LaSalle Hotel Properties Reports 2007 Results
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LaSalle Hotel Properties Reports 2007 Results
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Catégorie : Monde
Ceci est un communiqué de presse sélectionné par notre comité éditorial et mis en ligne gratuitement le 22-02-2008
2007 Record Year for FFO and EBITDA
LaSalle Hotel Properties (NYSE: LHO) today reported net
income to common shareholders of $61.5 million, or $1.53 per diluted share for the year ended December 31,
2007, compared to net income of $73.5 million, or $1.85 per diluted share for the prior year. Net income
includes the $30.4 million net gain on sale of the LaGuardia Marriott and the $3.9 million write-off of the
non-cash costs associated with the initial issuance of the Company’s Series A Preferred Shares, which were
redeemed by the Company in March 2007. Net income for 2006 includes the $38.4 million net gain on the
sale of the Chicago Marriott Downtown.
For the year ended December 31, 2007, the Company generated funds from operations (“FFO”) of
$123.4 million versus $114.2 million for the same period of 2006. On a per diluted share basis, FFO for
2007 was $3.07 versus $2.87 for the prior year. FFO has been reduced by the $3.9 million non-cash writeoff
of the initial issuance costs of the Series A Preferred Shares due to their redemption in March 2007.
Excluding these non-cash costs, FFO for 2007 would have been $127.3 million or $3.17 per diluted share.
The Company’s earnings before interest, taxes, depreciation and amortization (“EBITDA”) for 2007
was $237.8 million as compared to $225.2 million for 2006. EBITDA includes the $30.4 million net gain on
sale of the LaGuardia Marriott in 2007 and the $38.4 million net gain on the sale of the Chicago Marriott
Downtown in 2006. Excluding these gains, EBITDA would have been $207.4 million in 2007 versus $186.8
million in 2006, an increase of 11.0 percent.
“2007 was another excellent year for the Company,” said Jon Bortz, Chairman and Chief Executive
Officer of LaSalle Hotel Properties. “We achieved record FFO per diluted share and EBITDA, increased the
monthly common dividend 21 percent and implemented the largest redevelopment program in our
Company’s history, with expected completion in April 2008.”
Room revenue per available room (“RevPAR”) increased 5.4 percent in 2007 to $148.58 versus the
previous year. Average daily rate (“ADR”) climbed 4.7 percent to $200.78 from 2006, while occupancy
grew 0.7 percent to 74.0 percent.
The Company’s hotels generated $217.6 million of EBITDA for the year compared with $200.9
million last year. EBITDA margins across the Company’s portfolio increased 118 basis points to 31.7
percent from the prior year. The EBITDA margin expansion was primarily attributable to ADR growth,
guestroom and food and beverage cost controls, energy saving initiatives and aggressive asset management
efforts to contain expense growth. Margin growth was partly offset by continued above-inflationary
increases in property taxes, franchise fees and salaries and benefits.
“Lodging industry supply and demand growth were near parity in 2007 and pricing power remained
strong with industry ADR increasing 5.9 percent, despite gradually weakening trends in the fourth quarter of
2007,” said Mr. Bortz. “Our portfolio’s performance in the face of the largest redevelopment and
repositioning program in our history was impressive. Having assets located in the top performing U.S.
lodging markets and strong performance from our previously repositioned assets led to RevPAR growth,
FFO per share growth, EBITDA growth and margin expansion despite $8.0 million of EBITDA lost from the
negative impact of construction and rooms out of service in 2007.”
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