Host Hotels & Resorts Inc
(LTS:0J66)
$
22.71
+0.20 (+0.89%)
Market Cap: 15.62 Bil
Enterprise Value: 19.55 Bil
PE Ratio: 15.20
PB Ratio: 2.45
GF Score: 81/100 
Q2 2026 Host Hotels and Resorts, Inc. Earnings Call Transcript
Aug 06, 2026 / 02:00PM GMT
Release Date Price:
$23.31
(-7.61%)
Key Points
Positve
- Host Hotels & Resorts Inc (HST) delivered strong Q2 2026 results, with adjusted EBITDAre up 5.8% and adjusted FFO per share up 8.6% year-over-year, exceeding expectations.
- Comparable hotel RevPAR grew 7% in Q2, driven by broad-based strength across markets, including a 160 basis point contribution from the World Cup and strong group performance.
- The company raised its full-year 2026 RevPAR and total RevPAR growth guidance to 4.75%-5.25%, reflecting improved second-half outlook and continued momentum.
- Maui properties continue to recover strongly, with RevPAR up 14% in Q2 and expectations to contribute approximately $120 million of EBITDA in 2026, with potential for an additional $20-$25 million in stabilization.
- Host Hotels & Resorts Inc (HST) maintains a strong balance sheet with 2.2x leverage and $3 billion in liquidity, enabling opportunistic capital allocation, including a special dividend of $0.72 per share from asset sale gains.
- The company's transformational capital programs are progressing well, with the Hyatt program nearly 90% complete and the Marriott program on track, expected to drive long-term value creation and RevPAR index gains.
- Group booking momentum is strong, with total group revenue pace up over 5% and definite group room nights for 2026 up 8% since Q1, including improved Q3 and Q4 pace.
- Cost-saving initiatives from Marriott, including reduced loyalty charge-out rates and procurement efficiencies, are expected to provide approximately $7 million in annual benefits to the portfolio.
- July 2026 RevPAR is expected to increase approximately 10% year-over-year, with only 3% attributed to the World Cup, indicating broad-based strength.
- The company's portfolio reinvestment strategy has resulted in an average stabilized RevPAR index share gain of nearly 9 points across 21 renovated properties, underscoring value creation.
Negative
- Host Hotels & Resorts Inc (HST) faces higher incentive management fees (IMF) due to property outperformance, which negatively impacted EBITDA flow-through in Q2.
- Travel agent commissions were higher than expected in Q2 due to short-term World Cup-related transient demand, pressuring margins.
- The company expects year-over-year margin comparisons to moderate in the second half of 2026 due to lower expected rate growth, potentially limiting further margin expansion.
- Wage rate growth remains elevated at approximately 5% for 2026, which could pressure operating expenses despite productivity improvements.
- The Four Seasons Orlando condo development EBITDA guidance was reduced to $16-$20 million for 2026, with the difference expected to be recognized in 2027, indicating timing delays.
- The company's RevPAR growth is increasingly rate-driven, with occupancy growth limited, which may not be sustainable if consumer demand softens.
- The World Cup's contribution to RevPAR growth is expected to be a one-time event, with the company noting that rate growth will normalize in the second half, potentially reducing momentum.
- Host Hotels & Resorts Inc (HST) continues to face elevated capital expenditure requirements, with 2026 capex guidance of $550-$630 million, including significant reinvestment and property damage reconstruction costs.
- The company's ability to deploy capital in acquisitions remains constrained by high asset prices, as it has not yet found opportunities that meet its return thresholds.
- Business transient revenue growth was modest at 4%, with room nights only slightly improving, indicating a slower recovery in this segment compared to leisure and group.
Operator
Welcome to the Host Hotels & Resorts second-quarter 2026 earnings conference call. Today's conference is being recorded.
At this time, I would like to turn the call over to Jamie Marcus, Senior Vice President of Investor Relations.
Jaime Marcus
Host Hotels & Resorts, Inc. - Senior Vice President, Investor Relations
Thank you. And good morning, everyone.
Before we begin, today's call will include forward-looking statements within the meaning of federal securities laws. As described in our filings with the SEC, these statements are subject to risks and uncertainties that could cause future results to differ from those expressed, and we are not obligated to publicly update or revise these forward-looking statements.
On today's call, we will also discuss certain non-GAAP financial information, such as FFO, adjusted EBITDAre, and comparable hotel level results. For reconciliations to the most directly comparable GAAP information, please see yesterday's earnings press release, our 8-K filed with the SEC, and the supplemental
Already have an account? Log in
Get the full story
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
7-Day Free Trial · Cancel Anytime
Subscription fee may be tax deductible.
Excellent 
4.6 out of 5 
Trustpilot
Trustpilot
Survey
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
Follow Us
Disclaimers