Ryman Hospitality Properties (RHP) Q3 2024 earnings summary

Executive summary

• Achieved record Q3 2024 consolidated revenue of $550 million, up 4.1% year over year, and record net income of $60.4 million, with Adjusted EBITDAre of $175 million, driven by strong group business and entertainment segment momentum.

• Hospitality segment growth was fueled by higher ADR and outside-the-room spending, while Entertainment saw incremental revenue from new venues like Category 10 in Nashville and Ole Red Las Vegas.

• JW Marriott Hill Country acquisition contributed $116.3 million in revenue for the nine-month period.

• Major capital investment initiatives are nearing completion, with significant upgrades across hospitality and entertainment assets, positioning for future growth.

• Declared a Q4 cash dividend of $1.15 per share, a 4.5% increase from Q3.

Financial highlights

• Nine-month 2024 revenues rose 10.9% to $1.69 billion; Q3 net income increased 48.1% to $60.4 million and diluted EPS rose 46.9% to $0.94.

• Q3 Adjusted EBITDAre was $174.8 million; Adjusted FFO per diluted share/unit up 6.6% to $1.93.

• Hospitality segment Q3 revenue grew 4.7% to $467.0 million; Entertainment segment Q3 revenue was $82.9 million, up 0.7%.

• Cash flow from operations for the nine months was $409.9 million; capital expenditures totaled $317.3 million.

• Unrestricted cash at quarter-end was $534.9 million, with total available liquidity of $1.3 billion.

Outlook and guidance

• Revised 2024 guidance: Lowered same-store Hospitality RevPAR and Total RevPAR growth, consolidated operating income, and Adjusted EBITDAre due to leisure transient softness, Hurricane Milton, and capital project disruptions.

• Raised full-year 2024 AFFO and AFFO per share guidance due to lower interest expense.

• 2024 Adjusted FFO guidance: $519M–$543.5M; Adjusted FFO per diluted share/unit: $8.39–$8.68.

• Full-year capital expenditures expected at $400M–$450M, up from prior range.

• Entertainment segment expected to see growth in 2025 as construction disruptions subside and Opry 100 programming activates.