The Ritz-Carlton, Naples Reopens

Completion of the Marriott Transformational Capital Program

BETHESDA, Md., Aug. 02, 2023 (GLOBE NEWSWIRE) -- Host Hotels & Resorts, Inc. (NASDAQ:HST) (the "Company"), the nation's largest lodging real estate investment trust ("REIT"), today announced results for second quarter of 2023.

Operating Results

(unaudited, in millions, except per share and hotel statistics)

	Quarter ended June 30,							Year-to-date ended June 30,
	2023		2022		Percent Change			2023		2022		Percent Change
Revenues	$	1,393	$	1,381		0.9	%	$	2,774	$	2,455		13.0	%
Comparable hotel revenues⁽¹⁾		1,375		1,324		3.9	%		2,728		2,334		16.9	%
Comparable hotel Total RevPAR⁽¹⁾		367.54		353.95		3.8	%		366.74		313.73		16.9	%
Comparable hotel RevPAR⁽¹⁾		225.12		219.23		2.7	%		221.46		192.82		14.9	%

Net income	$	214	$	260		(17.7	)%	$	505	$	378		33.6	%
EBITDAre⁽¹⁾		446		506		(11.9	)%		890		812		9.6	%
Adjusted EBITDAre⁽¹⁾		446		500		(10.8	)%		890		806		10.4	%

Diluted earnings per common share		0.29		0.36		(19.4	)%		0.70		0.52		34.6	%
NAREIT FFO per diluted share⁽¹⁾		0.53		0.58		(8.6	)%		1.07		0.97		10.3	%
Adjusted FFO per diluted share⁽¹⁾		0.53		0.58		(8.6	)%		1.08		0.97		11.3	%

* Additional detail on the Company's results, including data for 22 domestic markets, is available in the Second Quarter 2023 Supplemental Financial Information on the Company's website at www.hosthotels.com.

James F. Risoleo, President and Chief Executive Officer, said, "Host delivered comparable hotel RevPAR growth of 2.7% over the second quarter of 2022, which is noteworthy given the challenging comparison of the prior year. Our results were driven by improvements in the group business segment and continued rate strength across the portfolio, despite some moderation at our resort properties. Overall, transient demand was affected by headwinds in San Francisco and Seattle and elevated international outbound travel without a corresponding increase in international inbound travel, which led to RevPAR results below our second quarter guidance range. At the same time, comparable hotel Total RevPAR grew 3.8%, which is evidence of the continued strength of out-of-room spend."

Risoleo continued, "During the second quarter, we continued to execute on our capital allocation strategy with the reopening of the transformed Ritz-Carlton, Naples and the completion of the Marriott Transformational Capital Program, further improving the quality of our iconic portfolio. In addition, we tightened our full year RevPAR growth guidance range to 7.0% to 9.0%, based on our performance for the first half of year and the macroeconomic backdrop for the second half of the year. We believe that our balance sheet, diversified portfolio, and renovated assets leave Host uniquely positioned to deliver elevated EBITDA growth in the future."

^{(1) NAREIT Funds From Operations ("FFO") per diluted share, Adjusted FFO per diluted share, EBITDAre, Adjusted EBITDAre and comparable hotel revenues are non-GAAP (U.S. generally accepted accounting principles) financial measures within the meaning of the rules of the Securities and Exchange Commission ("SEC"). See the Notes to Financial Information on why the Company believes these supplemental measures are useful, reconciliations to the most directly comparable GAAP measure, and the limitations on the use of these supplemental measures. Additionally, comparable hotel results and statistics include adjustments for dispositions, acquisitions and non-comparable hotels. See Hotel Operating Data for RevPAR results of the portfolio based on the Company's ownership period without these adjustments.}

HIGHLIGHTS:

