On Friday, Xenia Hotels & Resorts, Inc. (NYSE:XHR) reported second-quarter earnings that significantly exceeded analyst expectations, driven by strong group business demand and improved performance at its recently renovated Grand Hyatt Scottsdale Resort, News.Az reports citing Reuters.
The company’s shares rose 2.36% in pre-market trading following the announcement.
The luxury hotel REIT posted adjusted earnings per share of $0.56 for the quarter, handily beating the analyst estimate of $0.30. Revenue reached $287.58 million, surpassing the consensus estimate of $273.35 million. Same-property RevPAR (revenue per available room) increased 4% YoY to $195.51, while total RevPAR jumped 11% compared to the same period last year.
"Our second quarter results surpassed our expectations, as both revenues and Hotel EBITDA increased significantly compared to the same period last year," said Marcel Verbaas, Chair and Chief Executive Officer of Xenia. "Early performance at the recently renovated and upbranded Grand Hyatt Scottsdale Resort continues to be encouraging and was the main driver of our 4% Same-Property RevPAR increase for the quarter."
In April, Xenia sold the 545-room Fairmont Dallas for $111 million and repurchased nearly 3 million shares of common stock during the quarter at an average price of $12.10 per share.
