Park Hotels & Resorts (PK) investor relations material

Executive summary

• Second quarter 2026 results exceeded expectations, with strong RevPAR and EBITDA growth driven by robust group and leisure demand, especially in Hawaii, Florida, and urban markets.

• Portfolio consists of 30 premium-branded hotels and resorts with over 21,000 rooms, focusing on Core hotels in major urban and resort markets, while Non-Core hotel divestitures continue.

• Strategic focus on maximizing returns through asset management, renovations, and selective acquisitions/dispositions, with targeted capital investments generating outsized returns.

• Group revenue pace for 2026 and 2027 is up, with double-digit increases in key markets, supporting confidence in future demand.

• Cautiously optimistic outlook for 2026, supported by renovations, Non-Core asset sales, and ongoing capital recycling.

Financial highlights

• Q2 2026 total revenues were $680 million, up from $672 million in Q2 2025; net income attributable to stockholders was $47 million, compared to a loss of $5 million in Q2 2025.

• Adjusted EBITDA for Q2 2026 was $198 million, up from $183 million in Q2 2025; Hotel Adjusted EBITDA margin improved to 31.7% from 30.9% year-over-year.

• Adjusted FFO per share (diluted) for Q2 2026 was $0.70, up from $0.64 in Q2 2025.

• Comparable RevPAR: $216.87 (+5.8% YoY); Core RevPAR: $233.49 (+6.0% YoY); group rooms revenue up 9.5% year-over-year.

• Operating income margin improved to 14.0% from 9.6% year-over-year.

Outlook and guidance

• Full-year 2026 RevPAR guidance raised to $198–$201, up from $192–$196 previously, or 3.0%–4.5% growth over 2025.

• Net income expected between $78–$98 million; Adjusted EBITDA between $617–$637 million; Adjusted FFO per share (diluted) projected at $1.90–$2.00 for 2026.

• Guidance reflects higher variable costs due to increased occupancy, partially offset by $11 million in property tax appeal benefits and a 20% reduction in property insurance premiums.

• July Comparable RevPAR projected to increase 8.5% YoY; Q3 Comparable Group Revenue Pace over 15% above prior year.

• Management expects continued benefits from recent renovations and Non-Core hotel divestitures, but macroeconomic uncertainty, inflation, and geopolitical risks may impact travel demand.