Comparable hotel Total RevPAR was $367.54 for the second quarter and $366.74 year-to-date, representing an increase of 3.8% and 16.9%, respectively, compared to the same periods in 2022. Comparable hotel RevPAR was $225.12 in the second quarter and $221.46 year-to-date, representing an increase of 2.7% and 14.9%, respectively, compared to the same periods in 2022, primarily driven by an increase in average rate of 2.4% for the quarter and 3.5% year-to-date. Growth in city center markets led to the overall improvement, offsetting moderating rates at resorts in comparison to an exceptionally strong second quarter in 2022.
Generated GAAP net income of $214 million in the second quarter, a decline compared to the second quarter of 2022 and reflecting GAAP operating profit margin of 17.9% for the quarter, a decrease of 580 basis points compared to the second quarter of 2022. Year-to-date, GAAP net income of $505 million reflected an increase compared to 2022, primarily due to an increase in operating profit and gain on asset sales, while GAAP operating profit margin declined 40 basis points compared to 2022 to 17.9%.
Comparable hotel EBITDA was $449 million and Adjusted EBITDAre was $446 million for the second quarter, representing a decline compared to 2022 second quarter results, and reflecting a decrease in comparable hotel EBITDA margin of 440 basis points to 32.7%. Year-to-date, comparable hotel EBITDA was $888 million and Adjusted EBITDAre was $890 million.
As expected, in addition to higher insurance and utility expenses, second quarter margin declines were driven by stabilized staffing levels in comparison to second quarter of 2022.
Announced the reopening of The Ritz-Carlton, Naples on July 6, 2023, following restoration efforts as a result of Hurricane Ian in September 2022. The reopening introduced transformational renovations to all guestrooms and suites as well as the new tower expansion and a reimagined arrival experience. The final phase of reconstruction at the Hyatt Regency Coconut Point, the resort's waterpark, was also completed and reopened in June. As of August 2, 2023, the Company has received $113 million of property insurance proceeds from its related claims, of the expected potential insurance recovery of approximately $310 million for covered costs. The proceeds received to date have all been classified as property damage and no gain related to Hurricane Ian has been recognized.
Completed the final project of the Marriott Transformational Capital Program with the renovation of the Washington Marriott at Metro Center. The program, which began in 2018, included extensive guestroom and public area renovations at 16 assets and finished under budget.
Achieved a milestone in the Company's progress towards its renewable energy goal, resulting in a 2.5 basis point reduction in the interest rate on the outstanding term loans under the Company's sustainability-linked credit facility.
Comparable hotel RevPAR for July is estimated to be $209, a 2.5% improvement over 2022.

BALANCE SHEET

The Company maintains a robust balance sheet, with the following balances at June 30, 2023:

Total assets of $12.4 billion.
Debt balance of $4.2 billion, with an average maturity of 4.7 years, an average interest rate of 4.5%, and no significant maturities until April 2024.
Total available liquidity of approximately $2.5 billion, including furniture, fixtures and equipment escrow reserves of $213 million and $1.5 billion available under the revolver portion of the credit facility.

DIVIDENDS

The Company paid a second quarter common stock cash dividend of $0.15 per share, an increase of $0.03 or 25% over its first quarter dividend, on July 17, 2023 to stockholders of record on June 30, 2023. All future dividends, including any special dividends, are subject to approval by the Company's Board of Directors.

HOTEL BUSINESS MIX UPDATE

The Company's customers fall into three broad groups: transient, group and contract business, which accounted for approximately 65%, 32%, and 3% respectively, of its 2022 room sales.

The following are the results for transient, group and contract business in comparison to 2022 performance, for the Company's current portfolio:

	Quarter ended June 30, 2023									Year-to-date ended June 30, 2023
	Transient			Group			Contract			Transient			Group			Contract
Room nights (in thousands)		1,517			1,085			174			2,849			2,123			332
Percent change in room nights vs. same period in 2022		(0.8	)%		0.0	%		12.6	%		3.7	%		22.5	%		12.0	%
Rooms revenues (in millions)	$	517		$	292		$	33		$	992		$	593		$	62
Percent change in revenues vs. same period in 2022		0.8	%		4.2	%		23.8	%		6.4	%		30.7	%		30.2	%

CAPITAL EXPENDITURES

The following presents the Company's capital expenditures spend through the second quarter of 2023 and the forecast for full year 2023 (in millions):

	Year-to-date ended June 30, 2023		2023 Full Year Forecast

	Actual		Low-end of range		High-end of range
ROI - Marriott Transformational Capital Program	$	18	$	25	$	30
All other return on investment ("ROI") projects		79		200		220
Total ROI Projects		97		225		250
Renewals and Replacements ("R&R")		133		275		300
R&R and ROI Capital expenditures		230		500		550
R&R - Insurable Reconstruction		93		125		175
Total Capital Expenditures	$	323	$	625	$	725

2023 OUTLOOK

Based on performance in the first half of the year and the macroeconomic backdrop for the second half, the Company tightened its full year comparable hotel RevPAR guidance range to 7.0% to 9.0% growth over 2022, bringing the midpoint of its full year expected RevPAR growth to 8%. At the midpoint of guidance, the Company's full year 2023 expected RevPAR is forecast to be 5.6% above 2019.

In the second half of the year, the Company expects year-over-year comparable hotel RevPAR percentage changes to be up low-single digits at the midpoint of guidance.

In comparison to 2019, which the Company believes is the most relevant comparison, operating profit margins are expected to decrease 10 basis points and comparable hotel EBITDA margins are expected to increase 40 basis points at the midpoint of guidance. However, as expected, margins declined in the second quarter in comparison to 2022, driven by closer to stable staffing levels, higher wages, insurance and utility expenses, lower attrition and cancelation fees, and occupancy below 2019 levels. The second quarter decline is expected to be the largest year-over-year decline and margins are expected to continue to moderate for the remainder of the year. In addition, the guidance range does not include any expected gains from business interruption proceeds related to Hurricane Ian at this time, as timing of any recognition is uncertain.

