Park Hotels & Resorts Update on Recent Operating Trends and Capital Allocation Highlights


TYSONS, Va., Dec. 20, 2023 (GLOBE NEWSWIRE) — Park Hotels & Resorts Inc. (“Park” or the “Company”) (NYSE:PK) today provided an update on fourth quarter operating trends.

“I am incredibly pleased with the strength of our portfolio as operating trends remained very solid in both October and November. Results were once again driven by improvements across our urban portfolio which delivered year-over-year 10% Comparable RevPAR growth during the first two months of the quarter. Business travel accelerated in Boston, Chicago, New York and Denver, in addition to continued upside from group and leisure business at our Hawaii hotels with year-over-year RevPAR gains exceeding 9% in October and 14% in November. Additionally, we are near completion on our transformative renovation projects including at our Bonnet Creek and Casa Marina Key West, Curio Collection, properties which we expect to drive solid performance in 2024. And finally, we remain laser focused on creating long-term value for shareholders as evidenced by the over $630 million of capital we are returning to shareholders in 2023, including over $350 million, or $1.70 per share, of dividends declared during the fourth quarter. As we look ahead to 2024, we are excited about our growth prospects. Our reduced market exposure to San Francisco helps to change the narrative for the company and we remain well positioned to execute on our strategic growth priorities with $1.3 billion of liquidity expected to be available following the payment of our fourth quarter and special cash dividend,” said Thomas J. Baltimore, Jr., Chairman and CEO of Park.

Operational Highlights:


  • Park’s Hawaii hotels continue to experience solid performance with RevPAR increasing 9.3% over prior year in October, followed by RevPAR growth of 14.5% in November;
  • Park’s urban portfolio continues its strong recovery with October Comparable RevPAR increasing 9.1%, followed by November Comparable RevPAR increasing 11.2% versus prior year, with New York and Chicago among Park’s top performing urban markets in November, reporting year-over-year RevPAR gains of 15.1%, and 14.4%, respectively, followed by Boston, Denver, San Francisco, and Washington, D.C., each increasing over 10% versus the prior year on a Comparable basis;
  • Hotel net income for October 2023 and November 2023 was $39 million and $17 million, respectively;
  • Comparable Hotel Adjusted EBITDA margin for October 2023 was 32.6%, a 35 basis point decline year-over-year, while Comparable Hotel Adjusted EBITDA margin improved 53 basis points year-over-year in November 2023 to 25.0%;
  • Park reaffirms its full-year 2023 outlook for Comparable RevPAR, Comparable Hotel Adjusted EBITDA margin, Adjusted EBITDA and Adjusted FFO per diluted share provided in its November 1, 2023 earnings press release; and
  • Comparable Occupancy, ADR and RevPAR for the third quarter of 2023, October 2023 and November 2023 and comparisons to the same periods in 2022 are as follows:
  Q3 2023 vs. Q3 2022   October
vs. October
vs. November
Comparable Occupancy   75.3 % 2.7 % pts     77.3 % 1.9 % pts     71.4 % 2.7 % pts
Comparable ADR $ 241.74   (0.9 %)   $ 254.47   2.3 %   $ 241.60   2.0 %
Comparable RevPAR $ 182.08   2.8 %   $ 196.67   4.9 %   $ 172.54   5.9 %

Capital Expenditure Highlights:

  • At Bonnet Creek, Park is expected to complete its nearly $230 million transformative expansion and full-scale renovation of The Waldorf Astoria Orlando and Signia by Hilton Orlando Bonnet Creek hotels in January 2024. Both hotels are well positioned to capitalize on their repositioning with 2024 Group Revenue Pace as of November 30, 2023 up 35% compared to the same time last year, while the market is currently experiencing a 5% decline in 2024 group room night pace. The hotels are expected to benefit from improved group positioning, with an increase in ADR for future group business up over 10% on average, through 2025;
  • In Key West, the approximately $80 million renovation at Casa Marina Key West, Curio Collection is near completion with all guest room inventory online as of December 6th and the new oceanfront restaurant, Dorada, expected to debut during the first quarter of 2024. Overall Group Revenue Pace at the hotel is up 9% versus 2019; and
  • The multi-phased renovation project of the 1,021-room Tapa Tower at the Hilton Hawaiian Village Waikiki Beach Resort is expected to be completed this week.

Capital Return Highlights:

  • On October 27, 2023, Park’s Board of Directors declared a special cash dividend of $0.77 per share in connection with the effective exit from two of Park’s San Francisco hotels – the 1,921-room Hilton San Francisco Union Square and the 1,024-room Parc 55 San Francisco – a Hilton Hotel (collectively, the “Hilton San Francisco Hotels”). The special dividend will be paid on January 16, 2024 to stockholders of record as of December 29, 2023;
  • On November 30, 2023, Park’s Board of Directors declared a fourth quarter dividend of $0.93 per share of common stock which includes Park’s regular quarterly dividend of $0.15 coupled with a $0.78 top off dividend based on 2023 operating results. This dividend will also be paid on January 16, 2024 to stockholder of record as of December 29, 2023. The fourth quarter dividend, together with the regular cash dividends declared for the first three quarters of 2023, represent an annual yield of 8.4% based on the closing stock price as of December 19, 2023; and
  • Park has not repurchased any of its stock in the fourth quarter to date.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (“Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended (“Exchange Act”). Forward-looking statements include, but are not limited to, statements related to the anticipated effects of the Company’s decision to cease payments on its $725 million non-recourse CMBS loan secured by the Hilton San Francisco Hotels and the effects of the lender’s exercise of its remedies, including placing such hotels into receivership, as well as our current expectations regarding the performance of our business, our financial results, our liquidity and capital resources, including anticipated repayment of certain of the Company’s indebtedness, the completion of capital allocation priorities, the expected repurchase of the Company’s stock, the impact from macroeconomic factors (including inflation, increases in interest rates, potential economic slowdown or a recession and geopolitical conflicts), the effects of competition, the effects of future legislation or regulations, the expected completion of anticipated dispositions, the declaration and payment of future dividends and other non-historical statements. Forward-looking statements include all statements that are not historical facts, and in some cases, can be identified by the use of forward-looking terminology such as the words “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “projects,” “predicts,” “intends,” “plans,” “estimates,” “anticipates”, “hopes” or the negative version of these words or other comparable words. You should not rely on forward-looking statements since they involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control and which could materially affect our results of operations, financial condition, cash flows, performance or future achievements or events.

All such forward-looking statements are based on current expectations of management and therefore involve estimates and assumptions that are subject to risks, uncertainties and other factors that could cause actual results to differ materially from the results expressed in these forward-looking statements. You should not put undue reliance on any forward-looking statements and we urge investors to carefully review the disclosures Park make concerning risks and uncertainties in Item 1A: “Risk Factors” in Park’s Annual Report on Form 10-K for the year ended December 31, 2022, as such factors may be updated from time to time in Park’s filings with the SEC, which are accessible on the SEC’s website at Except as required by law, Park undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

Non-GAAP Financial Measures

Park presents certain non-GAAP financial measures in this press release, including Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin. These non-GAAP financial measures should be considered along with, but not as alternatives to, net income (loss) as a measure of its operating performance. Please see the schedules included in this press release including the “Definitions” section for additional information and reconciliations of such non-GAAP financial measures.

About Park Hotels & Resorts

Park is one of the largest publicly traded lodging REIT with a diverse portfolio of market-leading hotels and resorts with significant underlying real estate value. Park’s portfolio currently consists of 43 premium-branded hotels and resorts with over 26,000 rooms primarily located in prime city center and resort locations. Visit for more information. 





(unaudited, in millions)      
  Month Ended   Month Ended
  October 31, 2023   November 30, 2023
Hotel net income $ 39   $ 17
Depreciation and amortization expense   21     20
Interest expense   10     10
Hotel EBITDA   70     47
Other   5     2
Hotel Adjusted EBITDA   75     49
Less: Adjusted EBITDA from the Hilton San Francisco Hotels   1    
Comparable Hotel Adjusted EBITDA $ 76   $ 49

  Month Ended   Month Ended
  October 31, 2023   November 30, 2023
Total Revenues $ 256     $ 202  
Less: Other revenue   (7 )     (8 )
Less: Revenue from the Hilton San Francisco Hotels   (16 )      
Comparable Hotel Revenues $ 233     $ 194  

  Month Ended   Month Ended
  October 31, 2023   November 30, 2023
Comparable Hotel Revenues $ 233     $ 194  
Comparable Hotel Adjusted EBITDA $ 76     $ 49  
Comparable Hotel Adjusted EBITDA margin   32.6 %     25.0 %




