Host Hotels & Resorts cuts full-year adjusted FFO forecast on normalizing leisure travel demand

Host Hotels & Resorts

31/07/2024 22:09

July 31 - Real estate investment trust Host Hotels &
Resorts  HST.O  cut its forecast for 2024 adjusted funds from
operations (FFO) on Wednesday, citing normalizing leisure travel
demand and slower-than-expected recovery from the wildfires in
Maui. 
    Shares of the company were down nearly 5% in extended
trading.
    Leisure travel demand in the U.S. has been moderating after
the post-pandemic "revenge travel" spike and many travel
companies are turning to international destinations to offset
domestic losses.
    The Maryland-based REIT now expects full-year adjusted FFO
to be in the range of $1.90 to $1.98 per share, compared to its
prior forecast range of $1.97 to $2.05 per share. 
    Host Hotels, whose portfolio includes hotels such as Hyatt
and Marriott's Ritz Carlton, reported second-quarter adjusted
FFO of 57 cents per share, compared to analysts' estimate of 55
cents per share. 
    Total quarterly revenue was $1.46 billion, up about 5% from
a year earlier and in line with analysts' estimates, as per LSEG
data. 

 (Reporting by Ananta Agarwal in Bengaluru; editing by Alan
Barona)
 ((Ananta.Agarwal@thomsonreuters.com))