Park Hotels & Resorts (PK) Q1 2025 earnings summary

Executive summary

• Q1 2025 delivered flat RevPAR at $177.67, with ADR up 2.3% to $256.62 and occupancy at 69.2%, but net loss attributable to stockholders was $57 million versus net income of $28 million in Q1 2024.

• Bonnet Creek (Orlando) and Casa Marina (Key West) led portfolio performance post-renovation, with RevPAR up 14% and 12%, respectively.

• Broad-based strength in Miami, New Orleans, Puerto Rico, Washington, D.C., and San Francisco, while Hawaii hotels lagged with a 15.2% RevPAR decline and a 29% drop in Comparable Hotel Adjusted EBITDA.

• Returned $95 million to shareholders via dividends and buybacks; $80 million spent on capital improvements in Q1.

• Ongoing strategic focus on capital allocation, asset sales, and portfolio quality improvement.

Financial highlights

• Q1 2025 total revenues were $630 million, down from $639 million in Q1 2024; operating income dropped to $7 million from $92 million.

• Hotel Adjusted EBITDA was $151 million (24.9% margin), down from $169 million year-over-year; Adjusted EBITDA for Q1 2025 was $144 million.

• Adjusted FFO per share for Q1 2025 was $0.46, down from $0.52 in Q1 2024; Adjusted FFO attributable to stockholders was $92 million.

• Q1 dividend of $0.25 per share paid, with a 10% annualized yield.

• Impairment and casualty loss of $70 million recognized in Q1 2025.

Outlook and guidance

• Full-year 2025 Comparable RevPAR expected between $185 and $191, representing a -1.0% to +2.0% change vs. 2024.

• Adjusted EBITDA guidance for 2025 is $590–$650 million; Comparable Hotel Adjusted EBITDA margin expected at 25.6%–27.2%.

• Adjusted FFO per share for 2025 projected at $1.79–$2.09.

• Guidance includes $17 million EBITDA disruption from Royal Palm South Beach Miami renovation and excludes $35 million in default interest and late fees related to the SF Mortgage Loan.

• Q2 RevPAR growth expected to be flat year-over-year; Q4 group revenue pace up 18%.