The Company presents certain data for its consolidated hotels on a Comparable basis as supplemental information for investors: Comparable Hotel Revenues, Comparable RevPAR, Comparable Occupancy, Comparable ADR, Comparable Hotel Adjusted EBITDA and Comparable Hotel Adjusted EBITDA Margin. The Company presents Comparable hotel results to help the Company and its investors evaluate the ongoing operating performance of its hotels. The Company’s Comparable metrics exclude results from property dispositions that have occurred through December 20, 2023 and include results from property acquisitions as though such acquisitions occurred on the earliest period presented. Park’s Comparable hotels also exclude the two Hilton San Francisco Hotels, the1,921-room Hilton San Francisco Union Square and 1,024-room Parc 55 San Francisco – a Hilton Hotel, which were placed into receivership at the end of October 2023.

EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA Margin

Hotel earnings before interest expense, taxes and depreciation and amortization (“Hotel EBITDA”), presented herein, reflects net income excluding depreciation and amortization, interest income, interest expense and income taxes of the Company’s consolidated hotels. Hotel Adjusted EBITDA is Hotel EBITDA further adjusted to exclude items that management believes are not reflective of the Company’s ongoing operating performance or incurred in the normal course of business, and thus, excluded from management’s analysis in making day-to-day operating decisions and evaluations of Park’s operating performance against other companies within the industry. Hotel Adjusted EBITDA is a key measure of the Company’s consolidated hotels profitability. The Company presents Hotel Adjusted EBITDA to help the Company and its investors evaluate the ongoing operating performance of the Company’s consolidated hotels.

Hotel Adjusted EBITDA margin is calculated as Hotel Adjusted EBITDA divided by total hotel revenue.

Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin are not recognized terms under United States (“U.S.”) GAAP. Hotel EBITDA and Hotel Adjusted EBITDA should not be considered as an alternative to net income or other measures of financial performance or liquidity derived in accordance with U.S. GAAP. In addition, the Company’s definition of Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin may not be comparable to similarly titled measures of other companies.

The Company believes that Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin provide useful information to investors about the Company and its financial condition and results of operations for the following reasons: (i) Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin are among the measures used by the Company’s management team to make day-to-day operating decisions and evaluate its operating performance between periods and between REITs by removing the effect of its capital structure (primarily interest expense) and asset base (primarily depreciation and amortization) from its operating results; and (ii) Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin are frequently used by securities analysts, investors and other interested parties as common performance measures to compare results or estimate valuations across companies in the industry.

Hotel EBITDA, Hotel Adjusted EBITDA and Hotel Adjusted EBITDA margin have limitations as analytical tools and should not be considered either in isolation or as a substitute for net income (loss) or other methods of analyzing the Company’s operating performance and results as reported under U.S. GAAP.


Occupancy represents the total number of room nights sold divided by the total number of room nights available at a hotel or group of hotels. Occupancy measures the utilization of the Company’s hotels’ available capacity. Management uses occupancy to gauge demand at a specific hotel or group of hotels in a given period. Occupancy levels also help management determine achievable Average Daily Rate (“ADR”) levels as demand for rooms increases or decreases.

Average Daily Rate

ADR (or rate) represents rooms revenue divided by total number of room nights sold in a given period. ADR measures average room price attained by a hotel and ADR trends provide useful information concerning the pricing environment and the nature of the customer base of a hotel or group of hotels. ADR is a commonly used performance measure in the hotel industry, and management uses ADR to assess pricing levels that the Company is able to generate by type of customer, as changes in rates have a more pronounced effect on overall revenues and incremental profitability than changes in occupancy, as described above.

Revenue per Available Room

Revenue per Available Room (“RevPAR”) represents rooms revenue divided by the total number of room nights available to guests for a given period. Management considers RevPAR to be a meaningful indicator of the Company’s performance as it provides a metric correlated to two primary and key factors of operations at a hotel or group of hotels: Occupancy and ADR. RevPAR is also a useful indicator in measuring performance over comparable periods.

Group Revenue Pace

Group Revenue Pace represents bookings for future business and is calculated as group room nights multiplied by the contracted room rate expressed as a percentage of a prior period relative to a prior point in time.

For more information, contact:
Ian Weissman
Senior Vice President, Corporate Strategy
[email protected]

For additional information or to receive press releases via e-mail, please visit our website at

Disclaimer: The above press release comes to you under an arrangement with GlobeNewswire. takes no editorial responsibility for the same.