Ryman Hospitality Properties, Inc. (NYSE: RHP), a lodging real
estate investment trust (“REIT”) specializing in group-oriented,
destination hotel assets in urban and resort markets, today
reported financial results for the first quarter ended March 31,
2020.
First Quarter 2020 Results (as compared to First Quarter
2019):
- Hospitality RevPAR decreased 20.6% and Hospitality Total RevPAR
decreased 16.3%
- Consolidated Net Income Available to Common Shareholders
declined 258.2% to a loss of $46.5 million including approximately
$33 million in non-cash charges
- Consolidated Adjusted EBITDAre decreased 41.8% to $66.9
million
- Adjusted Funds From Operations Available to Common Shareholders
decreased 58.3% to $32.4 million
- Consolidated Net Income Available to Common Shareholders,
Adjusted EBITDAre and Adjusted Funds From Operations Available to
Common Shareholders include $14 million of COVID-19 related payroll
costs
- Gross advanced room night of 288,771 room nights for all future
years
- Early success rebooking approximately 167,000 COVID-19 related
cancelled room nights, representing over $75 million in total
revenue as of May 1, 2020
- Successfully amended credit facility to obtain waivers of
financial covenants through March 31, 2021 and ensure access to
undrawn revolver capacity
Colin Reed, Chairman and Chief Executive Officer of Ryman
Hospitality Properties, said, “We started the first quarter of this
year in a dramatically different position than where we ended. In
fact, our January and February results outperformed our plan. The
month of March was setting up to be similarly strong until we,
along with nearly every sector of the global economy, were faced
with the economic fallout from the COVID-19 pandemic, which for us
included approximately $14 million of related costs, approximately
$10 million of which were accrued for the second quarter of 2020.
Just two weeks into March, we worked alongside state health
officials to temporarily suspend operations at nearly all of our
businesses to protect the health and wellbeing of our communities,
guests, and employees.
As we have done during periods of great uncertainty in the past,
including September 11, the Great Financial Crisis and the
Nashville flood of 2010, our Board of Directors and leadership team
made the early decision to communicate regularly with all of our
stakeholders during this time. We hope this information has proven
useful to you.
While the 2020 picture looks very different today than it did at
the start of the first quarter, our team will navigate this crisis
by focusing on our core differentiators as a company. We are
pursuing opportunities to strengthen our relationship with our
customers by offering flexible rebooking policies; we have secured
the liquidity and covenant amendments needed to successfully
navigate through this period of business interruption; and we are
focused on supporting our employees so that we are in a strong
position once it is practical and safe to begin reopening our
businesses.
To that end, we continue to see encouraging activity from our
meeting planning counterparts and have successfully rebooked
approximately 167,000 room nights, which represents over $75
million in revenue. With approximately 742,000 contracted group
room nights on the books as of May 1st for the second half of 2020,
we believe the demand for our assets remains healthy and our
customers have a strong desire to return to our venues once local
market conditions make it possible to do so.”
First Quarter 2020 Results (As Compared
to First Quarter 2019):
Consolidated Results
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|
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|
($ in thousands, except per
share amounts) |
Three Months Ended |
|
March 31, |
|
2020 |
|
2019 |
|
% ∆ |
|
Total Revenue |
$ |
313,030 |
|
$ |
370,775 |
|
-15.6% |
|
|
|
|
|
|
|
|
Operating Income |
$ |
4,750 |
|
$ |
53,964 |
|
-91.2% |
|
Operating Income margin |
|
1.5% |
|
|
14.6% |
|
-13.1pt |
|
|
|
|
|
|
|
|
Net Income available to common
shareholders 1 |
$ |
(46,516) |
|
$ |
29,408 |
|
-258.2% |
|
Net Income available to common
shareholders margin |
|
-14.9% |
|
|
7.9% |
|
-22.8pt |
|
Net Income available to common
shareholders per diluted share |
$ |
0.85 |
|
$ |
0.57 |
|
-249.1% |
|
|
|
|
|
|
|
|
Adjusted EBITDAre |
$ |
66,875 |
|
$ |
114,857 |
|
-41.8% |
|
Adjusted
EBITDAre margin |
|
21.4% |
|
|
31.0% |
|
-9.6pt |
|
Adjusted EBITDAre, excluding
noncontrolling interest |
$ |
59,169 |
|
$ |
109,259 |
|
-45.8% |
|
Adjusted EBITDAre, excluding
noncontrolling interest margin |
|
18.9% |
|
|
29.5% |
|
-10.6pt |
|
|
|
|
|
|
|
|
Funds From Operations (FFO)
available to common shareholders |
$ |
(1,760) |
|
$ |
73,679 |
|
-102.4% |
|
FFO available to common
shareholders per diluted share |
$ |
0.03 |
|
$ |
1.42 |
|
-102.3% |
|
|
|
|
|
|
|
|
Adjusted FFO available to
common shareholders |
$ |
32,430 |
|
$ |
77,757 |
|
-58.3% |
|
Adjusted FFO available to
common shareholders per diluted share |
$ |
0.59 |
|
$ |
1.50 |
|
-60.7% |
|
|
|
|
|
|
|
|
(1) Net Income
available to common shareholders for the three months ended March
31, 2020 includes approximately $33 million in non-cash
charges, |
including
approximately $26.7 million for income tax valuation allowances and
approximately $5.8 million for credit losses on held-to-maturity
securities |
|
Note: For the Company’s definitions of Operating
Income margin, Net Income available to common shareholders margin,
Adjusted EBITDAre, Adjusted EBITDAre margin, Adjusted EBITDAre,
excluding noncontrolling interest, Adjusted EBITDAre, excluding
noncontrolling interest margin, FFO available to common
shareholders, and Adjusted FFO available to common shareholders, as
well as a reconciliation of the non-GAAP financial measure Adjusted
EBITDAre to Net Income and a reconciliation of the non-GAAP
financial measure Adjusted FFO available to common shareholders to
Net Income, see “Calculation of GAAP Margin Figures,” “Non-GAAP
Financial Measures,” “Adjusted EBITDAre and Adjusted EBITDAre,
Excluding Noncontrolling Interest Definition,” “Adjusted EBITDAre,
Excluding Noncontrolling Interest Margin Definition,” “Adjusted FFO
available to common shareholders Definition” and “Supplemental
Financial Results” below.
Hospitality Segment
Hospitality Segment
Results |
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($ in thousands, except ADR,
RevPAR, and Total RevPAR) |
|
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|
|
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|
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Three Months Ended |
|
March 31, |
|
|
2020 |
|
|
|
2019 |
|
|
% ∆ |
|
|
|
|
|
|
|
|
Hospitality Revenue (1) |
$ |
285,671 |
|
|
$ |
337,510 |
|
|
-15.4% |
|
|
|
|
|
|
|
|
Hospitality Operating
Income (1) (2) |
$ |
19,143 |
|
|
$ |
59,629 |
|
|
-67.9% |
|
Hospitality Operating Income
margin (1) |
|
6.7% |
|
|
|
17.7% |
|
|
-11.0pt |
|
Hospitality Adjusted
EBITDAre (1) |
$ |
76,164 |
|
|
$ |
114,297 |
|
|
-33.4% |
|
Hospitality Adjusted
EBITDAre margin (1) |
|
26.7% |
|
|
|
33.9% |
|
|
-7.2pt |
|
|
|
|
|
|
|
|
Hospitality Performance
Metrics (1) |
|
|
|
|
|
|
Occupancy |
|
57.1% |
|
|
|
72.3% |
|
|
-15.2pt |
|
Average Daily Rate (ADR) |
$ |
202.09 |
|
|
$ |
201.07 |
|
|
0.5% |
|
RevPAR |
$ |
115.36 |
|
|
$ |
145.30 |
|
|
-20.6% |
|
Total RevPAR |
$ |
310.51 |
|
|
$ |
370.93 |
|
|
-16.3% |
|
|
|
|
|
|
|
|
Gross Definite Rooms Nights Booked |
|
288,771 |
|
|
|
395,967 |
|
|
-27.1% |
|
Net Definite Rooms Nights Booked |
|
(415,754 |
) |
|
|
273,453 |
|
|
-252.0% |
|
Group Attrition (as % of contracted block) |
|
16.5 |
% |
|
|
13.4 |
% |
|
3.1pt |
|
Cancellations ITYFTY (3) |
|
559,448 |
|
|
|
24,939 |
|
|
2143.3% |
|
|
|
|
|
|
|
|
(1) Includes
approximately 15,700 room nights out of service during the first
quarter 2019 reltaed to the Gaylord Opryland rooms renovation
project |
(2) Includes $5.8 million
credit loss on held-to-maturity securities |
|
|
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(3) "ITYFTY" represents In The
Year For The Year. |
|
Note: For the Company’s definitions of Revenue
Per Available Room (RevPAR) and Total Revenue Per Available Room
(Total RevPAR), see “Calculation of RevPAR and Total RevPAR”
below. Property-level results and operating metrics for first
quarter 2020 are presented in greater detail below and under
“Supplemental Financial Results—Hospitality Segment Adjusted
EBITDAre Reconciliations and Operating Metrics,” which includes a
reconciliation of the non-GAAP financial measures Hospitality
Adjusted EBITDAre to Hospitality Operating Income, and
property-level Adjusted EBITDAre to property-level Operating Income
for each of the hotel properties.
Gaylord Opryland
($ in thousands,
except ADR, RevPAR, and Total RevPAR) |
|
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|
Three Months Ended |
|
|
|
March 31, |
|
|
|
|
2020 |
|
|
|
2019 |
|
|
% ∆ |
|
|
|
|
|
|
|
|
|
|
Revenue |
|
|
$ |
76,127 |
|
|
$ |
88,958 |
|
|
-14.4% |
|
Operating
Income |
|
$ |
14,005 |
|
|
$ |
21,746 |
|
|
-35.6% |
|
Operating Income
margin |
|
18.4% |
|
|
|
24.4% |
|
|
-6.0pt |
|
Adjusted
EBITDAre |
|
$ |
21,520 |
|
|
$ |
30,243 |
|
|
-28.8% |
|
Adjusted
EBITDAre margin |
|
28.3% |
|
|
|
34.0% |
|
|
-5.7pt |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
|
60.4% |
|
|
|
74.2% |
|
|
-13.8pt |
|
Average daily rate (ADR) |
$ |
194.54 |
|
|
$ |
191.53 |
|
|
1.6% |
|
RevPAR |
|
|
$ |
117.46 |
|
|
$ |
142.10 |
|
|
-17.3% |
|
Total RevPAR |
|
$ |
289.67 |
|
|
$ |
342.25 |
|
|
-15.4% |
|
Gaylord Opryland Highlights for First Quarter
2020 (As Compared to First Quarter
2019):
- Occupancy of 60.4% was down 13.8 percentage points while ADR of
$194.54 increased 1.6%. RevPAR declined 17.3% to $117.46 and Total
RevPAR declined 15.4% to $289.67 on total revenue of $76.1 million,
representing a 14.4% decrease. Operating Income decreased 35.6% to
$14.0 million, and Adjusted EBITDAre decreased 28.8% to $21.5
million.
- During January and February, Total RevPAR grew 9.0%, and
Adjusted EBITDAre grew 11.8%, driven by a mix shift toward
Association room nights, higher occupancy and higher food and
beverage revenue, which benefitted from the increase in overall
group room nights.
- In March, Gaylord Opryland generated a modest Operating Loss
and slightly positive Adjusted EBITDAre despite the impact of
COVID-19 related costs, with occupancy slightly above 30% for the
month.
- The hotel began its temporary closure on March 26th. Total
COVID-19 related expenses in the quarter were approximately $2.4
million.
Gaylord Palms
($ in thousands,
except ADR, RevPAR, and Total RevPAR) |
|
|
|
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|
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|
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|
Three Months Ended |
|
|
|
March 31, |
|
|
|
|
2020 |
|
|
|
2019 |
|
|
% ∆ |
|
|
|
|
|
|
|
|
|
|
Revenue |
|
|
$ |
45,375 |
|
|
$ |
59,916 |
|
|
-24.3% |
|
Operating
Income |
|
$ |
7,072 |
|
|
$ |
17,600 |
|
|
-59.8% |
|
Operating Income
margin |
|
15.6% |
|
|
|
29.4% |
|
|
-13.8pt |
|
Adjusted
EBITDAre |
|
$ |
12,598 |
|
|
$ |
23,619 |
|
|
-46.7% |
|
Adjusted
EBITDAre margin |
|
27.8% |
|
|
|
39.4% |
|
|
-11.6pt |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
|
62.6% |
|
|
|
82.8% |
|
|
-20.2pt |
|
Average daily rate (ADR) |
$ |
216.67 |
|
|
$ |
213.38 |
|
|
1.5% |
|
RevPAR |
|
|
$ |
135.56 |
|
|
$ |
176.57 |
|
|
-23.2% |
|
Total RevPAR |
|
$ |
352.14 |
|
|
$ |
470.16 |
|
|
-25.1% |
|
Gaylord Palms Highlights for First
Quarter 2020 (As Compared to First Quarter 2019):
- Occupancy of 62.6% was down 20.2 percentage points while ADR of
$216.67 increased 1.5%. RevPAR declined 23.2% to $135.56 and Total
RevPAR declined 25.1% to $352.14 on total revenue of $45.4 million,
representing a 24.3% decrease. Operating Income decreased 59.8% to
$7.1 million, and Adjusted EBITDAre decreased 46.7% to $12.6
million.
- The quarter was disproportionately affected by the timing of
certain groups’ stays, which were concentrated in the later portion
of the quarter after the Company’s COVID-19 mitigation efforts were
implemented.
- During January and February, Total RevPAR increased 1.5% driven
by higher occupancy levels, partially offset by a slight decline in
ADR and food and beverage revenue in the period.
- In March, Gaylord Palms generated a modest Operating Loss and
modestly negative Adjusted EBITDAre, including the impact of costs
related to COVID-19. Occupancy was below 30%.
- The hotel began its temporary closure on March 25th. Total
COVID-19 related expenses in the quarter were approximately $1.4
million.
Gaylord Texan
($ in thousands,
except ADR, RevPAR, and Total RevPAR) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
|
|
2020 |
|
|
|
2019 |
|
|
% ∆ |
|
|
|
|
|
|
|
|
|
|
Revenue |
|
|
$ |
55,996 |
|
|
$ |
72,039 |
|
|
-22.3% |
|
Operating
Income |
|
$ |
13,379 |
|
|
$ |
22,354 |
|
|
-40.1% |
|
Operating Income
margin |
|
23.9% |
|
|
|
31.0% |
|
|
-7.1pt |
|
Adjusted
EBITDAre |
|
$ |
19,842 |
|
|
$ |
28,998 |
|
|
-31.6% |
|
Adjusted
EBITDAre margin |
|
35.4% |
|
|
|
40.3% |
|
|
-4.9pt |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
|
56.3% |
|
|
|
77.9% |
|
|
-21.6pt |
|
Average daily rate (ADR) |
$ |
204.70 |
|
|
$ |
198.23 |
|
|
3.3% |
|
RevPAR |
|
|
$ |
115.26 |
|
|
$ |
154.39 |
|
|
-25.3% |
|
Total RevPAR |
|
$ |
339.22 |
|
|
$ |
441.25 |
|
|
-23.1% |
|
Gaylord Texan Highlights for First
Quarter 2020 (As Compared to First Quarter 2019):
- Occupancy of 56.3% was down 21.6 percentage points while ADR of
$204.70 increased 3.3%. RevPAR declined 25.3% to $115.26 and Total
RevPAR declined 23.1% to $339.22 on total revenue of $56.0 million,
representing a 22.3% decline. Operating Income decreased 40.1% to
$13.4 million, and Adjusted EBITDAre decreased 31.6% to $19.8
million.
- During January and February, Total RevPAR grew 2.1% as an
increase in total rooms nights sold was partially offset by a shift
towards outlet spending and away from banquets and catering.
- In March, Gaylord Texan generated a modest Operating Loss but
modestly positive Adjusted EBITDAre despite the impact of COVID-19
related costs. Occupancy was slightly above 20%.
- The hotel began its temporary closure on March 25th. Total
COVID-19 related expenses in the quarter were approximately $0.9
million.
Gaylord National
($ in thousands,
except ADR, RevPAR, and Total RevPAR) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
March 31, |
|
|
|
|
2020 |
|
|
|
2019 |
|
|
% ∆ |
|
|
|
|
|
|
|
|
|
|
Revenue |
|
|
$ |
49,394 |
|
$ |
65,630 |
|
-24.7% |
|
Operating Income
(Loss) |
$ |
(12,921) |
|
$ |
6,234 |
|
-307.3% |
|
Operating Income
margin |
|
-26.2% |
|
|
9.5% |
|
-35.7pt |
|
Adjusted
EBITDAre |
|
$ |
1,313 |
|
$ |
15,793 |
|
-91.7% |
|
Adjusted
EBITDAre margin |
|
2.7% |
|
|
24.1% |
|
-21.4pt |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
|
51.9% |
|
|
72.0% |
|
-20.1pt |
|
Average daily rate (ADR) |
$ |
207.08 |
|
$ |
218.38 |
|
-5.2% |
|
RevPAR |
|
|
$ |
107.51 |
|
$ |
157.12 |
|
-31.6% |
|
Total RevPAR |
|
$ |
271.94 |
|
$ |
365.34 |
|
-25.6% |
|
Gaylord National Highlights for First
Quarter 2020 (As Compared to First Quarter 2019):
- Occupancy of 51.9% was down 20.1 percentage points while ADR of
$207.08 decreased 5.2%. RevPAR declined 31.6% to $107.51 and Total
RevPAR declined 25.6% to $271.94 on total revenue of $49.4 million,
representing a 24.7% decline. Operating Income decreased 307.3% to
a loss of $12.9 million, and Adjusted EBITDAre decreased 91.7% to
$1.3 million.
- During January and February, Total RevPAR grew 9.1% driven by
increases in occupancy and ADR, as well as by higher outside the
room spend on banquets and catering.
- In March, Gaylord National generated both an Operating Loss and
an Adjusted EBITDAre loss, including the impact of COVID-19 related
costs. The significant declines in occupancy led to a larger impact
on profitability given the higher cost structure at Gaylord
National as compared to our other Gaylord Hotels.
- The hotel began its temporary closure on March 25th. Total
COVID-19 related expenses in the quarter were approximately $4.4
million, which includes the impact of paying both employer and
employee portions of medical premiums.
Gaylord Rockies
($ in thousands, except ADR, RevPAR, and Total
RevPAR) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
March 31, |
|
|
|
|
2020 |
|
|
|
2019 |
|
|
% ∆ |
|
|
|
|
|
|
|
|
|
|
Revenue |
|
|
$ |
54,598 |
|
$ |
45,243 |
|
20.7% |
|
Operating Loss (1) |
|
$ |
(1,739) |
|
$ |
(8,770) |
|
80.2% |
|
Operating Loss margin |
|
-3.2% |
|
|
-19.4% |
|
16.2pt |
|
Adjusted EBITDAre (1) |
$ |
20,870 |
|
$ |
14,427 |
|
44.7% |
|
Adjusted EBITDAre margin |
|
38.2% |
|
|
31.9% |
|
6.3pt |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
|
57.4% |
|
|
55.4% |
|
2.0pt |
|
Average daily rate (ADR) |
$ |
203.31 |
|
$ |
196.81 |
|
3.3% |
|
RevPAR |
|
|
$ |
116.63 |
|
$ |
109.13 |
|
6.9% |
|
Total RevPAR |
|
$ |
399.72 |
|
$ |
334.91 |
|
19.4% |
|
Gaylord Rockies Highlights for First
Quarter 2020 (As Compared to First Quarter 2019):
- Occupancy of 57.4% was up 2.0 percentage points while ADR of
$203.31 increased 3.3%. RevPAR increased 6.9% to $116.63 and Total
RevPAR increased 19.4% to $399.72 on total revenue of $54.6
million, representing an increase of 20.7%. Operating Loss improved
80.2% to a loss of $1.7 million, and Adjusted EBITDAre increased
44.7% to $20.9 million.
- During January and February, revenue growth was strong with
Total RevPAR increasing 77.5% compared to the 2019 period due
primarily to the fact that the hotel had recently opened in
December 2018 and was growing its group business. Higher corporate
and association room nights also drove strong food and beverage
spend.
- In March, Gaylord Rockies generated an Operating Loss but
delivered positive Adjusted EBITDAre, despite the impact of
COVID-19 related costs. Average occupancy was slightly below
30%.
- The hotel began its temporary closure on March 25th. Total
COVID-19 related expenses in the quarter were approximately $1.1
million.
Entertainment Segment
On March 15, 2020, in association with the City
of Nashville’s Safer at Home Order, the Company closed its
Nashville-based Entertainment assets, excluding Gaylord Springs
Golf Links. For the three months ended March 31, 2020 and 2019, the
Company reported the following:
|
|
|
|
|
|
Three Months Ended |
|
March 31, |
($ in thousands) |
|
2020 |
|
|
2019 |
|
% ∆ |
|
|
|
|
Revenue |
$ |
27,359 |
$ |
33,265 |
-17.8% |
Operating Income/(Loss)1 |
$ |
(5,786) |
$ |
3,736 |
-254.9% |
Operating Income/(Loss)
margin |
|
-21.1% |
|
11.2% |
-32.3pt |
Adjusted EBITDAre |
$ |
(3,280) |
$ |
7,883 |
-141.6% |
Adjusted
EBITDAre margin |
|
-12.0% |
|
23.7% |
-35.7pt |
|
|
|
|
(1) Total COVID-19
related expenses were approximately $3.7 million |
Reed continued, “As with our hospitality businesses, we took
quick, decisive actions across our managed entertainment assets
during the month of March to protect employee, artist and guest
safety. We are monitoring local and state health guidelines
for each of the markets in which we operate, and we look forward to
reopening each of these venues as soon as it is safe to do so. In
the meantime, we are pleased to keep the nearly 95-year
tradition of the Grand Ole Opry Saturday night broadcast alive and
well through a weekly live performance that, in addition to its
broadcast on 650 AM WSM, has been viewed by millions of fans over
the last six weeks across 97 countries via our social media
channels, Circle TV, and Circle’s local broadcast affiliates.”
Corporate and Other Segment
For the three months ended March 31, 2020 and
2019, the Company reported the following:
|
Three Months Ended |
|
March 31, |
($ in thousands) |
2020 |
2019 |
% ∆ |
|
|
|
|
Operating Loss1 |
($ |
8,607 |
) |
($ |
9,401 |
) |
8.4 |
% |
Adjusted EBITDAre |
($ |
6,009 |
) |
($ |
7,323 |
) |
17.9 |
% |
|
|
|
|
(1) Total COVID-19
related expenses were approximately $0.2 million |
Corporate and Other Segment Operating Loss and Adjusted EBITDAre
loss for first quarter 2020 were reduced compared to the year ago
period due to COVID-19 related cost containment initiatives.
Reed concluded, “As we prepare for the
possibility that COVID-19 may present a threat for some time, I am
heartened by the fact that our company and the communities in which
we operate are in a good position to weather the storm, and our
customers are eager to return to us. Indeed, work is already
underway across our portfolio to create flexible, yet comprehensive
reopening plans that will allow our businesses to operate through
several stages of recovery. I am confident that we will overcome
these challenges and emerge a stronger, more nimble organization
and look forward to updating you as we have more to share about our
recovery plans.”
Dividend UpdateThe Company paid
its first quarter 2020 cash dividend of $0.95 per share of common
stock on April 15, 2020 to stockholders of record on March 31,
2020. The Company suspended its regular quarterly dividend
payments for the remainder of 2020. The Board of Directors will
consider a future dividend as permitted by our credit agreement.
Our credit facility amendment described below permits payment
of dividends as necessary to maintain our REIT status and permits
us to pay a dividend of $0.01 per share each quarter.
Any future dividend is subject to the Board of
Director’s determinations as to the amount of distributions and the
timing thereof.
Balance Sheet/Liquidity
UpdateAs of March 31, 2020, the Company had total debt
outstanding of $2,951.9 million, net of unamortized deferred
financing costs, and unrestricted cash of $662.2 million. As of
March 31, 2020, $400.0 million of borrowings were drawn under the
revolving credit line of the Company’s credit facility, and the
lending banks had issued $0.9 million in letters of credit, which
left $299.1 million of availability for borrowing under the credit
facility.
As previously disclosed, we have taken steps to
both preserve and maximize liquidity in this environment while also
investing for the future. With this in mind, we have suspended or
eliminated $82 million of hotel capital projects for 2020, in
addition to delaying the start of the previously announced Gaylord
Rockies expansion. The ongoing expansion of the Gaylord Palms will
continue to service anticipated future demand. The Gaylord Palms
expansion is scheduled to be completed in April 2021. Within our
Entertainment Segment, while construction is complete, we delayed
the April grand opening of Ole Red Orlando. Finally, we have
obtained temporary waivers with respect to certain covenants
governing our Credit Facility. We will continue to evaluate our
overall capital budget for 2020 as the situation evolves, balancing
current and anticipated liquidity needs with future growth
opportunities.
On April 23, 2020, the Company entered into an
amendment of its credit facility, which provides a waiver of the
existing financial covenants through March 31, 2021 and confirms
the availability of the remaining undrawn amounts under the
revolving credit facility. During the waiver period, the amendment
provides for increased interest on outstanding amounts due under
the revolving credit facility and the Term Loan A facility,
additional restrictions on debt, investments, dividends, share
repurchases and certain capital expenditures, and a minimum
liquidity requirement. In addition, all borrowings under the
revolving credit facility made during the waiver period may only be
used for payment of operating expenses, debt service, and permitted
capital expenditures and investments.
Guidance The Company withdrew
its earnings guidance for Fiscal Year 2020 on March 8, 2020.
Earnings Call Information
Ryman Hospitality Properties will hold a
conference call to discuss this release today at 1 p.m. ET.
Investors can listen to the conference call over the Internet at
www.rymanhp.com. To listen to the live call, please go to the
Investor Relations section of the website (Investor
Relations/Presentations, Earnings and Webcasts) at least 15 minutes
prior to the call to register and download any necessary audio
software. For those who cannot listen to the live broadcast, a
replay will be available shortly after the call and will be
available for at least 30 days.
About Ryman Hospitality Properties,
Inc.
Ryman Hospitality Properties, Inc. (NYSE: RHP)
is a leading lodging and hospitality real estate investment trust
that specializes in upscale convention center resorts and country
music entertainment experiences. The Company’s core holdings*
include a network of five of the top 10 largest non-gaming
convention center hotels in the United States based on total indoor
meeting space. These convention center resorts operate under the
Gaylord Hotels brand and are managed by Marriott International. The
Company also owns two adjacent ancillary hotels and a small number
of attractions managed by Marriott International for a combined
total of 10,110 rooms and more than 2.7 million square feet of
total indoor and outdoor meeting space in top convention and
leisure destinations across the country. The Company’s
Entertainment segment includes a growing collection of iconic and
emerging country music brands, including the Grand Ole Opry; Ryman
Auditorium, WSM 650 AM; Ole Red and Circle, a country lifestyle
media network the Company owns in a joint-venture with Gray
Television. The Company operates its Entertainment segment as part
of a taxable REIT subsidiary. In December 2019, the Company
announced plans to acquire Block 21 a mixed-use entertainment,
lodging, office and retail complex that includes the 251-room W
Hotel Austin, 53,000 square feet of Class A commercial space and
the 2,750-seat ACL Live at the Moody Theater, in Austin, Texas. The
transaction is expected to close in the second quarter of 2020.
Visit RymanHP.com for more information. * The Company is the
sole owner of Gaylord Opryland Resort & Convention Center;
Gaylord Palms Resort & Convention Center; Gaylord Texan Resort
& Convention Center; and Gaylord National Resort &
Convention Center. It is the majority owner and managing member of
the joint venture that owns Gaylord Rockies Resort & Convention
Center.
Cautionary Note Regarding
Forward-Looking Statements This press release contains
statements as to the Company’s beliefs and expectations of the
outcome of future events that are forward-looking statements as
defined in the Private Securities Litigation Reform Act of 1995.
You can identify these statements by the fact that they do not
relate strictly to historical or current facts. Examples of these
statements include, but are not limited to, statements regarding
the future performance of our business, estimated capital
expenditures, new projects or investments, out-of-service rooms,
the expected approach to making dividend payments, the board’s
ability to alter the dividend policy at any time and other business
or operational issues. These forward-looking statements are subject
to risks and uncertainties that could cause actual results to
differ materially from the statements made. These include the risks
and uncertainties associated with the COVID-19 pandemic, including
the effects of the COVID-19 pandemic on us and the hospitality and
entertainment industries generally, the effects of the COVID-19
pandemic on the demand for travel, transient and group business
(including government-imposed restrictions), levels of consumer
confidence in the safety of travel and group gathering as a result
of COVID-19, the duration and severity of the COVID-19 pandemic in
the United States and the pace of recovery following the COVID-19
pandemic, the duration and severity of the COVID-19 pandemic in the
markets where our assets are located, economic conditions affecting
the hospitality business generally, the geographic concentration of
the Company’s hotel properties, business levels at the Company’s
hotels, the Company’s ability to remain qualified as a REIT for
federal income tax purposes, the Company’s ability to execute its
strategic goals as a REIT, the Company’s ability to generate cash
flows to support dividends, future board determinations regarding
the timing and amount of dividends and changes to the dividend
policy, which could be made at any time, the determination of
Adjusted FFO available to common shareholders and REIT taxable
income, and the Company’s ability to borrow funds pursuant to its
credit agreement. Other factors that could cause operating and
financial results to differ are described in the filings made from
time to time by the Company with the U.S. Securities and Exchange
Commission (SEC) and include the risk factors and other risks and
uncertainties described in the Company’s Annual Report on Form 10-K
for the fiscal year ended December 31, 2019 and its Quarterly
Reports on Form 10-Q and subsequent filings. The Company does not
undertake any obligation to release publicly any revisions to
forward-looking statements made by it to reflect events or
circumstances occurring after the date hereof or the occurrence of
unanticipated events.
Additional InformationThis
release should be read in conjunction with the consolidated
financial statements and notes thereto included in our most recent
annual report on Form 10-K and subsequent filings. Copies of our
reports are available on our website at no expense at
www.rymanhp.com and through the SEC’s Electronic Data Gathering
Analysis and Retrieval System (“EDGAR”) at www.sec.gov.
Calculation of RevPAR and Total
RevPARWe calculate revenue per available room (“RevPAR”)
for our hotels by dividing room revenue by room nights available to
guests for the period. We calculate total revenue per available
room (“Total RevPAR”) for our hotels by dividing the sum of room
revenue, food & beverage and other ancillary services revenue
by room nights available to guests for the period. Rooms out of
service for renovation are included in room nights available. For
the three months ended March 31, 2020, the calculation of RevPAR
and Total RevPAR has not been changed as a result of the COVID-19
pandemic and the resulting hotel closures and is consistent with
prior periods. The closure of our Gaylord Hotel properties has
resulted in the significant decrease in performance reflected in
these metrics for the three months ended March 31, 2020, as
compared to the prior year period.
Calculation of GAAP Margin
FiguresWe calculate Net Income available to common
shareholders margin by dividing GAAP consolidated Net Income
available to common shareholders by GAAP consolidated Total
Revenue. We calculate consolidated, segment or property-level
Operating Income Margin by dividing consolidated, segment or
property-level GAAP Operating Income by consolidated, segment or
property-level GAAP Revenue.
Non-GAAP Financial MeasuresWe
present the following non-GAAP financial measures we believe are
useful to investors as key measures of our operating
performance:
Adjusted EBITDAre and Adjusted EBITDAre,
Excluding Noncontrolling Interest DefinitionWe calculate
EBITDAre, which is defined by the National Association of Real
Estate Investment Trusts (“NAREIT”) in its September 2017 white
paper as net income (calculated in accordance with GAAP) plus
interest expense, income tax expense, depreciation and
amortization, gains or losses on the disposition of depreciated
property (including gains or losses on change in control),
impairment write-downs of depreciated property and of investments
in unconsolidated affiliates caused by a decrease in the value of
depreciated property or the affiliate, and adjustments to reflect
the entity’s share of EBITDAre of unconsolidated affiliates.
Adjusted EBITDAre is then calculated as EBITDAre, plus to the
extent the following adjustments occurred during the periods
presented: preopening costs; non-cash ground lease expense;
equity-based compensation expense; impairment charges that do not
meet the NAREIT definition above; credit losses on held-to-maturity
securities; any transaction costs of acquisitions; interest income
on bonds; pension settlement charges; pro rata Adjusted EBITDAre
from unconsolidated joint ventures, and any other adjustments we
have identified in this release. We then exclude noncontrolling
interests in consolidated joint ventures to calculate Adjusted
EBITDAre, Excluding Noncontrolling Interest. We make additional
adjustments to EBITDAre when evaluating our performance because we
believe that presenting Adjusted EBITDAre, Adjusted EBITDAre,
Excluding Noncontrolling Interest, and adjustments for certain
additional items provide useful information to investors regarding
our operating performance and debt leverage metrics, and that the
presentation of Adjusted EBITDAre and Adjusted EBITDAre, Excluding
Noncontrolling Interest, when combined with the primary GAAP
presentation of net income, is beneficial to an investor’s complete
understanding of our operating performance. Beginning in the first
quarter 2020 with the Company’s adoption of ASU 2016-13, “Financial
Instruments – Credit Losses – Measurement of Credit Losses on
Financial Instruments,” our definition of Adjusted EBITDAre
includes an adjustment for credit loss on held-to-maturity
securities; such charges in previous quarters were included in
impairment charges that do not meet the NAREIT definition.
Adjusted EBITDAre, Excluding
Noncontrolling Interest Margin DefinitionWe calculate
consolidated Adjusted EBITDAre, Excluding Noncontrolling Interest
Margin by dividing consolidated Adjusted EBITDAre, Excluding
Noncontrolling Interest by GAAP consolidated Total Revenue. We
calculate consolidated, segment, or property-level Adjusted
EBITDAre Margin by dividing consolidated-, segment-, or
property-level Adjusted EBITDAre by consolidated, segment, or
property-level GAAP Revenue. We believe Adjusted EBITDAre,
Excluding Noncontrolling Interest Margin is useful to investors in
evaluating our operating performance because this non-GAAP
financial measure helps investors evaluate and compare the results
of our operations from period to period by presenting a ratio
showing the quantitative relationship between Adjusted EBITDAre,
Excluding Noncontrolling Interest and GAAP consolidated Total
Revenue or segment or property-level GAAP Revenue, as
applicable.
Adjusted FFO available to common
shareholders DefinitionWe calculate FFO, which definition
is clarified by NAREIT in its December 2018 white paper as net
income (calculated in accordance with GAAP) excluding depreciation
and amortization (excluding amortization of deferred financing
costs and debt discounts), gains and losses from the sale of
certain real estate assets, gains and losses from a change in
control, impairment write-downs of certain real estate assets and
investments in entities when the impairment is directly
attributable to decreases in the value of depreciated real estate
held by the entity, income (loss) from consolidated joint ventures
attributable to noncontrolling interest, and pro rata adjustments
for unconsolidated joint ventures. To calculate Adjusted FFO
available to common shareholders, we then exclude, to the extent
the following adjustments occurred during the periods presented,
right-of-use asset amortization, impairment charges that do not
meet the NAREIT definition above; write-offs of deferred financing
costs, non-cash ground lease expense, credit loss on
held-to-maturity securities, amortization of debt discounts or
premiums and amortization of deferred financing costs, pension
settlement charges, additional pro rata adjustments from
unconsolidated joint ventures, (gains) losses on other assets,
transaction costs on acquisitions, deferred income tax expense
(benefit), and (gains) losses on extinguishment of debt. To
calculate Adjusted FFO available to common shareholders (excluding
maintenance capex), we then exclude FF&E reserve for managed
properties and maintenance capital expenditures for non-managed
properties. FFO available to common shareholders, Adjusted FFO
available to common shareholders, and Adjusted FFO available to
common shareholders (excluding maintenance capex) exclude the
ownership portion of Gaylord Rockies joint venture not controlled
or owned by the Company. Beginning in the first quarter 2020 with
the Company’s adoption of ASU 2016-13, “Financial Instruments –
Credit Losses – Measurement of Credit Losses on Financial
Instruments,” our definition of Adjusted FFO available to common
shareholders includes an adjustment for credit loss on
held-to-maturity securities; such charges in previous quarters were
included in impairment charges that do not meet the NAREIT
definition.
We believe that the presentation of FFO
available to common shareholders, Adjusted FFO available to common
shareholders, and Adjusted FFO available to common shareholders
(excluding maintenance capex) provide useful information to
investors regarding the performance of our ongoing operations
because it is a measure of our operations without regard to
specified non-cash items such as real estate depreciation and
amortization, gain or loss on sale of assets and certain other
items which we believe are not indicative of the performance of our
underlying hotel properties. We believe that these items are more
representative of our asset base than our ongoing operations. We
also use FFO available to common shareholders, Adjusted FFO
available to common shareholders, and Adjusted FFO available to
common shareholders (excluding maintenance capex) as measures in
determining our results after considering the impact of our capital
structure. A reconciliation of Net Income (loss) to FFO available
to common shareholders and a reconciliation of Net Income (loss)
available to common shareholders to Adjusted FFO available to
common shareholders and Adjusted FFO available to common
shareholders (excluding maintenance capex) is set forth below under
“Supplemental Financial Results.”
We caution investors that amounts presented in accordance with
our definitions of Adjusted EBITDAre, Adjusted EBITDAre, Excluding
Noncontrolling Interest, Adjusted EBITDAre, Excluding
Noncontrolling Interest Margin, FFO available to common
shareholders, Adjusted FFO available to common shareholders and
Adjusted FFO available to common shareholders (excluding
maintenance capex) may not be comparable to similar measures
disclosed by other companies, because not all companies calculate
these non-GAAP measures in the same manner. Adjusted EBITDAre,
Adjusted EBITDAre, Excluding Noncontrolling Interest, Adjusted
EBITDAre, Excluding Noncontrolling Interest Margin, FFO available
to common shareholders, Adjusted FFO available to common
shareholders, and Adjusted FFO available to common shareholders
(excluding maintenance capex), and any related per share measures,
should not be considered as alternative measures of our Net Income
(loss), operating performance, cash flow or liquidity. Adjusted
EBITDAre, Adjusted EBITDAre, Excluding Noncontrolling Interest, FFO
available to common shareholders, Adjusted FFO available to common
shareholders, and Adjusted FFO available to common shareholders
(excluding maintenance capex) may include funds that may not be
available for our discretionary use due to functional requirements
to conserve funds for capital expenditures and property
acquisitions and other commitments and uncertainties. Although we
believe that Adjusted EBITDAre, Adjusted EBITDAre, Excluding
Noncontrolling Interest, Adjusted EBITDAre, Excluding
Noncontrolling Interest Margin, FFO available to common
shareholders, Adjusted FFO available to common shareholders, and
Adjusted FFO available to common shareholders (excluding
maintenance capex) can enhance an investor’s understanding of our
results of operations, these non-GAAP financial measures, when
viewed individually, are not necessarily better indicators of any
trend as compared to GAAP measures such as Net Income (loss), Net
Income Margin, Operating Income (loss), Operating Income Margin, or
cash flow from operations. In addition, you should be aware that
adverse economic and market and other conditions may harm our cash
flow.
Investor Relations Contacts: |
Media Contacts: |
Mark Fioravanti, President & Chief Financial Officer |
Shannon Sullivan, Vice President Corporate and Brand
Communications |
Ryman Hospitality Properties, Inc. |
Ryman Hospitality Properties, Inc. |
(615) 316-6588 |
(615) 316-6725 |
mfioravanti@rymanhp.com |
ssullivan@rymanhp.com |
~or~ |
~or~ |
Todd Siefert, Senior Vice President Corporate Finance &
Treasurer |
Robert Winters |
Ryman Hospitality Properties, Inc. |
Alpha IR Group |
(615) 316-6344 |
(929) 266-6315 |
tsiefert@rymanhp.com |
robert.winters@alpha-ir.com |
|
|
|
|
|
|
RYMAN
HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES |
|
|
|
|
|
|
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS |
Unaudited |
(In thousands,
except per share data) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended |
|
|
|
Mar. 31 |
|
|
|
|
2020 |
|
|
|
2019 |
|
|
Revenues : |
|
|
|
|
|
Rooms |
$ |
106,128 |
|
|
$ |
132,212 |
|
|
|
Food and
beverage |
|
145,750 |
|
|
|
171,143 |
|
|
|
Other hotel
revenue |
|
33,793 |
|
|
|
34,155 |
|
|
|
Entertainment |
|
27,359 |
|
|
|
33,265 |
|
|
|
Total
revenues |
|
313,030 |
|
|
|
370,775 |
|
|
|
|
|
|
|
|
Operating expenses: |
|
|
|
|
|
Rooms |
|
32,308 |
|
|
|
34,969 |
|
|
|
Food and
beverage |
|
83,811 |
|
|
|
91,359 |
|
|
|
Other hotel
expenses |
|
90,474 |
|
|
|
90,939 |
|
|
|
Management
fees |
|
5,492 |
|
|
|
9,756 |
|
|
|
Total
hotel operating expenses |
|
212,085 |
|
|
|
227,023 |
|
|
|
Entertainment |
|
29,346 |
|
|
|
25,641 |
|
|
|
Corporate |
|
8,136 |
|
|
|
9,004 |
|
|
|
Preopening
costs |
|
801 |
|
|
|
2,134 |
|
|
|
Gain on sale
of assets |
|
(1,261 |
) |
|
|
- |
|
|
|
Credit loss
on held-to-maturity securities |
|
5,828 |
|
|
|
- |
|
|
|
Depreciation
and amortization |
|
53,345 |
|
|
|
53,009 |
|
|
|
Total
operating expenses |
|
308,280 |
|
|
|
316,811 |
|
|
|
|
|
|
|
|
Operating income |
|
4,750 |
|
|
|
53,964 |
|
|
|
|
|
|
|
|
Interest expense, net of amounts capitalized |
|
(29,358 |
) |
|
|
(32,087 |
) |
|
Interest income |
|
2,371 |
|
|
|
2,908 |
|
|
Loss from joint ventures |
|
(1,895 |
) |
|
|
- |
|
|
Other gains and (losses), net |
|
195 |
|
|
|
(141 |
) |
|
Income (loss) before income taxes |
|
(23,937 |
) |
|
|
24,644 |
|
|
|
|
|
|
|
|
Provision for income taxes |
|
(26,799 |
) |
|
|
(1,974 |
) |
|
Net income (Loss) |
|
(50,736 |
) |
|
|
22,670 |
|
|
|
|
|
|
|
|
Net loss attributable to noncontrolling interest in consolidated
joint venture |
|
4,220 |
|
|
|
6,738 |
|
|
Net income (loss) available to common shareholders |
$ |
(46,516 |
) |
|
$ |
29,408 |
|
|
|
|
|
|
|
|
Basic income (loss) per share available to common shareholders |
$ |
(0.85 |
) |
|
$ |
0.57 |
|
|
Diluted income (loss) per share available to common
shareholders |
$ |
(0.85 |
) |
|
$ |
0.57 |
|
|
|
|
|
|
|
|
Weighted average common shares for the period: |
|
|
|
|
|
Basic |
|
54,911 |
|
|
|
51,349 |
|
|
|
Diluted |
|
54,911 |
|
|
|
51,949 |
|
|
|
|
|
|
|
|
RYMAN
HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES |
|
|
|
|
|
|
|
|
|
CONDENSED
CONSOLIDATED BALANCE SHEETS |
|
Unaudited |
|
(In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Mar.
31 |
|
Dec.
31, |
|
|
|
|
|
2020 |
|
2019 |
|
|
|
|
|
|
|
|
|
ASSETS: |
|
|
|
|
|
Property and equipment, net of accumulated depreciation |
$ |
3,129,977 |
|
$ |
3,130,252 |
|
|
Cash and cash equivalents - unrestricted |
|
662,156 |
|
|
362,430 |
|
|
Cash and cash equivalents - restricted |
|
64,501 |
|
|
57,966 |
|
|
Notes receivable |
|
99,900 |
|
|
110,135 |
|
|
Trade receivables, net |
|
78,952 |
|
|
70,768 |
|
|
Deferred income tax assets, net |
|
- |
|
|
25,959 |
|
|
Prepaid expenses and other assets |
|
112,236 |
|
|
123,845 |
|
|
Intangible assets |
|
197,080 |
|
|
207,113 |
|
|
|
Total assets |
$ |
4,344,802 |
|
$ |
4,088,468 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND EQUITY: |
|
|
|
|
|
Debt and finance lease obligations |
$ |
2,951,888 |
|
$ |
2,559,968 |
|
|
Accounts payable and accrued liabilities |
|
240,313 |
|
|
264,915 |
|
|
Dividends payable |
|
53,037 |
|
|
50,711 |
|
|
Deferred management rights proceeds |
|
174,558 |
|
|
175,332 |
|
|
Operating lease liabilities |
|
106,925 |
|
|
106,331 |
|
|
Deferred income tax liabilities, net |
|
600 |
|
|
- |
|
|
Other liabilities |
|
94,434 |
|
|
64,971 |
|
|
Noncontrolling interest in consolidated joint venture |
|
163,026 |
|
|
221,511 |
|
|
Stockholders' equity |
|
560,021 |
|
|
644,729 |
|
|
|
Total liabilities and equity |
$ |
4,344,802 |
|
$ |
4,088,468 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RYMAN
HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES |
SUPPLEMENTAL
FINANCIAL RESULTS |
ADJUSTED
EBITDAre
RECONCILIATION |
Unaudited |
(in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended Mar. 31, |
|
|
|
2020 |
|
2019 |
|
|
|
$ |
Margin |
|
$ |
Margin |
|
|
Consolidated |
|
|
|
|
|
|
|
Revenue |
$ |
313,030 |
|
|
|
$ |
370,775 |
|
|
|
|
Net income (loss) |
$ |
(50,736 |
) |
-16.2 |
% |
|
$ |
22,670 |
|
6.1 |
% |
|
|
Interest expense, net |
|
26,987 |
|
|
|
|
29,179 |
|
|
|
|
Provision for income taxes |
|
26,799 |
|
|
|
|
1,974 |
|
|
|
|
Depreciation & amortization |
|
53,345 |
|
|
|
|
53,009 |
|
|
|
|
Gain on disposal of assets |
|
(1,261 |
) |
|
|
|
- |
|
|
|
|
Pro rata EBITDAre from unconsolidated joint ventures |
|
3 |
|
|
|
|
- |
|
|
|
|
EBITDAre |
|
55,137 |
|
17.6 |
% |
|
|
106,832 |
|
28.8 |
% |
|
|
Preopening costs |
|
801 |
|
|
|
|
2,134 |
|
|
|
|
Non-cash ground lease expense |
|
1,117 |
|
|
|
|
1,223 |
|
|
|
|
Equity-based compensation expense |
|
2,230 |
|
|
|
|
2,026 |
|
|
|
|
Credit loss on held-to-maturity securities |
|
5,828 |
|
|
|
|
- |
|
|
|
|
