%
Q4 2023+0.3%-1.2%+1.7%
Q3 2023-6.0%-5.3%+0.9%
Q2 2023+0.1%+0.8%+0.1%
Q1 2023+1.4%+4.2%-0.7%
Q4 2022-2.4%-1.9%-18.6%
Q3 2022-2.7%+1.6%+2.3%
Q2 2022-0.8%-0.4%-6.5%
Q1 2022-3.4%-5.1%-2.8%
Q4 2021-3.8%+1.5%+1.1%
Q3 2021+0.4%-1.9%-9.6%
Q2 2021+4.8%+3.6%+6.1%
Q1 2021+1.4%-2.1%+3.1%
Q4 2020+0.6%-4.1%+0.5%
Q3 2020+1.0%+16.1%+24.7%
Q2 2020+5.5%+11.1%+21.8%
Q1 2020+19.1%+12.1%+32.5%
Q4 2019-9.0%-13.4%-38.6%
Q3 2019+0.9%-1.0%-3.9%
Q2 2019+0.2%+1.7%+5.5%
Q1 2019-0.5%-0.1%-4.7%
Q4 2018-0.2%-1.6%-2.5%
Q3 2018-2.2%+0.4%-2.9%
Q2 2018-0.2%-3.5%-1.3%
Q1 2018+0.5%+1.0%+3.9%
Q4 2017-1.1%-4.9%-6.2%
Q3 2017+1.0%+1.4%+3.1%
Q2 2017-1.5%-1.7%+0.4%
Q1 2017+0.9%-2.1%-0.7%
Q4 2016-2.7%-5.6%-7.0%
Q3 2016+0.6%-1.0%+11.5%
Q2 2016-0.5%-2.1%-7.5%
Q1 2016+0.5%
Q4 2015-4.4%
Q3 2015+2.3%
Q2 2015+0.0%
Q1 2015
Q4 2014
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2012
Q4 2011
Q3 2011
Q2 2011
Q1 2011
Q4 2010
Q3 2010
Q2 2010
Q1 2010

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