Service Properties Trust Announces First Quarter 2021 Results

Rhea-AI Summary

Service Properties Trust (Nasdaq: SVC) reported a net loss of $195 million for Q1 2021, up from a $33.7 million loss in Q1 2020. Key highlights include the conversion of 88 hotels to Sonesta brands, improving hotel market demand, and stable rent collections at 93.1%. However, Adjusted EBITDAre fell 75% to $48.7 million, and occupancy rates dropped to 40.1%. SVC has fully drawn down its revolving credit facility to preserve liquidity amidst ongoing transitions in its hotel portfolio.

Positive

• Converted 88 hotels to Sonesta brands, continuing a strategic rebranding.
• Stable rent collections from net lease retail tenants at 93.1%, up from 80.5% in April 2020.
• Improving hotel demand trends anticipated as vaccination rates rise.

Negative

• Net loss increased significantly to $195 million, demonstrating financial strain.
• Normalized FFO was negative $42 million compared to positive $123 million year-over-year.
• Adjusted EBITDAre decreased 75% from the previous year.

Service Properties Trust (Nasdaq: SVC) today announced its financial results for the quarter ended March 31, 2021.

John Murray, President and Chief Executive Officer of SVC, made the following statement:

“The first quarter marked a continued period of transition for SVC’s hotel portfolio. We converted an additional 88 hotels to Sonesta brands and management during the first quarter, following the conversion of 112 hotels during the fourth quarter of 2020. We expect disruption to our operating results from these transitions to be short-term in nature and believe that the rebranding will benefit SVC by creating more flexibility with respect to capital investments, possibly repurposing hotels to other uses, or sales. SVC also benefits from its 34% ownership of Sonesta.

We are also encouraged by improving hotel demand trends. As more of the population is vaccinated and government-mandated restrictions continue to be lifted, we expect that occupancy and hotel EBITDA should continue to recover and may accelerate meaningfully in the second half of this year.

Rent collections from our net lease retail tenants were stable at 93.1% for the first quarter, up from a low of 80.5% for April 2020, and anchored by our largest tenant, TravelCenters of America, which continues to benefit from healthy trucking activity and its importance to the nation’s supply chain.

We also continue to take steps to fortify our liquidity until lodging trends meaningfully improve. To that end, we have fully drawn down on our revolving credit facility as a precautionary measure to preserve financial flexibility.”

Results for the Quarter Ended March 31, 2021:

	Three Months Ended March 31,
	2021				2020
	($ in thousands, except per share data)
Net loss	$	(194,990)			$	(33,650)
Net loss per common share	$	(1.19)			$	(0.20)
Normalized FFO (1)	$	(41,996)			$	123,084
Normalized FFO per common share (1)	$	(0.26)			$	0.75
Adjusted EBITDAre (1)	$	48,705			$	195,137

(1)

Additional information and reconciliations of net loss determined in accordance with U.S. generally accepted accounting principles, or GAAP, to certain non-GAAP measures, including FFO, Normalized FFO, EBITDA, EBITDAre and Adjusted EBITDAre for the quarters ended March 31, 2021 and 2020 appear later in this press release.

• Net loss: Net loss for the quarter ended March 31, 2021 was $195.0 million, or $1.19 per diluted common share, compared to a net loss of $33.7 million, or $0.20 per diluted common share, for the quarter ended March 31, 2020. Net loss for the quarter ended March 31, 2021 includes $19.6 million, or $0.12 per diluted common share, of hotel manager transition related costs, $6.5 million, or $0.04 per diluted common share, of net unrealized losses on equity securities and a $1.2 million, or $0.01 per diluted common share, of loss on asset impairment. Net loss for the quarter ended March 31, 2020 includes a $16.7 million, or $0.10 per diluted common share, loss on asset impairment, a $6.9 million, or $0.04 per diluted common share, loss on sale of real estate and $5.0 million, or $0.03 per diluted common share, of net unrealized losses on equity securities. The weighted average number of diluted common shares outstanding was 164.5 million and 164.4 million for the quarters ended March 31, 2021 and 2020, respectively.
• Normalized FFO: Normalized FFO for the quarter ended March 31, 2021 were negative $42.0 million, or $(0.26) per diluted common share, compared to Normalized FFO of $123.1 million, or $0.75 per diluted common share, for the quarter ended March 31, 2020.
• Adjusted EBITDAre: Adjusted EBITDAre for the quarter ended March 31, 2021 compared to the same period in 2020 decreased 75.0% to $48.7 million.

Hotel Portfolio:

As of March 31, 2021, 305 of SVC’s 310 hotels were operated by subsidiaries of Sonesta Holdco Corporation, or Sonesta (256 hotels), Hyatt Hotels Corporation, or Hyatt (22 hotels), Radisson Hospitality, Inc., or Radisson (nine hotels), Marriott International, Inc., or Marriott (17 hotels), and InterContinental Hotels Group, plc, or IHG (one hotel). Five of SVC’s 310 hotels were leased to another third party.

		Three Months Ended March 31,
		2021				2020				Change
		($ in thousands, except hotel statistics)
Comparable Hotels
No. of hotels		304				304				—
No. of rooms or suites		47,612				47,612				—
Occupancy		40.1		%		57.4		%		(17.3)	pts
ADR		$	87.19			$	123.22			(29.2)	%
Hotel RevPAR		$	34.96			$	70.73			(50.6)	%
Hotel operating revenues (1)		$	164,657			$	366,595			(55.1)	%
Hotel operating expenses (1)		$	219,144			$	331,576			(33.9)	%
Hotel EBITDA (1)		$	(54,487)			$	35,019			n/m
Adjusted Hotel EBITDA (1)		$	(35,143)			$	35,019			n/m
Adjusted Hotel EBITDA margin		(21.3)		%		9.6		%		n/m
All Hotels
No. of hotels		310				310				—
No. of rooms or suites		49,015				49,015				—
Occupancy		40.1		%		56.6		%		(16.5)	pts
ADR		$	88.02			$	125.06			(29.6)	%
Hotel RevPAR		$	35.30			$	70.78			(50.1)	%
Hotel operating revenues (1)		$	168,953			$	388,682			(56.5)	%
Hotel operating expenses (1)		$	226,764			$	358,071			(36.7)	%
Hotel EBITDA (1)		$	(57,811)			$	30,611			n/m
Adjusted Hotel EBITDA (1)		$	(38,176)			$	30,611			n/m
Adjusted Hotel EBITDA margin		(22.6)		%		7.9		%		n/m

(1)

Reconciliations of hotel operating revenues and hotel operating expenses used to determine Hotel EBITDA and Adjusted Hotel EBITDA from hotel operating revenues and hotel operating expenses determined in accordance with GAAP for the quarters ended March 31, 2021 and 2020 appear later in this press release.

Recent operating statistics for SVC’s hotels are as follows:

		Comparable Hotels												All Hotels
		January 2021				February 2021				March 2021				January 2021				February 2021				March 2021
Occupancy		36.0		%		37.6		%		46.6		%		35.9		%		37.7		%		46.5		%
ADR		$	85.68			$	86.01			$	89.22			$	85.91			$	86.84			$	90.49
RevPAR		$	30.84			$	32.34			$	41.58			$	30.84			$	32.74			$	42.08

For SVC’s 310 hotels, occupancy, ADR and RevPAR was 51.0%, $94.82 and $48.38, respectively, for the month of April 2021.

Hotel Agreements and Brand Conversions:

During the quarter ended March 31, 2021, SVC completed the transition of branding and management of 88 hotels to Sonesta from Marriott. SVC entered management agreements with Sonesta to manage these 88 hotels on terms substantially consistent with SVC’s Sonesta management agreements for the 112 hotels it transitioned the branding of and management to Sonesta in the fourth quarter of 2020.

As previously announced, in January 2021, SVC received a notice of termination from Hyatt that terminated SVC’s existing management agreement with Hyatt for 22 hotels, effective as of April 8, 2021, as a result of Hyatt’s guaranty being exhausted. On April 7, 2021, SVC and Hyatt agreed to a short term extension of the termination date to May 22, 2021. SVC and Hyatt are currently in discussions regarding possible changes to the management agreement that may result in some or all of the hotels remaining Hyatt managed. However, if such discussions do not result in a mutually acceptable agreement for Hyatt to continue to manage some or all of these hotels, SVC expects to transition management of those hotels to Sonesta on or about June 1, 2021.

Net Lease Retail Portfolio:

		As of March 31, 2021
Number of properties		798
Industries		21
Tenants		168
Brands		130
Square feet		13.5 million
Occupancy		98.5%
Weighted average lease term (by annual minimum rent)		10.7 years
Coverage		2.19x

During the quarter ended March 31, 2021, SVC collected 93.1% of rents from its net lease tenants. In April 2021, SVC collected 97.7% of rents due from its net lease tenants. SVC recorded reserves for uncollectible revenues of $4.8 million for certain of its net lease tenants during the quarter ended March 31, 2021.

SVC has granted temporary rent assistance to date totaling $12.1 million to 45 tenants, pursuant to deferred payment plans. During the quarter ended March 31, 2021, SVC entered into rent deferral agreements for $1.2 million of rent with five net lease tenants. Generally, these tenants are required to pay deferred rents over a 12-24 month period. The $12.1 million of granted temporary rent assistance is detailed as follows:

		Granted Rent Deferrals				Percentage of Total Granted Rent Deferrals
As of December 31, 2020		$	10,902			90.0	%
New deferrals during the quarter ended March 31, 2021		1,228				10.0	%
Total granted deferrals		12,130				100.0	%
Amounts repaid (1)		(1,525)				12.6	%
Outstanding rent deferral balance as of March 31, 2021		$	10,605			87.4	%

(1)

Collections of rent deferrals represents approximately 75% of the deferrals that have become due as of March 31, 2021.

Recent Investment Activities:

On March 9, 2021, SVC acquired a land parcel adjacent to a property it owns in Nashville, TN for a purchase price of $7.7 million, including acquisition related costs.

During the quarter ended March 31, 2021, SVC sold one net lease property with 2,797 rentable square feet for $0.4 million, excluding closing costs. In April 2021, SVC sold one hotel with 146 rooms that was subject to a ground lease pursuant to a purchase option exercised by the third party lessor for $9.8 million, excluding closing costs, and one net lease property with 32,130 rentable square feet for $1.2 million, excluding closing costs.

As previously announced, SVC has entered an agreement to sell five hotels with an aggregate of 430 rooms in four states for an aggregate sales price of $22.3 million, excluding closing costs. SVC has also entered agreements to sell two net lease properties with an aggregate of 35,330 square feet in two states for an aggregate sales price of $1.6 million, excluding closing costs. SVC expects these sales to be completed by the end of the second quarter of 2021. However, these sales are subject to conditions; accordingly, SVC cannot be sure that it will complete these sales or that these sales will not be delayed, or the terms will not change.

During the quarter ended March 31, 2021, SVC funded a $25.4 million capital contribution to Sonesta related to Sonesta’s acquisition of Red Lion Hotels Corporation. SVC continues to maintain its 34% ownership of Sonesta after giving effect to this funding.

During the quarter ended March 31, 2021, SVC funded $29.0 million of capital improvements to certain of its properties.

Financing Activities:

SVC borrowed the $972.8 million of remaining capacity under its revolving credit facility in the first quarter of 2021 as a precautionary measure to preserve financial flexibility.

On April 15, 2021, SVC announced a $0.01 per common share dividend to be paid to its shareholders of record on April 26, 2021 and distributed on or about May 20, 2021.

Conference Call:

On May 10, 2021 at 10:00 a.m. Eastern Time, John Murray, Chief Executive Officer, Brian Donley, Chief Financial Officer and Todd Hargreaves, Chief Investment Officer, will host a conference call to discuss SVC’s first quarter 2021 financial results. The conference call telephone number is (877) 329-3720. Participants calling from outside the United States and Canada should dial (412) 317-5434. No pass code is necessary to access the call from either number. Participants should dial in about 15 minutes prior to the scheduled start of the call. A replay of the conference call will be available through Monday, May 17, 2021. To access the replay, dial (412) 317-0088. The replay pass code is 10153744.

A live audio webcast of the conference call will also be available in a listen-only mode on SVC’s website, www.svcreit.com. Participants wanting to access the webcast should visit SVC’s website about five minutes before the call. The archived webcast will be available for replay on SVC’s website for about one week after the call. The transcription, recording and retransmission in any way of SVC’s first quarter conference call is strictly prohibited without the prior written consent of SVC.

Supplemental Data:

A copy of SVC’s First Quarter 2021 Supplemental Operating and Financial Data is available for download at SVC’s website, www.svcreit.com. SVC’s website is not incorporated as part of this press release.

Service Properties Trust is a real estate investment trust, or REIT, which owns a diverse portfolio of hotels and net lease service and necessity-based retail properties across the United States and in Puerto Rico and Canada. SVC is managed by the majority owned operating subsidiary of The RMR Group Inc. (Nasdaq: RMR), or RMR Inc., an alternative asset management company that is headquartered in Newton, Massachusetts.

Non-GAAP Financial Measures and Certain Definitions:

SVC presents certain “non-GAAP financial measures” within the meaning of the applicable Securities and Exchange Commission, or SEC, rules, including funds from operations, or FFO, Normalized FFO, earnings before interest, taxes, depreciation and amortization, or EBITDA, Hotel EBITDA, Adjusted Hotel EBITDA, EBITDA for real estate, or EBITDAre, and Adjusted EBITDAre. These measures do not represent cash generated by operating activities in accordance with GAAP and should not be considered alternatives to net income (loss) as indicators of SVC’s operating performance or as measures of SVC’s liquidity. These measures should be considered in conjunction with net income (loss) as presented in SVC’s condensed consolidated statements of income (loss). SVC considers these non-GAAP measures to be appropriate supplemental measures of operating performance for a REIT, along with net income (loss). SVC believes these measures provide useful information to investors because by excluding the effects of certain historical amounts, such as depreciation and amortization expense, they may facilitate a comparison of SVC’s operating performance between periods and with other REITs and, in the case of Hotel EBITDA and Adjusted Hotel EBITDA, reflecting only those income and expense items that are generated and incurred at the hotel level may help both investors and management to understand the operations of SVC’s hotels.

Please see the pages attached hereto for a more detailed statement of SVC’s operating results and financial condition and for an explanation of SVC’s calculation of FFO and Normalized FFO, EBITDA, Hotel EBITDA, Adjusted Hotel EBITDA, EBITDAre and Adjusted EBITDAre and a reconciliation of those amounts to amounts determined in accordance with GAAP.

Occupancy represents the total number of room nights sold divided by the total number of room nights available at a hotel or group of hotels. Occupancy is an important measure of the utilization rate and demand of SVC’s hotels.

Average Daily Rate, or ADR, represents rooms revenue divided by the total number of room nights sold in a given period. ADR provides useful insight on pricing at SVC’s hotels and is a measure widely used in the hotel industry.

Revenue per Available Room, or RevPAR, represents rooms revenue divided by the total number of room nights available to guests for a given period. RevPAR is an industry metric correlated to occupancy and ADR and helps measure performance over comparable periods.

Hotel EBITDA and Adjusted Hotel EBITDA: Hotel EBITDA is calculated as hotel operating revenues less hotel operating expenses of all managed and leased hotels, prior to any adjustments required for presentation in SVC’s condensed consolidated statements of income (loss) in accordance with GAAP. SVC calculates Adjusted Hotel EBITDA as presented in the pages hereto. Adjusted Hotel EBITDA excludes certain items SVC believes do not reflect the ongoing operating performance of its hotels.

Adjusted Hotel EBITDA Margin is the percentage of Adjusted Hotel EBITDA of hotel operating revenues.

Comparable Hotels Data: SVC presents RevPAR, ADR, and occupancy for the periods presented on a comparable basis to facilitate comparisons between periods. SVC generally defines comparable hotels as those that were owned by it and were open and operating for the entire periods being compared. For the three months ended March 31, 2021 and 2020, SVC excluded six hotels from its comparable results. Four were closed for major renovations and two suspended operations during part of the periods presented.

Rent Coverage: SVC defines net lease coverage as earnings before interest, taxes, depreciation, amortization and rent, or EBITDAR, divided by the annual minimum rent due to SVC weighted by the minimum rent of the property to total minimum rents of the net lease portfolio. EBITDAR amounts used to determine rent coverage are generally for the latest twelve-month period reported based on the most recent operating information, if any, furnished by the tenant. Operating statements furnished by the tenant often are unaudited and, in certain cases, may not have been prepared in accordance with GAAP and are not independently verified by SVC. Tenants that do not report operating information are excluded from the coverage calculations. In instances where SVC does not have financial information for the most recent quarter from its tenants, it has calculated an implied EBITDAR for the first quarter using industry benchmark data to more accurately reflect the impact of COVID-19 on its tenants’ operations. SVC believes using only financial information from the earlier periods could be misleading as it would not reflect the negative impact those tenants experienced as a result of the COVID-19 pandemic. As a result, SVC believes using this industry benchmark data provides a more accurate estimated representation of recent operating results and coverage for those tenants.

SERVICE PROPERTIES TRUST CONDENSED CONSOLIDATED BALANCE SHEETS (dollars in thousands, except share data) (unaudited)
		March 31, 2021				December 31, 2020
ASSETS
Real estate properties:
Land		$	2,037,534			$	2,030,440
Buildings, improvements and equipment		9,152,881				9,131,832
Total real estate properties, gross		11,190,415				11,162,272
Accumulated depreciation		(3,377,635)				(3,280,110)
Total real estate properties, net		7,812,780				7,882,162
Acquired real estate leases and other intangibles, net		312,765				325,845
Assets held for sale		13,805				13,543
Cash and cash equivalents		874,455				73,332
Restricted cash		5,096				18,124
Due from related persons		52,620				55,530
Other assets, net		442,994				318,783
Total assets		$	9,514,515			$	8,687,319
LIABILITIES AND SHAREHOLDERS’ EQUITY
Revolving credit facility		$	1,000,000			$	78,424
Senior unsecured notes, net		6,133,376				6,130,166
Accounts payable and other liabilities		428,626				345,373
Due to related persons		45,981				30,566
Total liabilities		7,607,983				6,584,529
Commitments and contingencies
Shareholders’ equity:
Common shares of beneficial interest, $.01 par value; 200,000,000 shares authorized; 164,823,833 shares issued and outstanding		1,648				1,648
Additional paid in capital		4,550,765				4,550,385
Cumulative other comprehensive loss		(760)				(760)
Cumulative net income available for common shareholders		2,985,273				3,180,263
Cumulative common distributions		(5,630,394)				(5,628,746)
Total shareholders’ equity		1,906,532				2,102,790
Total liabilities and shareholders’ equity		$	9,514,515			$	8,687,319

SERVICE PROPERTIES TRUST CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS) (amounts in thousands, except per share data) (unaudited)
		Three Months Ended March 31,
		2021				2020
Revenues:
Hotel operating revenues (1)		$	168,953			$	383,503
Rental income (2)		92,217				100,273
Total revenues		261,170				483,776
Expenses:
Hotel operating expenses (1)(3)(9)(13)		214,987				271,148
Other operating expenses		3,417				3,759
Depreciation and amortization		124,368				127,926
General and administrative		12,657				14,024
Loss on asset impairment (4)		1,211				16,740
Total expenses		356,640				433,597
Loss on sale of real estate, net (5)		(9)				(6,911)
Unrealized losses on equity securities, net (6)		(6,481)				(5,045)
Interest income		57				262
Interest expense (including amortization of debt issuance costs and debt discounts and premiums of $4,355 and $3,288, respectively)		(89,391)				(71,075)
Loss before income taxes and equity in losses of an investee		(191,294)				(32,590)
Income tax expense		(853)				(342)
Equity in losses of an investee (7)		(2,843)				(718)
Net loss		$	(194,990)			$	(33,650)
Weighted average common shares outstanding (basic)		164,498				164,370
Weighted average common shares outstanding (diluted)		164,498				164,370
Net loss per common share (basic and diluted)		$	(1.19)			$	(0.20)

See Notes.

SERVICE PROPERTIES TRUST RECONCILIATIONS OF FUNDS FROM OPERATIONS, NORMALIZED FUNDS FROM OPERATIONS, EBITDA, EBITDAre AND ADJUSTED EBITDAre (amounts in thousands, except per share data) (unaudited)
		Three Months Ended March 31,
		2021				2020
Calculation of FFO and Normalized FFO: (8)
Net loss		$	(194,990)			$	(33,650)
Add (Less):	Depreciation and amortization	124,368				127,926
	Loss on asset impairment (4)	1,211				16,740
	Loss on sale of real estate, net (5)	9				6,911
	Unrealized losses on equity securities, net (6)	6,481				5,045
	Adjustments to reflect SVC’s share of FFO attributable to an investee (7)	465				112
FFO		(62,456)				123,084
Add (Less):	Adjustments to reflect SVC's share of Normalized FFO attributable to an investee (7)	825				—
	Hotel manager transition related costs (9)	19,635				—
Normalized FFO		$	(41,996)			$	123,084
Weighted average common shares outstanding (basic)		164,498				164,370
Weighted average common shares outstanding (diluted)		164,498				164,370
Basic and diluted per common share amounts:
	Net loss per share	$	(1.19)			$	(0.20)
	FFO	$	(0.38)			$	0.75
	Normalized FFO	$	(0.26)			$	0.75
	Distributions declared per share	$	0.01			$	0.54

		Three Months Ended March 31,
		2021				2020
Calculation of EBITDA, EBITDAre and Adjusted EBITDAre:(10)
Net loss		$	(194,990)			$	(33,650)
Add (Less):	Interest expense	89,391				71,075
	Income tax expense	853				342
	Depreciation and amortization	124,368				127,926
EBITDA		19,622				165,693
Add (Less):	Loss on asset impairment (4)	1,211				16,740
	Loss on sale of real estate, net (5)	9				6,911
	Adjustments to reflect SVC’s share of EBITDAre attributable to an investee (7)	543				—
EBITDAre		21,385				189,344
Add (Less):	Unrealized losses on equity securities, net (6)	6,481				5,045
	Adjustments to reflect SVC’s share of Adjusted EBITDAre attributable to an investee (7)	825				158
	Hotel manager transition related costs (9)	19,635				—
	General and administrative expense paid in common shares (11)	379				590
Adjusted EBITDAre		$	48,705			$	195,137

See Notes.

SERVICE PROPERTIES TRUST CALCULATION AND RECONCILIATION OF HOTEL EBITDA and ADJUSTED HOTEL EBITDA Comparable Hotels (amounts in thousands) (unaudited)
	Three Months Ended March 31,
	2021				2020
Number of hotels	304				304
Room revenues	$	149,850			$	305,920
Food and beverage revenues	7,383				45,250
Other revenues	7,424				15,425
Hotel operating revenues - comparable hotels	164,657				366,595
Rooms expenses	56,401				99,837
Food and beverage expenses	8,454				41,392
Other direct and indirect expenses	118,451				147,261
Management fees	5,065				2,691
Real estate taxes, insurance and other	30,021				29,825
FF&E reserves (12)	752				10,570
Hotel operating expenses - comparable hotels	219,144				331,576
Hotel EBITDA - comparable hotels	$	(54,487)			$	35,019
Hotel manager transition related costs (9)	19,344				—
Adjusted Hotel EBITDA	$	(35,143)			$	35,019
Adjusted Hotel EBITDA Margin	(21.3)		%		9.6		%
Hotel operating revenues (GAAP) (1)	$	168,953			$	383,503
Hotel operating revenues from non-comparable hotels	(4,296)				(16,908)
Hotel operating revenues - comparable hotels	$	164,657			$	366,595
Hotel operating expenses (GAAP) (1)	$	214,987			$	271,148
Add (Less):
Hotel operating expenses from non-comparable hotels	(7,620)				(21,227)
Reduction for security deposit and guaranty fundings, net (3)	10,392				70,506
Management and incentive management fees paid from cash flows in excess from minimum returns and rents	—				—
FF&E reserves from managed hotel operations (12)	764				10,942
Other (13)	621				207
Hotel operating expenses - comparable hotels	$	219,144			$	331,576

See Notes.

SERVICE PROPERTIES TRUST CALCULATION AND RECONCILIATION OF HOTEL EBITDA and ADJUSTED HOTEL EBITDA All Hotels (amounts in thousands) (unaudited)
	Three Months Ended March 31,
	2021				2020
Number of hotels	310				329
Room revenues	$	152,728			$	322,668
Food and beverage revenues	8,172				49,722
Other revenues	8,053				16,292
Hotel operating revenues	168,953				388,682
Rooms expenses	56,578				107,066
Food and beverage expenses	9,042				46,045
Other direct and indirect expenses	119,401				146,671
Management fees	5,238				2,864
Real estate taxes, insurance and other	35,741				44,288
FF&E reserves (12)	764				11,137
Hotel operating expenses	226,764				358,071
Hotel EBITDA	$	(57,811)			$	30,611
Hotel manager transition related costs (9)	19,635				—
Adjusted Hotel EBITDA	$	(38,176)			$	30,611
Adjusted Hotel EBITDA Margin	(22.6)		%	{ "@context": "https://schema.org", "@type": "FAQPage", "name": "Service Properties Trust Announces First Quarter 2021 Results FAQs", "mainEntity": [ { "@type": "Question", "name": "What were the financial results for Service Properties Trust (SVC) in Q1 2021?", "acceptedAnswer": { "@type": "Answer", "text": "Service Properties Trust reported a net loss of $195 million for the quarter ended March 31, 2021." } }, { "@type": "Question", "name": "How did the hotel occupancy rate change for SVC in Q1 2021?", "acceptedAnswer": { "@type": "Answer", "text": "The hotel occupancy rate for SVC dropped to 40.1% in Q1 2021, down from 57.4% in Q1 2020." } }, { "@type": "Question", "name": "What is the significance of the hotel conversions to Sonesta for SVC?", "acceptedAnswer": { "@type": "Answer", "text": "The conversion of 88 hotels to Sonesta brands is part of SVC's strategy to enhance operational flexibility and brand alignment." } }, { "@type": "Question", "name": "How have rent collections performed for SVC in the first quarter of 2021?", "acceptedAnswer": { "@type": "Answer", "text": "SVC reported stable rent collections at 93.1% from net lease retail tenants in Q1 2021." } }, { "@type": "Question", "name": "What actions has SVC taken to maintain financial flexibility?", "acceptedAnswer": { "@type": "Answer", "text": "SVC fully drew down on its revolving credit facility to preserve liquidity amidst ongoing challenges." } } ] } FAQ What were the financial results for Service Properties Trust (SVC) in Q1 2021? Service Properties Trust reported a net loss of $195 million for the quarter ended March 31, 2021. How did the hotel occupancy rate change for SVC in Q1 2021? The hotel occupancy rate for SVC dropped to 40.1% in Q1 2021, down from 57.4% in Q1 2020. What is the significance of the hotel conversions to Sonesta for SVC? The conversion of 88 hotels to Sonesta brands is part of SVC's strategy to enhance operational flexibility and brand alignment. How have rent collections performed for SVC in the first quarter of 2021? SVC reported stable rent collections at 93.1% from net lease retail tenants in Q1 2021. What actions has SVC taken to maintain financial flexibility? SVC fully drew down on its revolving credit facility to preserve liquidity amidst ongoing challenges. Service Properties Trust NASDAQ:SVC SVC Rankings #3186 Ranked by Market Cap #1569 Ranked by Dividends SVC Latest News Nov 6, 2024 Service Properties Trust Announces Third Quarter 2024 Results Oct 16, 2024 Service Properties Trust Announces Actions to Improve Liquidity and Reduce Leverage Oct 9, 2024 Service Properties Trust Third Quarter 2024 Conference Call Scheduled for Thursday, November 7th Aug 6, 2024 Service Properties Trust Announces Second Quarter 2024 Results Jul 11, 2024 Service Properties Trust Announces Quarterly Dividend on Common Shares SVC Stock Data Market Cap 453.28M Float 153.95M Insiders Ownership 6.61% Institutions Ownership 80.58% Short Percent 3.49% Industry REIT - Hotel & Motel Sector Real Estate Investment Trusts Website Link Country United States of America City NEWTON Explore About Rhea-AI Sitemap Legal Terms of Use Cookie Notice Privacy Policy Links RSS feed Patreon Discord Server Facebook Reddit Google News © 2020-2024 StockTitan.net