The Company anticipates its 2023 operating results as compared to 2022 will be in the following range:

	Current Full Year 2023 Guidance	Current Full Year 2023 Guidance Change vs. 2022	Previous Full Year 2023 Guidance Change vs. 2022	Change in Full Year 2023 Guidance to the Mid-Point
Comparable hotel Total RevPAR	$341 to $347	7.2% to 9.0%	7.7% to 10.5%	(80) bps
Comparable hotel RevPAR	$210 to $214	7.0% to 9.0%	7.5% to 10.5%	(100) bps
Total revenues under GAAP	$5,246 to $5,338	6.9% to 8.8%	7.3% to 10.1%	(80) bps
Operating profit margin under GAAP	14.1% to 14.8%	(170) bps to (100) bps	(140) bps to (30) bps	(50) bps
Comparable hotel EBITDA margin	29.7% to 30.1%	(210) bps to (170) bps	(200) bps to (130) bps	(30) bps

Based upon the above parameters, the Company estimates its 2023 guidance as follows:

	Current Full Year 2023 Guidance	Previous Full Year 2023 Guidance	Change in Full Year 2023 Guidance to the Mid-Point
Net income (in millions)	$700 to $748	$713 to $793	$	(28	)
Adjusted EBITDAre (in millions)	$1,535 to $1,585	$1,545 to $1,625	$	(25	)
Diluted earnings per common share	$0.97 to $1.03	$0.98 to $1.09	$	(0.04	)
NAREIT FFO per diluted share	$1.82 to $1.88	$1.83 to $1.94	$	(0.04	)
Adjusted FFO per diluted share	$1.82 to $1.89	$1.84 to $1.95	$	(0.04	)

See the 2023 Forecast Schedules and the Notes to Financial Information for items that may affect forecast results and the Second Quarter 2023 Supplemental Financial Information for additional detail on the mid-point of full year 2023 guidance.

ABOUT HOST HOTELS & RESORTS

Host Hotels & Resorts, Inc. is an S&P 500 company and is the largest lodging real estate investment trust and one of the largest owners of luxury and upper-upscale hotels. The Company currently owns 72 properties in the United States and five properties internationally totaling approximately 41,900 rooms. The Company also holds non-controlling interests in seven domestic and one international joint ventures. Guided by a disciplined approach to capital allocation and aggressive asset management, the Company partners with premium brands such as Marriott^®, Ritz-Carlton^®, Westin^®, Sheraton^®, W^®, St. Regis^®, The Luxury Collection^®, Hyatt^®, Fairmont^®, Hilton^®, Four Seasons^®, Swissôtel^®, ibis^® and Novotel^®, as well as independent brands. For additional information, please visit the Company's website at www.hosthotels.com.

Note: This press release contains forward-looking statements within the meaning of federal securities regulations. These forward-looking statements which include, but may not be limited to, our expectations regarding the impact of the COVID-19 pandemic on our business, the recovery of travel and the lodging industry, the impact of Hurricane Ian and 2023 estimates with respect to our business, including our anticipated capital expenditures and financial and operating results. Forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors which may cause the actual results to differ materially from those anticipated at the time the forward-looking statements are made. These risks include, but are not limited to, those described in the Company's annual report on Form 10-K and other filings with the SEC. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that the expectations will be attained or that any deviation will not be material. All information in this release is as of August 2, 2023 and the Company undertakes no obligation to update any forward-looking statement to conform the statement to actual results or changes in the Company's expectations.

* This press release contains registered trademarks that are the exclusive property of their respective owners. None of the owners of these trademarks has any responsibility or liability for any information contained in this press release.

*** Tables to Follow ***

Host Hotels & Resorts, Inc., herein referred to as "we," "Host Inc.," or the "Company," is a self-managed and self-administered real estate investment trust that owns hotel properties. We conduct our operations as an umbrella partnership REIT through an operating partnership, Host Hotels & Resorts, L.P. ("Host LP"), of which we are the sole general partner. When distinguishing between Host Inc. and Host LP, the primary difference is approximately 1% of the partnership interests in Host LP held by outside partners as of June 30, 2023, which are non-controlling interests in Host LP in our consolidated balance sheets and are included in net (income) loss attributable to non-controlling interests in our condensed consolidated statements of operations. Readers are encouraged to find further detail regarding our organizational structure in our annual report on Form 10-K.

