NYSE$PK

Park Hotels & Resorts Inc · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

Park Hotels reported a decline in revenue and net income for Q4 2024, impacted by strike-related disruptions and renovation activities.

Park Hotels & Resorts Inc. reported a revenue decline of 4.9% year-over-year for Q4 2024, with net income dropping by 61.2%. The company faced disruptions due to labor strikes at key properties, impacting its RevPAR and EBITDA margins. Despite these challenges, management highlighted strong group demand and strategic asset disposals to improve financial positioning. The company also announced a $100 million renovation project at its Royal Palm South Beach Miami property.

  • Q4 2024 revenue declined 4.9% to $625 million due to strike-related disruptions.
  • Net income dropped 61.2% year-over-year to $73 million.
  • Comparable RevPAR declined 1.4% to $179.02.
  • Announced a $100 million renovation at Royal Palm South Beach Miami.

Headline financials

Total Revenue

$625M

Previous: $657M-4.9%
EPS (adj)

$0.39

Previous: $0.52-25.0%
Capital Expenditures

-$63M

Previous: $90M-170.0%
Free Cash Flow

$62M

Previous: $36M+72.2%
Net Income

$73M

Previous: $188M-61.2%
Operating Income

$83M

Previous: $276M-69.9%
Gross Profit

$59M

Previous: $427M-86.2%

Revenue & EPS history

Park Hotels · Revenue · Quarterly

$625M

Q4 2024-4.9%vs Q4 2023
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Park Hotels · $657M total across 3 segments · Q3 2023

  • Rooms
    $432M+0.9%
  • Food & Beverage
    $159M+7.4%
  • Ancillary Hotel
    $66M-1.5%

Forward guidance

Park Hotels anticipates a modest RevPAR increase in 2025, with potential growth between 0.0% and 3.0%. Renovation-related disruptions at Royal Palm South Beach Miami are expected to have a short-term negative impact, but long-term strategic investments are expected to enhance value.

Tailwinds

  • 2025 Comparable Group Revenue Pace is up nearly 6% year-over-year.
  • Continued strength in corporate demand and citywide convention bookings.
  • Strategic asset disposals have improved portfolio quality and capital efficiency.
  • Significant renovations completed at key properties, enhancing long-term value.
  • Company has repurchased 8 million shares and returned over $400 million to shareholders.

Headwinds

  • Renovation at Royal Palm South Beach Miami will impact 2025 Comparable RevPAR by 110 basis points.
  • Strike-related disruptions led to a decline in Q4 performance and may have lingering effects.
  • Comparable Hotel Adjusted EBITDA margin is expected to decline by 140 basis points in 2025.
  • Uncertainty in macroeconomic factors, including inflation and interest rates, may impact hotel demand.
  • Ongoing labor cost pressures and potential operational disruptions in key markets.

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 Q4 2024

Historical avgQ4 2024

-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

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro