NYSE$APLE

Apple Hospitality REIT Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Apple Hospitality's operating fundamentals remained strong, bolstered by recent acquisitions, continued strength in ADR, and moderating expense growth.

Apple Hospitality REIT reported strong operating performance for the third quarter ended September 30, 2024. Comparable Hotels RevPAR increased by approximately 1% compared to the third quarter of 2023. The Company strategically acquired two hotels for $196 million, sold three hotels for $41 million, and repurchased 2.4 million common shares for $35 million.

  • Comparable Hotels RevPAR grew by approximately 1% compared to Q3 2023.
  • Comparable Hotels ADR was $163, about 1% higher than Q3 2023.
  • The Company achieved Adjusted EBITDAre of approximately $129 million, an increase of approximately 6% compared to Q3 2023.
  • The Company repurchased approximately 1.4 million common shares for approximately $19.2 million during the quarter.

Headline financials

Total Revenue

$379M

Previous: $358M+5.7%
EPS

$0.23

Previous: $0.45-48.9%
ADR

$162.57

Previous: $159.36+2.0%
Occupancy

77.0%

Previous: 77.1%-0.1%
RevPAR

$125.10

Previous: $122.91+1.8%
Comparable ADR

$163.71

No prior period
Comparable Occupancy

77.1%

No prior period
Comparable RevPAR

$126.29

No prior period
Operating Margin

20.5%

No prior period
Adjusted EBITDAre

$129M

No prior period
Comparable Hotel EBITDA

$138M

No prior period
Comparable Hotel EBITDA Margin

37.2%

No prior period
Modified FFO

$107M

No prior period
Modified FFO per share

$0.45

No prior period
Capital Expenditures

-$257M

Previous: -$86.1M-198.4%
Free Cash Flow

-$201M

Previous: -$27.6M-627.5%
Net Income

$56.3M

Previous: $58.5M-3.8%
Operating Income

$77.7M

Previous: $76.3M+1.9%
Gross Profit

$159M

Previous: $155M+2.8%
Cash & Equivalents

$6.15M

Previous: $35.4M-82.6%
Total Assets

$5.02B

Previous: $4.76B+5.4%

Revenue & EPS history

Apple Hospitality · Revenue · Quarterly

$379M

Q3 2024+5.7%vs Q3 2023
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Revenue by segment

Apple Hospitality · $341M total across 2 segments · Q3 2023

  • Room Revenue
    $327M
  • Food & Beverage
    $13.6M

Forward guidance

The Company is updating its operational and financial outlook for 2024. The Company is decreasing Net Income by $1 million, decreasing Comparable Hotels RevPAR Change by 12.5 bps, increasing Comparable Hotels Adjusted Hotel EBITDA Margin % by 20 bps, and decreasing Adjusted EBITDAre by $1.5 million.

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 Q3 2024

Historical avgQ3 2024

-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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