HOST HOTELS & RESORTS, INC.
Condensed Consolidated Balance Sheets
(unaudited, in millions, except shares and per share amounts)

	June 30, 2023			December 31, 2022

ASSETS
Property and equipment, net	$	9,717		$	9,748
Right-of-use assets		555			556
Due from managers		87			94
Advances to and investments in affiliates		144			132
Furniture, fixtures and equipment replacement fund		213			200
Notes receivable		485			413
Other		362			459
Cash and cash equivalents		802			667
Total assets	$	12,365		$	12,269

LIABILITIES, NON-CONTROLLING INTERESTS AND EQUITY
Debt⁽¹⁾
Senior notes	$	3,117		$	3,115
Credit facility, including the term loans of $997 and $998, respectively		987			994
Mortgage and other debt		106			106
Total debt		4,210			4,215
Lease liabilities		567			568
Accounts payable and accrued expenses		209			372
Due to managers		67			67
Other		167			168
Total liabilities		5,220			5,390

Redeemable non-controlling interests - Host Hotels & Resorts, L.P.		168			164

Host Hotels & Resorts, Inc. stockholders' equity:
Common stock, par value $0.01, 1,050 million shares authorized, 711.4 million shares and 713.4 million shares issued and outstanding, respectively		7			7
Additional paid-in capital		7,671			7,717
Accumulated other comprehensive loss		(70	)		(75	)
Deficit		(636	)		(939	)
Total equity of Host Hotels & Resorts, Inc. stockholders		6,972			6,710
Non-redeemable non-controlling interests—other consolidated partnerships		5			5
Total equity		6,977			6,715
Total liabilities, non-controlling interests and equity	$	12,365		$	12,269

___________

(1) Please see our Second Quarter 2023 Supplemental Financial Information for more detail on our debt balances and financial covenant ratios under our credit facility and senior notes indentures.

HOST HOTELS & RESORTS, INC.
Condensed Consolidated Statements of Operations
(unaudited, in millions, except per share amounts)

	Quarter ended June 30,						Year-to-date ended June 30,
	2023			2022			2023			2022
Revenues
Rooms	$	850		$	850		$	1,670		$	1,505
Food and beverage		415			405			846			702
Other		128			126			258			248
Total revenues		1,393			1,381			2,774			2,455
Expenses
Rooms		201			189			394			349
Food and beverage		263			245			532			445
Other departmental and support expenses		323			300			638			573
Management fees		69			62			134			102
Other property-level expenses		93			78			184			162
Depreciation and amortization		168			162			337			334
Corporate and other expenses⁽¹⁾		30			25			61			48
Gain on insurance and business interruption settlements		(3	)		(7	)		(3	)		(7	)
Total operating costs and expenses		1,144			1,054			2,277			2,006
Operating profit		249			327			497			449
Interest income		20			6			34			7
Interest expense		(45	)		(37	)		(94	)		(73	)
Other gains		—			1			69			14
Equity in earnings of affiliates		4			2			11			4
Income before income taxes		228			299			517			401
Provision for income taxes		(14	)		(39	)		(12	)		(23	)
Net income		214			260			505			378
Less: Net income attributable to non-controlling interests		(4	)		(4	)		(8	)		(6	)
Net income attributable to Host Inc.	$	210		$	256		$	497		$	372
Basic earnings per common share	$	0.30		$	0.36		$	0.70		$	0.52
Diluted earnings per common share	$	0.29		$	0.36		$	0.70		$	0.52

___________

(1) Corporate and other expenses include the following items:

	Quarter ended June 30,				Year-to-date ended June 30,
	2023		2022		2023		2022

General and administrative costs	$	20	$	20	$	41	$	38
Non-cash stock-based compensation expense		6		5		13		10
Litigation accruals		4		—		7		—
Total	$	30	$	25	$	61	$	48

HOST HOTELS & RESORTS, INC.
Earnings per Common Share
(unaudited, in millions, except per share amounts)

	Quarter ended June 30,						Year-to-date ended June 30,
	2023			2022			2023			2022
Net income	$	214		$	260		$	505		$	378
Less: Net income attributable to non-controlling interests		(4	)		(4	)		(8	)		(6	)
Net income attributable to Host Inc.	$	210		$	256		$	497		$	372

Basic weighted average shares outstanding		711.3			714.8			712.3			714.6
Assuming distribution of common shares granted under the comprehensive stock plans, less shares assumed purchased at market		1.9			2.2			1.9			2.2
Diluted weighted average shares outstanding⁽¹⁾		713.2			717.0			714.2			716.8
Basic earnings per common share	$	0.30		$	0.36		$	0.70		$	0.52
Diluted earnings per common share	$	0.29		$	0.36		$	0.70		$	0.52

___________

(1) Dilutive securities may include shares granted under comprehensive stock plans, preferred operating partnership units ("OP Units") held by non-controlling limited partners and other non-controlling interests that have the option to convert their limited partnership interests to common OP Units. No effect is shown for any securities that were anti-dilutive for the period.

