Park Hotels & Resorts' Operating Trends Remained Very Solid In October And November: Details

Yesterday, Park Hotels & Resorts Inc PK provided Q4 operating trends, with its Hawaii hotels continuing to experience solid performance, with RevPAR increasing 9.3% in October, followed by RevPAR growth of 14.5% in November.

The results were driven by improvements across its urban portfolio, which delivered year-over-year 10% Comparable RevPAR growth during the first two months of the quarter. 

The business travel accelerated in Boston, Chicago, New York, and Denver, and the company saw continued growth from group and leisure business at its Hawaii hotels.

"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," said Thomas J. Baltimore, Jr., Chairman and CEO of Park.

Also, the company expects $1.3 billion of liquidity to be available following the payment of its Q4 and a special cash dividend.

On October 27, 2023, Park's Board of Directors declared a special cash dividend of $0.77 per share. The special dividend will be paid on January 16, 2024, to stockholders of record as of December 29, 2023.

On November 30, 2023, the Board declared a Q4 dividend of $0.93 per share, including a regular quarterly dividend of $0.15 and a $0.78 top-off dividend based on 2023 operating results. 

FY23 Outlook: PK reaffirmed its outlook for Comparable RevPAR of $177 million-$179 million, Comparable Hotel Adjusted EBITDA margin of 27.7%- 28.2%, Adjusted EBITDA of $644 million-$668 million and Adjusted FFO per share of $1.92-$2.03. 

Price Action: PK shares are trading higher by 1.63% at $16.52 on the last check Thursday.