Q4 2024 Sunstone Hotel Investors Inc Earnings Call Transcript
Key Points
- Sunstone Hotel Investors Inc (SHO) achieved full year adjusted EBITDA and FFO per share at the high end of their guidance for 2024.
- The acquisition of the Hyatt Regency San Antonio Riverwalk at a 9% capitalization rate is expected to provide significant growth opportunities.
- The company successfully completed the conversion of the Marriott Long Beach Downtown, which is showing promising early performance.
- Sunstone Hotel Investors Inc (SHO) returned nearly $100 million to shareholders in 2024 through dividends and share repurchases.
- The company maintains a strong liquidity position with nearly $700 million in total liquidity, providing flexibility for future investments.
- The Andaz Miami Beach project faced delays due to a challenging permitting process, impacting its expected contribution to earnings.
- Labor strikes in San Diego caused disruptions, affecting the company's performance in that region.
- Rising costs, including contractual wage rate increases, are expected to impact margins in 2025.
- The transaction market in 2024 was challenging, limiting opportunities for capital recycling and acquisitions.
- The company anticipates less interest income on cash balances in 2025 due to changes in deposit rates.
Good morning, ladies and gentlemen, and thank you for standing by. Welcome to the Sunstone Hotel Investors' fourth-quarter earnings call. (Operator Instructions)
I would like to remind everyone this conference is being recorded today, February 21, 2025 at 1:00 PM Eastern Time.
I will now turn the presentation over to Mr. Aaron Reyes, Chief Financial Officer. Please go ahead, sir.
Thank you, operator. Before we begin, I would like to remind everyone that this call contains forward-looking statements that are subject to risks and uncertainties, including those described in our filings with the SEC, which could cause actual results to differ materially from those projected. We caution you to consider these factors in evaluating our forward-looking statements.
We also note that the commentary on this call will contain non-GAAP financial information, including adjusted EBITDAre, adjusted FFO, and property level adjusted EBITDAre. We are providing
| 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... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