HOST HOTELS & RESORTS, INC.

Hotel Operating Data for Consolidated Hotels⁽¹⁾

Comparable Hotel Results by Location

	As of June 30, 2023		Quarter ended June 30, 2023								Quarter ended June 30, 2022
Location	No. of Properties	No. of Rooms	Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Percent Change in RevPAR		Percent Change in Total RevPAR
Maui/Oahu	4	2,006	$	594.07	73.7	%	$	437.96	$	678.06	$	567.20	78.0	%	$	442.56	$	690.02	(1.0	)%	(1.7	)%
Miami	2	1,033		538.70	69.6			374.98		646.85		618.60	67.4			416.89		697.72	(10.1	)	(7.3	)
Jacksonville	1	446		549.95	82.1			451.53		974.60		572.46	81.1			463.99		974.04	(2.7	)	0.1
Phoenix	3	1,545		372.81	73.6			274.51		651.73		394.21	76.0			299.63		677.94	(8.4	)	(3.9	)
Florida Gulf Coast	3	941		387.60	76.3			295.81		615.07		386.13	79.0			304.90		640.76	(3.0	)	(4.0	)
Orlando	2	2,448		363.44	73.4			266.90		542.00		402.61	73.8			297.06		580.59	(10.2	)	(6.6	)
New York	2	2,486		346.21	84.3			291.87		423.84		326.39	80.3			261.97		385.41	11.4		10.0
Los Angeles/Orange County	3	1,067		297.22	82.4			245.01		352.37		278.61	87.4			243.48		356.01	0.6		(1.0	)
San Diego	3	3,294		281.16	83.1			233.70		432.22		271.84	81.0			220.07		391.37	6.2		10.4
Washington, D.C. (CBD)	5	3,240		312.23	78.0			243.43		346.51		286.32	77.0			220.58		312.13	10.4		11.0
Boston	2	1,496		293.70	83.0			243.74		311.38		277.40	60.7			168.38		223.59	44.8		39.3
Austin	2	767		257.48	70.8			182.18		327.53		272.13	80.7			219.57		383.03	(17.0	)	(14.5	)
Philadelphia	2	810		249.51	83.5			208.44		327.91		229.82	86.6			199.08		303.95	4.7		7.9
Northern Virginia	2	916		261.74	73.7			192.88		292.30		228.38	75.8			173.05		266.99	11.5		9.5
San Francisco/San Jose	6	4,162		235.44	66.6			156.72		230.73		237.03	72.7			172.26		237.65	(9.0	)	(2.9	)
New Orleans	1	1,333		208.75	75.0			156.55		241.38		219.22	76.4			167.55		237.37	(6.6	)	1.7
Chicago	3	1,562		278.93	76.2			212.54		303.24		253.18	74.0			187.35		260.67	13.4		16.3
San Antonio	2	1,512		214.90	63.9			137.37		219.40		202.69	70.3			142.44		213.86	(3.6	)	2.6
Houston	5	1,942		208.54	72.3			150.82		207.78		184.11	67.1			123.53		175.70	22.1		18.3
Atlanta	2	810		194.10	76.0			147.44		239.70		186.06	77.5			144.28		236.30	2.2		1.4
Seattle	2	1,315		241.55	72.9			176.09		237.33		228.80	74.6			170.62		218.92	3.2		8.4
Denver	3	1,340		196.19	66.2			129.88		190.82		188.02	69.4			130.52		189.86	(0.5	)	0.5
Other	10	3,061		287.69	69.7			200.45		306.65		272.79	66.3			180.80		267.34	10.9		14.7
Domestic	70	39,532		306.78	74.7			229.05		374.40		300.38	74.6			224.05		361.94	2.2		3.4

International	5	1,499		193.42	62.7			121.31		184.99		155.80	59.0			91.91		140.79	32.0		31.4
All Locations	75	41,031		303.29	74.2			225.12		367.54		296.18	74.0			219.23		353.95	2.7		3.8

