NYSE$PK

Park Hotels & Resorts Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Park Hotels & Resorts Inc. reported third quarter 2020 results, showing a significant decline in RevPAR but improvements in liquidity and balance sheet.

Park Hotels & Resorts Inc. reported a challenging third quarter in 2020 due to the impact of COVID-19. Pro-forma RevPAR decreased by 86.1% compared to the same period in 2019. The company took proactive measures to improve liquidity and the balance sheet, including issuing senior secured notes and extending the revolver. Reopened 16 hotels since June, increasing the total number of hotels open to 48 of 60 hotels (80%), or 64% of total room count

  • Pro-forma RevPAR decreased 86.1% year-over-year to $26.14.
  • Occupancy for Park’s 33 consolidated hotels open during the entirety of the third quarter was 36.4%.
  • Net loss attributable to stockholders was $(276) million.
  • The company reopened 16 hotels since June, with 48 of 60 hotels (80%) currently open.

Headline financials

Total Revenue

$98M

Previous: $672M-85.4%
EPS (adj)

-$0.63

Previous: $0.68-192.6%
Comparable RevPAR

$26.14

Previous: $187.93-86.1%
Comparable ADR

$137.10

Previous: $222.04-38.3%
Comparable Occupancy

19.1%

Previous: 84.7%-77.4%
Comparable Total RevPAR

$35.36

Previous: $277.40-87.3%
Capital Expenditures

-$70M

Previous: -$182M+61.5%
Free Cash Flow

-$346M

Previous: -$177M-95.5%
Net Income

-$276M

Previous: $5M-5620.0%
Operating Income

-$206M

Previous: $38M-642.1%
Gross Profit

-$84M

Previous: -$54M-55.6%
Cash & Equivalents

$1.13B

Previous: $321M+253.3%
Total Assets

$10.9B

Previous: $11.6B-6.6%
Stock-Based Comp

$4M

Previous: $4M+0.0%

Revenue & EPS history

Park Hotels · Revenue · Quarterly

$98M

Q3 2020-85.4%vs Q3 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Park Hotels · $95M total across 3 segments · Q3 2020

  • Rooms
    $70M
  • Ancillary Hotel
    $15M
  • Food & Beverage
    $10M

Forward guidance

Given the continued economic uncertainty, travel restrictions and rapidly-changing circumstances related to the COVID-19 pandemic, in March 2020, Park withdrew its previously issued 2020 guidance. Park is not providing an updated outlook at this time.

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 2020

Historical avgQ3 2020

-1.5%

Avg return

Earnings day

+0.1%

Avg return

5 days after

+1.8%

Avg return

30 days after

37%

15 / 41 earnings

Positive

+11.8%

Q3 2023

Best reaction

-16.4%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.6%+0.3%+7.1%
Q4 2025-1.3%-1.4%-10.1%
Q3 2025-4.8%-6.0%+0.8%
Q1 2025-1.2%+1.2%-1.9%
Q4 2024-0.5%-5.7%-14.7%
Q3 2024+0.7%-0.9%+11.5%
Q2 2024-2.5%-9.8%+1.0%
Q1 2024-4.2%-3.5%-6.7%
Q4 2023+6.0%+9.4%+9.8%
Q3 2023+11.8%+16.7%+29.6%
Q2 2023-5.3%-1.8%-5.2%
Q1 2023+1.9%+7.4%+7.4%
Q4 2022+3.3%+3.9%-16.6%
Q3 2022-9.0%-9.4%-4.1%
Q2 2022-1.0%-0.5%-8.3%
Q1 2022-1.1%-2.1%-5.6%
Q4 2021-4.1%-7.2%-5.8%
Q3 2021+0.7%+6.7%-14.2%
Q2 2021+7.7%+6.9%+7.2%
Q1 2021+1.2%-1.5%-7.1%
Q4 2020-3.1%-7.1%-2.6%
Q3 2020-1.7%+37.2%+73.1%
Q2 2020-3.7%+13.6%+22.1%
Q1 2020-16.4%-16.2%+46.8%
Q4 2019-9.0%-9.3%-57.7%
Q3 2019-3.5%-6.5%+0.9%
Q2 2019-5.0%-9.5%-12.3%
Q1 2019-5.4%-6.8%-16.8%
Q4 2018-0.4%+1.3%-0.9%
Q3 2018+1.2%+2.0%+6.0%
Q2 2018+4.2%+3.7%+6.9%
Q1 2018+2.6%+4.3%+13.5%
Q4 2017-6.0%+0.6%+4.0%
Q4 2015-6.0%+0.6%+4.0%
Q3 2016+0.7%+0.8%-0.8%
Q3 2017+0.5%+1.1%-0.4%
Q2 2016-0.7%-1.4%+1.0%
Q2 2017-3.9%-1.5%-0.7%
Q4 2016+0.2%-1.8%+4.4%
Q1 2016+0.2%-1.8%+4.4%
Q1 2017-0.6%-3.4%+4.1%
Q3 2015
Q2 2015
Q1 2015

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