Interest income on Gaylord National & Gaylord Rockies
bonds |
|
1,465 |
|
|
|
|
2,642 |
|
|
|
|
Transaction costs of acquisitions |
|
297 |
|
|
|
|
- |
|
|
|
|
Adjusted EBITDAre |
$ |
66,875 |
|
21.4 |
% |
|
$ |
114,857 |
|
31.0 |
% |
|
|
Adjusted EBITDAre of noncontrolling interest |
|
(7,706 |
) |
|
|
$ |
(5,598 |
) |
|
|
|
Adjusted EBITDAre,
excluding noncontrolling interest |
$ |
59,169 |
|
18.9 |
% |
|
$ |
109,259 |
|
29.5 |
% |
|
|
|
|
|
|
|
|
|
|
Hospitality
segment |
|
|
|
|
|
|
|
Revenue |
$ |
285,671 |
|
|
|
$ |
337,510 |
|
|
|
|
Operating income |
$ |
19,143 |
|
6.7 |
% |
|
$ |
59,629 |
|
17.7 |
% |
|
|
Depreciation & amortization |
|
49,769 |
|
|
|
|
50,133 |
|
|
|
|
Gain on disposal of assets |
|
(1,261 |
) |
|
|
|
- |
|
|
|
|
Preopening costs |
|
107 |
|
|
|
|
725 |
|
|
|
|
Non-cash lease expense |
|
1,113 |
|
|
|
|
1,168 |
|
|
|
|
Credit loss on held-to-maturity securities |
|
5,828 |
|
|
|
|
- |
|
|
|
|
Interest income on Gaylord National & Gaylord Rockies
bonds |
|
1,465 |
|
|
|
|
2,642 |
|
|
|
|
Adjusted EBITDAre |
$ |
76,164 |
|
26.7 |
% |
|
$ |
114,297 |
|
33.9 |
% |
|
|
|
|
|
|
|
|
|
|
Entertainment segment |
|
|
|
|
|
|
|
Revenue |
$ |
27,359 |
|
|
|
$ |
33,265 |
|
|
|
|
Operating income (loss) |
$ |
(5,786 |
) |
-21.1 |
% |
|
$ |
3,736 |
|
11.2 |
% |
|
|
Depreciation & amortization |
|
3,105 |
|
|
|
|
2,479 |
|
|
|
|
Preopening costs |
|
694 |
|
|
|
|
1,409 |
|
|
|
|
Non-cash lease expense |
|
4 |
|
|
|
|
55 |
|
|
|
|
Equity-based compensation |
|
298 |
|
|
|
|
204 |
|
|
|
|
Transaction costs of acquisitions |
|
297 |
|
|
|
|
- |
|
|
|
|
Pro rata adjusted EBITDAre from unconsolidated joint ventures |
|
(1,892 |
) |
|
|
|
- |
|
|
|
|
Adjusted EBITDAre |
$ |
(3,280 |
) |
-12.0 |
% |
|
$ |
7,883 |
|
23.7 |
% |
|
|
|
|
|
|
|
|
|
|
Corporate
and Other segment |
|
|
|
|
|
|
|
Operating loss |
$ |
(8,607 |
) |
|
|
$ |
(9,401 |
) |
|
|
|
Depreciation & amortization |
|
471 |
|
|
|
|
397 |
|
|
|
|
Other gains and (losses), net |
|
195 |
|
|
|
|
(141 |
) |
|
|
|
Equity-based compensation |
|
1,932 |
|
|
|
|
1,822 |
|
|
|
|
Adjusted EBITDAre |
$ |
(6,009 |
) |
|
|
$ |
(7,323 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
RYMAN
HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES |
SUPPLEMENTAL
FINANCIAL RESULTS |
FUNDS FROM
OPERATIONS ("FFO") AND ADJUSTED FFO RECONCILIATION |
Unaudited |
(in thousands,
except per share data) |
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended Mar. 31, |
|
|
2020 |
|
2019 |
|
Consolidated |
|
|
|
|
Net income (loss) |
$ |
(50,736 |
) |
|
$ |
22,670 |
|
|
Noncontrolling interest |
|
4,220 |
|
|
|
6,738 |
|
|
Net income (loss) available to common
shareholders |
|
(46,516 |
) |
|
|
29,408 |
|
|
Depreciation & amortization |
|
53,308 |
|
|
|
52,968 |
|
|
Adjustments for noncontrolling interest |
|
(8,557 |
) |
|
|
(8,697 |
) |
|
Pro rata adjustments from joint ventures |
|
5 |
|
|
|
- |
|
|
FFO available to common shareholders |
|
(1,760 |
) |
|
|
73,679 |
|
|
|
|
|
|
|
Right-of-use asset amortization |
|
37 |
|
|
|
41 |
|
|
Non-cash lease expense |
|
1,117 |
|
|
|
1,223 |
|
|
Credit loss on held-to-maturity securities |
|
5,828 |
|
|
|
- |
|
|
Gain on other assets |
|
(1,261 |
) |
|
|
- |
|
|
Amortization of deferred financing costs |
|
1,894 |
|
|
|
1,927 |
|
|
Amortization of debt premiums |
|
(67 |
) |
|
|
- |
|
|
Adjustments for noncontrolling interest |
|
(214 |
) |
|
|
(213 |
) |
|
Transaction costs of acquisitions |
|
297 |
|
|
|
- |
|
|
Deferred tax expense |
|
26,559 |
|
|
|
1,100 |
|
|
Adjusted FFO available to common shareholders |
$ |
32,430 |
|
|
$ |
77,757 |
|
|
Capital expenditures (1) |
|
(13,719 |
) |
|
|
(15,329 |
) |
|
Adjusted FFO available to common shareholders (ex.
maintenance capex) |
$ |
18,711 |
|
|
$ |
62,428 |
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income (loss) per share |
$ |
(0.85 |
) |
|
$ |
0.57 |
|
|
Diluted net income (loss) per share |
$ |
(0.85 |
) |
|
$ |
0.57 |
|
|
|
|
|
|
|
FFO available to common shareholders per basic share |
$ |
(0.03 |
) |
|
$ |
1.43 |
|
|
Adjusted FFO available to common shareholders per basic share |
$ |
0.59 |
|
|
$ |
1.51 |
|
|
|
|
|
|
|
FFO available to common shareholders per diluted share |
$ |
(0.03205 |
) |
|
$ |
1.41829 |
|
|
Adjusted FFO available to common shareholders per diluted
share |
$ |
0.59 |
|
|
$ |
1.50 |
|
|
|
|
|
|
|
(1) Represents FF&E reserve for managed properties and
maintenance capital expenditures for non-managed properties. Note
that beginning in |
|
March 2020, as a result of the COVID-19 pandemic,
contributions to the FF&E reserve for managed properties have
been temporarily suspended |
|
|
|
|
|
|
|
|
|
|
|
|
|
RYMAN
HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES |
SUPPLEMENTAL
FINANCIAL RESULTS |
HOSPITALITY
SEGMENT ADJUSTED EBITDAre
RECONCILIATIONS AND OPERATING METRICS |
Unaudited |
(in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended Mar. 31, |
|
|
|
2020 |
|
2019 |
|
|
|
$ |
Margin |
|
$ |
Margin |
|
|
Hospitality segment |
|
|
|
|
|
|
|
Revenue |
$ |
285,671 |
|
|
|
$ |
337,510 |
|
|
|
|
Operating income |
$ |
19,143 |
|
6.7 |
% |
|
$ |
59,629 |
|
17.7 |
% |
|
|
Depreciation & amortization |
|
49,769 |
|
|
|
|
50,133 |
|
|
|
|
Gain on disposal of assets |
|
(1,261 |
) |
|
|
|
- |
|
|
|
|
Preopening costs |
|
107 |
|
|
|
|
725 |
|
|
|
|
Non-cash lease expense |
|
1,113 |
|
|
|
|
1,168 |
|
|
|
|
Credit loss on held-to-maturity securities |
|
5,828 |
|
|
|
|
- |
|
|
|
|
Interest income on Gaylord National and Gaylord Rockies bonds |
|
1,465 |
|
|
|
|
2,642 |
|
|
|
|
Adjusted EBITDAre |
$ |
76,164 |
|
26.7 |
% |
|
$ |
114,297 |
|
33.9 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
57.1% |
|
|
|
|
72.3% |
|
|
|
|
Average daily rate (ADR) |
$ |
202.09 |
|
|
|
$ |
201.07 |
|
|
|
|
RevPAR |
$ |
115.36 |
|
|
|
$ |
145.30 |
|
|
|
|
OtherPAR |
$ |
195.15 |
|
|
|
$ |
225.63 |
|
|
|
|
Total RevPAR |
$ |
310.51 |
|
|
|
$ |
370.93 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaylord Opryland |
|
|
|
|
|
|
|
Revenue |
$ |
76,127 |
|
|
|
$ |
88,958 |
|
|
|
|
Operating income |
$ |
14,005 |
|
18.4 |
% |
|
$ |
21,746 |
|
24.4 |
% |
|
|
Depreciation & amortization |
|
8,798 |
|
|
|
|
8,442 |
|
|
|
|
Gain on disposal of assets |
|
(1,261 |
) |
|
|
|
- |
|
|
|
|
Preopening costs |
|
- |
|
|
|
|
55 |
|
|
|
|
Non-cash lease revenue |
|
(22 |
) |
|
|
|
- |
|
|
|
|
Adjusted EBITDAre |
$ |
21,520 |
|
28.3 |
% |
|
$ |
30,243 |
|
34.0 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
60.4% |
|
|
|
|
74.2% |
|
|
|
|
Average daily rate (ADR) |
$ |
194.54 |
|
|
|
$ |
191.53 |
|
|
|
|
RevPAR |
$ |
117.46 |
|
|
|
$ |
142.10 |
|
|
|
|
OtherPAR |
$ |
172.21 |
|
|
|
$ |
200.15 |
|
|
|
|
Total RevPAR |
$ |
289.67 |
|
|
|
$ |
342.25 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaylord Palms |
|
|
|
|
|
|
|
Revenue |
$ |
45,375 |
|
|
|
$ |
59,916 |
|
|
|
|
Operating income |
$ |
7,072 |
|
15.6 |
% |
|
$ |
17,600 |
|
29.4 |
% |
|
|
Depreciation & amortization |
|
4,284 |
|
|
|
|
4,851 |
|
|
|
|
Preopening costs |
|
107 |
|
|
|
|
- |
|
|
|
|
Non-cash lease expense |
|
1,135 |
|
|
|
|
1,168 |
|
|
|
|
Adjusted EBITDAre |
$ |
12,598 |
|
27.8 |
% |
|
$ |
23,619 |
|
39.4 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
62.6% |
|
|
|
|
82.8% |
|
|
|
|
Average daily rate (ADR) |
$ |
216.67 |
|
|
|
$ |
213.38 |
|
|
|
|
RevPAR |
$ |
135.56 |
|
|
|
$ |
176.57 |
|
|
|
|
OtherPAR |
$ |
216.58 |
|
|
|
$ |
293.59 |
|
|
|
|
Total RevPAR |
$ |
352.14 |
|
|
|
$ |
470.16 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaylord Texan |
|
|
|
|
|
|
|
Revenue |
$ |
55,996 |
|
|
|
$ |
72,039 |
|
|
|
|
Operating income |
$ |
13,379 |
|
23.9 |
% |
|
$ |
22,354 |
|
31.0 |
% |
|
|
Depreciation & amortization |
|
6,463 |
|
|
|
|
6,644 |
|
|
|
|
Adjusted EBITDAre |
$ |
19,842 |
|
35.4 |
% |
|
$ |
28,998 |
|
40.3 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
56.3% |
|
|
|
|
77.9% |
|
|
|
|
Average daily rate (ADR) |
$ |
204.70 |
|
|
|
$ |
198.23 |
|
|
|
|
RevPAR |
$ |
115.26 |
|
|
|
$ |
154.39 |
|
|
|
|
OtherPAR |
$ |
223.96 |
|
|
|
$ |
286.86 |
|
|
|
|
Total RevPAR |
$ |
339.22 |
|
|
|
$ |
441.25 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaylord National |
|
|
|
|
|
|
|
Revenue |
$ |
49,394 |
|
|
|
$ |
65,630 |
|
|
|
|
Operating income (loss) |
$ |
(12,921 |
) |
-26.2 |
% |
|
$ |
6,234 |
|
9.5 |
% |
|
|
Depreciation & amortization |
|
6,941 |
|
|
|
|
6,983 |
|
|
|
|
Credit loss on held-to-maturity securities |
|
5,828 |
|
|
|
|
- |
|
|
|
|
Interest income on Gaylord National bonds |
|
1,465 |
|
|
|
|
2,576 |
|
|
|
|
Adjusted EBITDAre |
$ |
1,313 |
|
2.7 |
% |
|
$ |
15,793 |
|
24.1 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
51.9% |
|
|
|
|
72.0% |
|
|
|
|
Average daily rate (ADR) |
$ |
207.08 |
|
|
|
$ |
218.38 |
|
|
|
|
RevPAR |
$ |
107.51 |
|
|
|
$ |
157.12 |
|
|
|
|
OtherPAR |
$ |
164.43 |
|
|
|
$ |
208.22 |
|
|
|
|
Total RevPAR |
$ |
271.94 |
|
|
|
$ |
365.34 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gaylord Rockies |
|
|
|
|
|
|
|
Revenue |
$ |
54,598 |
|
|
|
$ |
45,243 |
|
|
|
|
Operating loss (1) |
$ |
(1,739 |
) |
-3.2 |
% |
|
$ |
(8,770 |
) |
-19.4 |
% |
|
|
Depreciation & amortization |
|
22,609 |
|
|
|
|
22,461 |
|
|
|
|
Preopening costs |
|
- |
|
|
|
|
670 |
|
|
|
|
Interest income on Gaylord Rockies bonds |
|
- |
|
|
|
|
66 |
|
|
|
|
Adjusted EBITDAre
(1) |
$ |
20,870 |
|
38.2 |
% |
|
$ |
14,427 |
|
31.9 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
57.4% |
|
|
|
|
55.4% |
|
|
|
|
Average daily rate (ADR) |
$ |
203.31 |
|
|
|
$ |
196.81 |
|
|
|
|
RevPAR |
$ |
116.63 |
|
|
|
$ |
109.13 |
|
|
|
|
OtherPAR |
$ |
283.09 |
|
|
|
$ |
225.78 |
|
|
|
|
Total RevPAR |
$ |
399.72 |
|
|
|
$ |
334.91 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The
AC Hotel at National Harbor |
|
|
|
|
|
|
|
Revenue |
$ |
1,849 |
|
|
|
$ |
2,435 |
|
|
|
|
Operating income (loss) |
$ |
(317 |
) |
-17.1 |
% |
|
$ |
221 |
|
9.1 |
% |
|
|
Depreciation & amortization |
|
336 |
|
|
|
|
335 |
|
|
|
|
Adjusted EBITDAre |
$ |
19 |
|
1.0 |
% |
|
$ |
556 |
|
22.8 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
43.6% |
|
|
|
|
59.0% |
|
|
|
|
Average daily rate (ADR) |
$ |
206.29 |
|
|
|
$ |
206.65 |
|
|
|
|
RevPAR |
$ |
90.00 |
|
|
|
$ |
121.97 |
|
|
|
|
OtherPAR |
$ |
15.83 |
|
|
|
$ |
18.95 |
|
|
|
|
Total RevPAR |
$ |
105.83 |
|
|
|
$ |
140.92 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The
Inn at Opryland (2) |
|
|
|
|
|
|
|
Revenue |
$ |
2,332 |
|
|
|
$ |
3,289 |
|
|
|
|
Operating income (loss) |
$ |
(336 |
) |
-14.4 |
% |
|
$ |
244 |
|
7.4 |
% |
|
|
Depreciation & amortization |
|
338 |
|
|
|
|
417 |
|
|
|
|
Adjusted EBITDAre |
$ |
2 |
|
0.1 |
% |
|
$ |
661 |
|
20.1 |
% |
|
|
|
|
|
|
|
|
|
|
Occupancy |
|
45.8% |
|
|
|
|
65.0% |
|
|
|
|
Average daily rate (ADR) |
$ |
137.36 |
|
|
|
$ |
140.69 |
|
|
|
|
RevPAR |
$ |
62.90 |
|
|
|
$ |
91.44 |
|
|
|
|
OtherPAR |
$ |
21.69 |
|
|
|
$ |
29.12 |
|
|
|
|
Total RevPAR |
$ |
84.59 |
|
|
|
$ |
120.56 |
|
|
|
|
|
|
|
|
|
|
|
|
(1) Operating loss and
Adjusted EBITDAre for Gaylord Rockies exclude asset management fees
paid to RHP of $0.5 million |
|
during each of the three months ended March 31, 2020 and 2019. |
|
|
|
|
|
|
(2) Includes
other hospitality revenue and expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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