Comparable Hotel Results by Location

	As of June 30, 2023		Year-to-date ended June 30, 2023								Year-to-date ended June 30, 2022
Location	No. of Properties	No. of Rooms	Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Percent Change in RevPAR		Percent Change in Total RevPAR
Maui/Oahu	4	2,006	$	599.89	75.0	%	$	449.74	$	689.14	$	556.16	77.2	%	$	429.37	$	665.56	4.7	%	3.5	%
Miami	2	1,033		594.02	73.8			438.09		753.95		677.26	69.1			468.18		758.30	(6.4	)	(0.6	)
Jacksonville	1	446		532.21	74.7			397.60		872.26		555.35	70.8			393.31		846.75	1.1		3.0
Phoenix	3	1,545		455.18	78.0			355.17		764.31		442.80	74.8			331.38		709.91	7.2		7.7
Florida Gulf Coast	3	941		433.52	80.2			347.70		747.93		434.49	79.5			345.27		699.72	0.7		6.9
Orlando	2	2,448		395.90	74.7			295.85		591.62		427.24	66.0			281.89		534.73	5.0		10.6
New York	2	2,486		316.51	78.8			249.47		369.18		303.32	61.0			184.91		269.63	34.9		36.9
Los Angeles/Orange County	3	1,067		296.97	81.2			241.12		352.91		282.52	76.2			215.25		311.32	12.0		13.4
San Diego	3	3,294		282.01	80.1			225.75		427.16		265.79	71.3			189.62		343.77	19.1		24.3
Washington, D.C. (CBD)	5	3,240		293.53	71.1			208.82		304.05		269.82	57.9			156.21		222.15	33.7		36.9
Boston	2	1,496		256.23	76.1			195.06		262.66		235.57	54.2			127.70		168.31	52.8		56.1
Austin	2	767		273.23	70.4			192.43		343.15		274.92	71.3			196.03		334.68	(1.8	)	2.5
Philadelphia	2	810		229.68	78.9			181.17		283.96		206.81	76.7			158.68		244.18	14.2		16.3
Northern Virginia	2	916		245.58	69.7			171.08		259.21		216.27	64.4			139.18		208.25	22.9		24.5
San Francisco/San Jose	6	4,162		261.73	63.7			166.68		249.04		221.94	58.9			130.72		188.52	27.5		32.1
New Orleans	1	1,333		215.24	74.0			159.23		240.08		212.83	66.2			140.90		202.78	13.0		18.4
Chicago	3	1,562		238.80	64.0			152.79		219.73		220.82	57.4			126.78		174.77	20.5		25.7
San Antonio	2	1,512		227.23	67.0			152.20		242.68		195.73	68.8			134.67		205.78	13.0		17.9
Houston	5	1,942		206.36	72.8			150.32		208.68		182.12	64.0			116.60		162.56	28.9		28.4
Atlanta	2	810		195.42	75.0			146.53		241.17		180.13	72.0			129.60		207.01	13.1		16.5
Seattle	2	1,315		223.18	63.1			140.79		196.97		211.55	55.1			116.53		153.56	20.8		28.3
Denver	3	1,340		185.96	57.5			106.90		152.98		173.91	57.4			99.84		146.61	7.1		4.3
Other	10	3,061		319.34	64.0			204.29		314.22		323.74	59.1			191.24		284.58	6.8		10.4
Domestic	70	39,532		314.70	71.7			225.60		374.31		304.95	64.8			197.64		321.78	14.1		16.3

International	5	1,499		182.51	61.5			112.29		165.31		133.14	49.3			65.66		99.56	71.0		66.1
All Locations	75	41,031		310.54	71.3			221.46		366.74		300.14	64.2			192.82		313.73	14.9		16.9

___________

(1) See the Notes to Financial Information for a discussion of comparable hotel operating statistics. CBD of a location refers to the central business district. Hotel RevPAR is calculated as room revenues divided by the available room nights. Hotel Total RevPAR is calculated by dividing the sum of rooms, food and beverage and other revenues by the available room nights.

Results by Location - actual, based on ownership period⁽¹⁾

	As of June 30,
	2023	2022	Quarter ended June 30, 2023								Quarter ended June 30, 2022
Location	No. of Properties	No. of Properties	Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Percent Change in RevPAR		Percent Change in Total RevPAR
Maui/Oahu	4	4	$	594.07	73.7	%	$	437.96	$	678.06	$	567.20	78.0	%	$	442.56	$	690.02	(1.0	)%	(1.7	)%
Miami	2	2		538.70	69.6			374.98		646.85		596.12	68.2			406.35		676.00	(7.7	)	(4.3	)
Jacksonville	1	1		549.95	82.1			451.53		974.60		572.46	81.1			463.99		974.04	(2.7	)	0.1
Phoenix	3	4		372.81	73.6			274.51		651.73		367.35	75.5			277.29		612.01	(1.0	)	6.5
Florida Gulf Coast	5	5		347.63	56.5			196.31		418.07		411.67	70.2			288.94		598.02	(32.1	)	(30.1	)
Orlando	2	2		363.44	73.4			266.90		542.00		402.61	73.8			297.06		580.59	(10.2	)	(6.6	)
New York	2	2		346.21	84.3			291.87		423.84		313.84	78.3			245.88		361.64	18.7		17.2
Los Angeles/Orange County	3	3		297.22	82.4			245.01		352.37		278.61	87.4			243.48		356.01	0.6		(1.0	)
San Diego	3	3		281.16	83.1			233.70		432.22		271.84	81.0			220.07		391.37	6.2		10.4
Washington, D.C. (CBD)	5	5		312.23	78.0			243.43		346.51		286.32	77.0			220.58		312.13	10.4		11.0
Boston	2	2		293.70	83.0			243.74		311.38		277.40	60.7			168.38		223.59	44.8		39.3
Austin	2	2		257.48	70.8			182.18		327.53		272.13	80.7			219.57		383.03	(17.0	)	(14.5	)
Philadelphia	2	2		249.51	83.5			208.44		327.91		229.82	86.6			199.08		303.95	4.7		7.9
Northern Virginia	2	2		261.74	73.7			192.88		292.30		228.38	75.8			173.05		266.99	11.5		9.5
San Francisco/San Jose	6	6		235.44	66.6			156.72		230.73		237.03	72.7			172.26		237.65	(9.0	)	(2.9	)
New Orleans	1	1		208.75	75.0			156.55		241.38		219.22	76.4			167.55		237.37	(6.6	)	1.7
Chicago	3	4		278.93	76.2			212.54		303.24		240.04	71.8			172.32		237.59	23.3		27.6
San Antonio	2	2		214.90	63.9			137.37		219.40		202.69	70.3			142.44		213.86	(3.6	)	2.6
Houston	5	5		208.54	72.3			150.82		207.78		184.11	67.1			123.53		175.70	22.1		18.3
Atlanta	2	2		194.10	76.0			147.44		239.70		186.06	77.5			144.28		236.30	2.2		1.4
Seattle	2	2		241.55	72.9			176.09		237.33		228.80	74.6			170.62		218.92	3.2		8.4
Denver	3	3		196.19	66.2			129.88		190.82		188.02	69.4			130.52		189.86	(0.5	)	0.5
Other	10	9		287.69	69.7			200.45		306.65		262.88	69.1			181.67		265.61	10.3		15.5
Domestic	72	73		306.27	73.8			226.00		370.80		300.15	74.3			223.13		362.34	1.3		2.3

International	5	5		193.42	62.7			121.31		184.99		155.80	59.0			91.91		140.79	32.0		31.4
All Locations	77	78		302.82	73.4			222.26		364.22		296.11	73.8			218.53		354.65	1.7		2.7

Results by Location - actual, based on ownership period⁽¹⁾

	As of June 30,
	2023	2022	Year-to-date ended June 30, 2023								Year-to-date ended June 30, 2022
Location	No. of Properties	No. of Properties	Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Average Room Rate		Average Occupancy Percentage		RevPAR		Total RevPAR		Percent Change in RevPAR		Percent Change in Total RevPAR
Maui/Oahu	4	4	$	599.89	75.0	%	$	449.74	$	689.14	$	556.16	77.2	%	$	429.37	$	665.56	4.7	%	3.5	%
Miami	2	2		594.02	73.8			438.09		753.95		609.44	70.9			432.20		690.16	1.4		9.2
Jacksonville	1	1		532.21	74.7			397.60		872.26		555.35	70.8			393.31		846.75	1.1		3.0
Phoenix	3	4		446.98	78.0			348.64		738.46		412.40	74.7			307.94		643.07	13.2		14.8
Florida Gulf Coast	5	5		392.96	58.6			230.46		497.50		485.09	72.1			349.66		691.06	(34.1	)	(28.0	)
Orlando	2	2		395.90	74.7			295.85		591.62		427.24	66.0			281.89		534.73	5.0		10.6
New York	2	2		316.51	78.8			249.47		369.18		276.49	56.1			155.17		222.91	60.8		65.6
Los Angeles/Orange County	3	3		296.97	81.2			241.12		352.91		282.52	76.2			215.25		311.32	12.0		13.4
San Diego	3	3		282.01	80.1			225.75		427.16		265.79	71.3			189.62		343.77	19.1		24.3
Washington, D.C. (CBD)	5	5		293.53	71.1			208.82		304.05		269.82	57.9			156.21		222.15	33.7		36.9
Boston	2	2		256.23	76.1			195.06		262.66		228.61	51.8			118.39		155.01	64.8		69.4
Austin	2	2		273.23	70.4			192.43		343.15		274.92	71.3			196.03		334.68	(1.8	)	2.5
Philadelphia	2	2		229.68	78.9			181.17		283.96		206.81	76.7			158.68		244.18	14.2		16.3
Northern Virginia	2	2		245.58	69.7			171.08		259.21		216.27	64.4			139.18		208.25	22.9		24.5
San Francisco/San Jose	6	6		261.73	63.7			166.68		249.04		221.94	58.9			130.72		188.52	27.5		32.1
New Orleans	1	1		215.24	74.0			159.23		240.08		212.83	66.2			140.90		202.78	13.0		18.4
Chicago	3	4		238.80	64.0			152.79		219.73		210.41	56.0			117.93		161.24	29.6		36.3
San Antonio	2	2		227.23	67.0			152.20		242.68		195.73	68.8			134.67		205.78	13.0		17.9
Houston	5	5		206.36	72.8			150.32		208.68		182.12	64.0			116.60		162.56	28.9		28.4
Atlanta	2	2		195.42	75.0			146.53		241.17		180.13	72.0			129.60		207.01	13.1		16.5
Seattle	2	2		223.18	63.1			140.79		196.97		211.55	55.1			116.53		153.56	20.8		28.3
Denver	3	3		185.96	57.5			106.90		152.98		173.91	57.4			99.84		146.61	7.1		4.3
Other	10	9		319.34	64.0			204.29		314.22		266.94	60.0			160.20		229.80	27.5		36.7
Domestic	72	73		314.56	70.9			223.06		371.22		302.36	64.3			194.28		317.04	14.8		17.1

International	5	5		182.51	61.5			112.29		165.31		133.14	49.3			65.66		99.56	71.0		66.1
All Locations	77	78		310.46	70.6			219.11		363.94		297.88	63.7			189.88		309.66	15.4		17.5

___________

(1) Represents the results of the portfolio for the time period of our ownership, including the results of non-comparable properties, dispositions through their date of disposal and acquisitions beginning as of the date of acquisition.

HOST HOTELS & RESORTS, INC.
Schedule of Comparable Hotel Results ⁽¹⁾
(unaudited, in millions, except hotel statistics)

	Quarter ended June 30,						Year-to-date ended June 30,
	2023			2022			2023			2022
Number of hotels		75			75			75			75
Number of rooms		41,031			41,031			41,031			41,031
Change in comparable hotel Total RevPAR		3.8	%		—			16.9	%		—
Change in comparable hotel RevPAR		2.7	%		—			14.9	%		—
Operating profit margin⁽²⁾		17.9	%		23.7	%		17.9	%		18.3	%
Comparable hotel EBITDA margin⁽²⁾		32.7	%		37.1	%		32.6	%		34.1	%
Food and beverage profit margin⁽²⁾		36.6	%		39.5	%		37.1	%		36.6	%
Comparable hotel food and beverage profit margin⁽²⁾		36.9	%		39.8	%		37.2	%		37.2	%

Net income	$	214		$	260		$	505		$	378
Depreciation and amortization		168			162			337			334
Interest expense		45			37			94			73
Provision for income taxes		14			39			12			23
Gain on sale of property and corporate level income/expense		6			10			(53	)		17
Severance expense at hotel properties		—			—			—			2
Property transaction adjustments⁽³⁾		—			(3	)		(3	)		16
Non-comparable hotel results, net⁽⁴⁾		2			(15	)		(4	)		(48	)
Comparable hotel EBITDA⁽¹⁾	$	449		$	490		$	888		$	795

___________

(1) See the Notes to Financial Information for a discussion of comparable hotel results, which are non-GAAP measures, and the limitations on their use. For additional information on comparable hotel EBITDA by location, see the Second Quarter 2023 Supplemental Financial Information posted on our website.

(2) Profit margins are calculated by dividing the applicable operating profit by the related revenue amount. GAAP profit margins are calculated using amounts presented in the unaudited condensed consolidated statements of operations. Comparable hotel margins are calculated using amounts presented in the following tables, which include reconciliations to the applicable GAAP results:

	Quarter ended June 30, 2023									Quarter ended June 30, 2022
			Adjustments									Adjustments
	GAAP Results		Non-comparable hotel results, net ⁽⁴⁾			Depreciation and corporate level items		Comparable Hotel Results		GAAP Results		Property transaction adjustments ⁽³⁾			Non-comparable hotel results, net ⁽⁴⁾			Depreciation and corporate level items		Comparable Hotel Results
Revenues
Room	$	850	$	(8	)	$	—	$	842	$	850	$	(8	)	$	(22	)	$	—	$	820
Food and beverage		415		(9	)		—		406		405		(3	)		(18	)		—		384
Other		128		(1	)		—		127		126		—			(6	)		—		120
Total revenues		1,393		(18	)		—		1,375		1,381		(11	)		(46	)		—		1,324
Expenses
Room		201		(2	)		—		199		189		(3	)		(3	)		—		183
Food and beverage		263		(7	)		—		256		245		(1	)		(13	)		—		231

Host Hotels & Resorts, Inc. Reports Second Quarter 2023 Results