Robust RevPAR and Adjusted EBITDA growth; Continued acquisitions; Solid dividend
Summit Hotel Properties, Inc. (NYSE: INN) (the ?Company?) today announced results for the second quarter ended June 30, 2012. The Company?s results include the following:
Second Quarter Highlights
- Pro forma RevPAR:?Pro forma RevPAR for the quarter ended June 30, 2012, increased 11.7 percent to $70.12, as a result of a 5.1 percent increase in average daily rate (?ADR?) to $95.52 and a 6.3 percent increase in occupancy to 73.4 percent.
- Pro forma Hotel EBITDA:?Pro forma Hotel EBITDA was $16.3 million for the second quarter, an increase of 16.2 percent over second quarter 2011.
- Pro forma Hotel EBITDA Margin:?Pro forma Hotel EBITDA Margin for the second quarter was 33.5 percent, an improvement of 134 basis points over the comparable period of 2011. The Company?s pro forma Hotel EBITDA margin expansion was 264 basis points when adjusting for the $0.6 million one-time hotel management fee concessions agreed to by Interstate Hotels and Resorts during second quarter 2011. Hotel EBITDA margin is defined as Hotel EBITDA as a percentage of total revenue.
- Adjusted EBITDA:?Adjusted EBITDA was $14.9 million, an increase of 35.6 percent as compared to second quarter 2011.
- Adjusted FFO:?Adjusted FFO for the second quarter 2012 was $10.1 million or $ 0.27 per diluted share/unit, an increase of 32% as compared to second quarter 2011.
- Acquisitions:?The Company acquired three hotels during the second quarter 2012, including:
- 103 room Courtyard by Marriott ? Dallas (Arlington), TX
- 112 room Hilton Garden Inn ? Nashville (Smyrna), TN
- 83 room Hampton Inn & Suites ? Nashville (Smyrna), TN
- Dividends:?The Company declared second quarter 2012 dividends of $0.1125 per common share, representing an annualized yield of approximately 5.57% based on the closing sale price of the Company?s common stock on the NYSE on August 8, 2012, and $0.5781 per share on the Company?s 9.25% Series A Cumulative Redeemable Preferred Stock.
1
