This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Host Hotels & Resorts Management Discusses Q4 2011 Results - Earnings Call Transcript

Stocks in this article: HST

The Phoenix market continued to perform exceptionally well with a RevPAR increase of 15.7%. Strong group demand aided by the construction of a new ballroom and meeting space renovations at the Westin Kierland in 2010 resulted in an occupancy increase of over 5 percentage points. And ADR growth of nearly 6% was driven by increases in both group and transient rates.

Our Phoenix hotels had F&B revenue growth of nearly 29% in the quarter. They also performed very well for the full year, with a RevPAR increase of 13.3%. We expect our Phoenix hotels to perform in line with our portfolio in 2012 due to solid group demand, which will result in further ADR growth.

While our Philadelphia Downtown Marriott is no longer under renovation, our Philadelphia hotels had an outstanding fourth quarter, with RevPAR up 13.5%. ADR increased nearly 12%, and occupancy improved over 1 percentage point. Strength in group bookings drove the outperformance and lead to an F&B revenue increase of over 15%. We expect our Philadelphia hotels to excel in 2012, primarily due to strong group demand and no negative impact from the renovation.

Our San Francisco hotels continued their excellent performance as RevPAR increased 11.2% due to an ADR improvement of nearly 9% and an occupancy increase of 1.5 percentage points. The improvement in ADR was driven by both rate increases and the shift in the mix of business to higher-rated segments.

Both group and transient demand were strong. For 2011, San Francisco was our top-performing market with a RevPAR increase of 16.3%, and it will continue to perform well in 2012. RevPAR for our Chicago hotels increased by 6.3%, driven by an increase in occupancy of nearly 3 percentage points and an improvement in average rate of over 2% as both transient and group demand were good. We expect our Chicago hotels to have another good year due to strong group and citywide bookings, which should drive ADR growth.

Read the rest of this transcript for free on seekingalpha.com

3 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,461.32 -153.49 -0.92%
S&P 500 1,927.11 -14.17 -0.73%
NASDAQ 4,382.8470 -36.6310 -0.83%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs