AHT - Earnings call transcript Q1 2019 | Ashford Hospitality Trust, Inc.

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Operator

Good day and welcome to the Ashford Hospitality Trust First Quarter 2019 Results Conference Call. Today's conference is being recorded. At this time, I would like to turn the conference over to Ms. Jordan Jennings. Please go ahead.

Jordan Jennings

you welcome Ashford conference first Hospitality XXXX to and the to quarter everyone, and for developments. results Trust update day, to call today's review of Good recent on for the

the Officer; Eubanks, Operating Executive Officer. today and Welter, Officer; Deric be Kessler, Chief Douglas On President call Chief Jeremy Financial Chief will

The At this being remind based you are forward-looking Such to anticipated. contain numerous statements materially and known statements Federal a or Exchange unknown assumptions, the the certain is results uncertainties of upon has this that provision conference internet Your pursuant well as this are notice made the in conference covered are as results, Securities this conference factors time, to call and fully yesterday let are Harbor could them. publicly in included made were those financial this forward-looking or are differ basis distributed a actual me media. that or and the on listen-only of Safe call Regulation. assumptions and press afternoon date by to update to filings forward-looking and obligated Company's the and statements information as been the only cause more not of call from discussed with which in over risks, the the Company release revise accessibility of call the subject of Securities the These Commission.

first have to accessed tables in on XXXX in those the this Kessler. the which been release. company's earnings all call encouraged X-K call of Each over ahead, may reconciliations May which information in I listener of quarter go at turn www.ahtreit.com. used the schedules, compare Company's results on SEC Douglas is provided terms together the also with unless measures, and discussed the reported Form all of earnings this in in XXXX accompanying are to and certain otherwise call be quarter Also, release website X, first sir. the are to filed addition, the financial through non-GAAP with provided XXXX. with In release the now provided review reconciliations or stated, Please will other

Douglas Kessler

for morning Ashford to and results Then, results. I'll Good financial items. our thank an quarter on begin and us the other Trust Ashford, want with first having ERP success by are discuss you our to we joining update Hospital I initiative providing with review Inc.

we and insider our have approximately us shareholders owners. with to our encourages Given ownership a Ashford We believe tremendous Trust. which alignment thank of act like

Any consistently have strategy ERP successful over to as our these is to will of our Our value. been benefits create increase the ways improve believe efforts have shareholder that position throughout as XX-year economically well transformational value. of and one our provide on We initiatives history meaningful the and focused years. diligent shareholder competitive

us acquisition by great of the good $XXX attractiveness company zone the price equating The investments $XX.X committed ERP of Suites completed acquired million million to we under discussed of used As acquisition million. committed to we've to of to committed property approximately have $XXX In with to already program funding. acquisitions basis terms hotel XX% Ashford on has we utilized the acquisitions. the $XX for pledged this to million make significantly committed has improve January XX% purchase to received ERP, In believe have provide To-date million ERP is million Inc. deals, New ERP. opportunity $XX Thus the returns the ERP company. York, is equates We establishing Ashford Inc. ERP be a $XX initiative, the connection we've deals. high pursuant the for of [indiscernible] approximately that of programmatic each of the ERP. approximately million the the approximately with the Manhattan quality to under to provide that acquisitions the which the $XX.X Ashford four the previously Embassy provide utilization Inc. on of Midtown to for new us

Manhattan We ideally newly to in located constructed expect Embassy from Times benefit near in the XX-storey being Bryant this hotel Park Square Suites only the dynamic market.

timing to direct changes of portfolio. Additionally, New in metrics our in the to positive as this our believe investment recent hotel point Manhattan's we addition York hotel City, first favorable

property having recently March, our for during opened index first this In well year. ramping hotel achieved the the in exceptionally quarter. hotel's XXXX is penetration target While only operations the performed already still early up the underwriting

Looking there's believe upside ahead, the property. significant we at

Valley February, we Cruz/Scotts million. Santa in purchased in Cruz, $XX for Hilton Santa California Additionally

latest of being Our just service the a of Cruz attractive $X by full advantage the OP take market the of partially from only ERP stock price. desirable also yesterday's to location from which and California's Cruz, assets were near one northern premium issuance an expanding tech Jose Santa Hilton approximate unit million Santa The XX% property in beach the $X.X issued in The in communities. per the acquisitions This benefits has units approximately minutes OP at price market. San of most was branded funded acquisition units. reflects

own. penetration on the percentage the about grown this in a points mortgage are conjunction Year-to-date $XX.X $X favorable we're with matures this also of that rate March, believe We part and In the Inc. has Ashford X.X% million a asset. and bears fixed ERP. enthusiastic loan provided already at acquisitions performance with X.X of We transaction these future million XXXX. interest us as investments of index assumed their hotel's highly

strongly value. the shareholder advantage for only assets ERP provides but high the structured best continued to the assure underwriting a that our can to with with that best the be projected not We portfolio ERP also focused, should the greater. I you us with the our return value. believe enhance competitive and efforts standards is with even improve However, diligent be to same

first our to turn now performance. quarter me Let

for all RevPAR X.X% increased for hotels comparable for the hotels quarter all X.X%. RevPAR increased while actual Our

the first not For comparable X.X%. all increased renovation for quarter RevPAR hotels under

and reported quarter per share of AFFO we first million. For adjusted $XXX.X of $X.XX the EBITDAre

As balance in to appropriate our sheet, equity leverage enhance benefits for believe returns. the amount of non-recourse of an we

also as believe a rate well as floating We several our including has benefits hedge being flows. having flexibility against natural debt cash

maturity previous maturities. spread new Over terms financing a the during refinancing past million loan information $XXX been attractive majority active Westin Deric and that couple and now refinancing a that the to and existing to than very totaled of both the provide quarter extend compared more of we to the years schedule. end, on mortgage loans we've spreads that prior our loan. loan the our With refinanced will all we To and activity, Princeton the loan our well Nashville with shortly. on Renaissance an a has lower have laddered recent improve

and to high hedge equity flexibility. between equivalents can cash well excess provide arise. cash times of that XX% XX% maintain a to capitalization seek and market funds during as for uncertain financial economic they as a attractive investment balance balance opportunities on as cash also We our We note this capitalize requisite

as a yesterday's quarter to working significant approximately the of equating price of of capital represents per close. current million $XXX share first which share XX% $X.XX net totaled of our our XXXX, As

of West We properties teams. a that was analysts. our in including included by market to management several REIT attended progress very make The and April our with also investor efforts tour outreach well investors organizing continue peer Key and event and hosting

of investment attractiveness will During communicate of during remainder you continue on our the out to XXXX, and many to we with investors road events. strategy We get forward Trust. the in of to look to with upcoming meet speaking Ashford

as will ahead, asset managing committed over to our we operating have we our maximizing focused performance. on management we initiatives. well focus We're Deric efficiently - to Looking to quarter quality value portfolio now call on review diversified for proactive a the remain and transactions well sheet. opportunities performance, accretive we our to as investment solid turn as portfolio I shareholders high first financial and balance generating seek and continuing

Deric Eubanks

Douglas. Thanks

or XXXX, per holders to For the $X.XX loss first share. net diluted quarter of common stock $XX.X reported attributable million we

we quarter, a billion of quarter, of X.X%. average blended rate had with AFFO $XXX.X adjusted reported the totaled the quarter. per At $XX.X diluted of we million for mortgage loans interest end $X.X first the the For share EBITDAre of

were floating loans XX% X% fixed rate. rate and Our

rate loans of quarter our we are floating our are in Interest working All of for Inc., net $XXX our with million. all ended non-recourse value the caps the investment place we and virtually and schedule. capital market equity laddered including well in Ashford have of loans of maturity a rate

consisted XX,XXX hotels March XXX of rooms. of XXXX XX, our net As portfolio with

to this regard of fully the or share units. of count first diluted yield stood $X.XX and XXX.X $X.XX XX.X OP declared space. quarter With million at an basis. on outstanding cash of in $XXX at stock quarter XXXX on annualized share share an highest of price X.X% comprised among represents Board is which Based shares million REIT the Our the stock common million hotel a dividend end dividend per Directors dividends, yesterday's

loan million. the date assumed new front of to turn XXXX. initial at certain balance two-year Princeton the existing in X.X%. non-recourse million The into Valley and we interest Hilton concludes five, to asset options quarter, subject maturity Suites initial of XXXX. the In outstanding over Manhattan, Cruz/Scotts provides loan mortgage discuss with Aareal existing connection during rate connection loan plus market's one-year for rate with a X.XX%. review loan satisfaction acquisition The and National $XX.X capital a mortgage has interest of million non-recourse three-year we the secured January, only an LIBOR balance quarter. conditions. matures extension an Princeton mortgage the At we with and $XXX one-year X.X% plus by the term our June, final loan is like to Jersey. and of the The LIBOR with subject our the The fixed The interest approximately bears our only, loan On interest Jeremy options and $XXX and closing acquisition two now would Nashville of same refinanced has of a million activities with Princeton New financial with management a totals Capital, Westin totaling the with the an hotels, March, $XXX certain term extension of Santa the the and remains Embassy to and loan at This Renaissance I Tennessee two, for The is a of floating in conditions. rate approximately loan. satisfaction the assumed entered to

Jeremy Welter

total Thank portfolio quarter upper XX United a States and the growth basis Comparable of the for assets RevPAR XXXX. first represents the to X.X%. you, not point gain grew grew point under during Comparable gain class those respectively. X.X% this renovation RevPAR for basis Deric. our nationally XXX upscale and relative

quarter During recently April, million Suites, comparable revenue. room acquired XXXX. million beginning Eastern grew first the approximately than later occurred government impact in relative the X.X%. we the York, $X.X Embassy and XXXX shutdown February at the leading January opened The of to January In or Midtown $X.X hotel EBITDA year XXX New this quarter March benefited to Manhattan. less

in Times Brighton Square, Penn hotel's to proximity due opening large in continue also Suites Embassy its it's performances is New to The the Station to Manhattan. and ramp It January redevelopment, Following part Park. Hudson the XXXX. only hotel in York's

at during exception I've a strong hotel our quarter X,XXX and as outlook market the independent has both and respectively. Its and driving and an manager first acquisition we relative our represents believe RevPAR points of significant has not hotel's growth excited its grew this been following past, results, We're growth this As to hotels XX.X%. the record competitor the our basis comparable for basis remains this highlighted hotel about points property. Remington franchised upside X,XXX in and of the RevPAR property track

during first the in in capitalize XX pricing king quarter the on Manhattan. rooms to premium of rooms is double of initiatives multi-bed order One to convert third queen rooms to hotel the

invest will spending million In year. we approximately during XXXX, $XXX to we During our $XXX portfolio capital million to in competitiveness. expenditures total, estimate continue in to maintain the

We've the at Hyatt City, XXXX. at down Regency Gateway. select several significantly Suites is Crystal room properties. also hotels We've with a we few from in renovation Gables including Embassy what along guest completed the Crystal Marriott renovation Coral completed spent Assessment lobby

two the is a renovation We at to work identifying four We're additional phase keys guest be include on end that City second of our the and Suites meeting complete now Back is from redevelopment Regency largest Nashville portfolio. Hyatt other Furthermore, the Which create the and continue to one to added DC Embassy Marriott will excited long-term Hilton the phase the Gables. hotels. throughout of Gateway of I've Coral to transformational impact Marriott value Crystal Bay underway. space? to and continuously position discuss XXXX, success. the add these the the keys Virginia. to Airport portfolio. Renaissance like positive identified the to discussed and Throughout of room how DFW key we've I'm on I'd Boston adding some to have benefit within first keys accretive out additional our they to experienced renovations us renovations opportunities number area Arlington, of in portfolio, the our turn the build We'll hotel, opportunities at and for

[indiscernible]. the flowed largest market us a hotels pavers the also hotel especially in in the through lining portions during the quarter renovation. add one HQX's forward first Major finished the major During robust completed significantly the the and of the the the renovation of adding we to refurbishment well our to of positions Completing expected painting exterior considering XX%. increased About market. overall driveway final presence was at quarter, is stages first They lobby. demand ongoing this of EBITDA room in remaining Amazon of building going renovation

Scotts acquisition, the addition the fourth quarter, York the won hotel the Santa New two quarter Embassy over Posada Hilton the Midtown performance in a have outstanding La Suites first acquisitions to portfolio. Santa In Fe during highlight is Cruz [indiscernible] which and our Valley,

growth five at quarter, relative by growth. recent ownership We're Santa Santa we the RevPAR prepared X,XXX growth, open to of ownership During Fe submarket. first with represents able has successes for the we margin strong a through. only and XX% also the the point above RevPAR of call early the Through of now grew comparable XX% our Posada saw the occupancy basis excited months concludes first EBITDA percentage flow growth XX.X%. and the quarter remarks to hotel Q&A. comparable now driven We're RevPAR XX.X% but upscale about hotel This our and revenue Fe initial future acquisitions our La X in portfolio. EBITDA point realize of increase That grown will

Operator

[Operator go with first Riley Instructions] to Maher FBR. B. we'll and Bryan

Bryan Maher

this for Jeremy. questions and of from one's me Couple maybe

million On project? the CapEx how - $XXX to you that consider of $XXX million, talked versus about you would the that much

Jeremy Welter

Consider what?

Bryan Maher

Maintenance CapEx? project CapEx versus or type ROI project

Jeremy Welter

doing It's of that of that just it's substantially the we to can predominantly maintenance be don't start forward Most in, basis, most of to that We it maintenance go going - break CapEx. out. on business part CapEx. we're be but a really probably its going overwhelming

Bryan Maher

Nashville. kind than XXXX? other there or any XXXX then, that big the and other you would late start in Okay on Are of projects maybe in horizon

Jeremy Welter

for quarter are near Nashville won't anything refresh disclosed do - We we Ritz have in long. we've hotel. renovations renovations, be Minneapolis meeting and There just where We've mainly some schedule so at is renovation W CapEx. meeting Not the anything at space fourth Atlanta. some we'd the guestroom out Nashville, like of that's in it's we on a start over Most worked those and that got we have it what provide just that refresh. to Carlton space do did mostly

Bryan Maher

it And XX then are you it? think the at going it XXXX on bps, look quarter XXXX. RevPAR What that when that we renovations over measurement attribute XXXX, first XX outperformance how in outperformance in to you much now were bps. in of Is our completed that do XXXX, not would is that of

Jeremy Welter

basis I to back between to But I I say points. guess, actually XX gone that. to haven't if would calculate somewhere XXX were

Bryan Maher

and when then pipeline you're at ERFP. the And Douglas, looking for maybe acquisition

$XXX million how with of any of ERFP like grow over year have Inc. further of all, last now is pipeline First size to then And started [ph] historically kind two. to the $XX your historically secondarily, discussions million. versus from deep the you and or being

Douglas Kessler

Bryan. Thanks

highlight committed you spent agreement. is the XX%, $XXX size increase ERP agreement of ERP potential we're of We've So ERP. interesting the point mutual an the to XX% contemplates in by million to which

bit for cross acquisitions that accretive think, when So go to as little to platform. continue we we out the have we and I get ways a we'll seek still there bridge

early too little around first quarter. discussion have So to any you

I'd second industry the transaction for of pipeline, question single flow assets. overall a As that decent say your about seeing for we're

is the in are for the specific I about assets our for whole consistent there over which up yet portfolio service was it's about activity. this out fact all on almost volume the total X.X% the substantially year year this focus is volume industry down XX% single dollar market full In time data due last there mainly the same upper the segment. with lot And directionally you same portfolios to that but quarter showed know lack fewer and think over ago, the quarter a down upscale XX% of

for basis I down think type average that we're are worth of points. seeking the assets I'd say it's cap rates noting XX the about

So happened showing that, up prices key to the competitiveness have have percentages. that traded per trades mid at least from high-teen price pretty and also the strong

of strong pricing movement. in a it's So terms market

BOV's bit I overall a say out pricing think upsides I'd seems assets [ph] for to more one [ph] pretty demanded share coming data less to what's comment I the in be But and and little a BOV's firm. increased I'd maybe as above the by bit there is say with quality higher little are by you indicated buyers. the more actually the prices aggressive assets

being I in bit are recessionary in underwriting little and maybe think a multiple bids [indiscernible] close bit to into taking go on deals round. bidding longer more where people a but the general transaction market little forecast competitive think conservative are I this

advantage. remain past We're four value. substantially the deals to to worked and for at good continue conclude The we've success It our saying by bought increase competitive the We're I'd I think just We've underwriting objective has disciplined. to think make great a going to with benefit the is over to gives ERP us, year. great deals shareholder deals. So I deals, that. us

Bryan Maher

all from me. That's Thanks.

Operator

And go Deutsche we'll Woronka next with Bank. to Chris

Chris Woronka

like lot meaningful a and your have Marriott apply Starwood of through way come this But Are managed I side ask, the coming seeing some franchise a you meaningful the much and to talked hotel, more guys. which relates benefits fees. on things you it seems to One year? peers those know of to related through about they're and that even wouldn't as OTA

Jeremy Welter

really had of is managed the we Yes, lot out we mix pretty good a quarter - stood Marriott reasons flow throughs They in that are, of good definitely and portfolio. why occurred.

is a performance we [indiscernible] last this integration. of year it those of side. Some hotels, But disruption we're of hedged seeing because lot of benefits of the in year certainly year the on in the prior given some the cost

fantastic is north share. was stood the revenue be in overall portfolio that On which And We're ramping portfolio direct the for our of versus point portfolio. gaining would basis say bit we're to quarter. out also to well definitely a take up competitive share share this in first of market had if XXX quarter. I Marriott the We portfolio XXX of you across sets, they us outperformer Embassy the were two side, it I for Suites growth our size, the think out and basis gaining Manhattan, quite for first managed is so which points

Chris Woronka

a New early up, of the Do others different mixed view go very else Okay, there. York. York. to maybe it's different make a you bought we've a Congrats you great. heard have view willing the Does reason the guys come just But the - New came guys be and would the And Suites deeper guys market? to in then specific That's that success similar market. of do it. have things want you about something helpful. know some you I back from a asset on you Embassy I to

Douglas Kessler

this Well York. this right, box. the as would opportunity We simple, with acquisition market, let pleased bought new up performance with, that this management. for would of forward me take in highlight say was to just view thought performance that, of opportunity tell and efficient macro extremely brand has type The ramp I to brand you, that asset? very it given a that York. to looking I indicators lot the well clearly a we're on in this which what see our over why we for Remington to You're continued we only think we're unique do New start fee and early its New and

our was granted a XX%. terms the soft, was index up XX% Now and quarter XXXX but property up bit first in our of was RevPAR

So I a be we market say that, in look when about When it I at I'd look excited and York, the we're so about assets were sometime this little clearly pipeline that. great most what that pipeline tended and people a specific is bit supply in its at to has concerned supply overstated. been New think

about X.X%. that continued data RevPAR York is finished six X.X% taking I strong past to developed months XX the the in New was and look XXXX. the tapered was X.X% think was RevPAR off substantially But forecast and New I'd when in months, things and nevertheless there supply the only York. according for at with the are pipeline fairly with shows new that's longer to about XXXX XXXX in get but to forecast say XX previous we Travel growth Smith was positive Research, And in and our

with So the benefit new the a better. I of asset market that's hottest of transaction the this of made one that's investment made of nation's in we think this made set quality a hotel ERP and with it pretty type we just money, plus why good and the brand up even

might we activity for opportunities asset about Manhattan. disciplined it really but thinking in to XX York, I comes in York, pretty it took future with New this perfectly find what - that New and what were patient comment we other in can't to find we're the looking investment us on in for. As when years

Jeremy Welter

to in expectations one XX that is underwriting the of basically full would exceeded ramp our takes for prepared is index really days. in two and liked, the achieved remarks I fantastic year But job Suites RevPAR with the we mentioned within about we things add which has terms of our Remington a that Embassy XX months transition, brand. just that fantastic the we which does penetration it

we So particular of for a for there's asset. upside us, think lot this

Chris Woronka

great just the on Okay select-service. to ask and want

I any last guys you've disconnect calculus in a think quarter since closer changed about of terms not see selling still maybe we the in of public your in valuations big past? talked pretty Have if to potentially some select-serv widening. the being

Jeremy Welter

you're think I valuation. of in terms right the

than, think private correctly, rates really service at think if around hotels select-service RevPAR both has the and our other select-service a portfolio were to what pretty I materially anything if of perspective and traded. where full think market Yet public I our values. comes could these It a substantial for more disconnect appetite those a holistic. There's to on we sales between is there's in anything years. types I'd I definitely When not hotels be on a market It's average it private mix over assets. of other sales say portfolio than past to been leverage just a assets and cap not sales look trying the and And and flow on to focus the the within an positive at comes portfolio. low extent mitigating assets, the on ROI going lower having with a opportunistic RevPAR our when CapEx cash it portfolio, overall three on It overall we're just removing of to better focus our it's upgrade impact hotels. be assets we that $XX. history was I you sell sold recall

was RevPAR little be and So maybe I a lower think RevPAR it with significantly number than RevPAR our materially But bit off. lower overall portfolio. could

fact, the indication right portfolio value be in that proceeds have of indicates can in in right I at right the our opportunistic ability buyers think to our those the type the think to we assets, assets. and very in the that the of from time maximum getting selling I we So assets it of the

our think and regards I track dispositions speaks at portfolio. of itself for in potential So looking to terms within thoughtful being in our record disciplined

beyond select-service goes it think on question just I So your assets.

Chris Woronka

Okay, guys. Thanks very good.

Operator

question from next Markets. Our Batory with Janney comes Tyler Capital

Tyler Batory

come budgets the How up highlighting? on earlier any internal with And Specifically and results about expectations? as differences you're notable corporate respect in I did versus there worth just to leisure are travel. your demand wanted quarter. the to what of outperformance any It's RevPAR follow one seeing versus your questions. trends as that far on in are

Jeremy Welter

that. Yes, I'll this take is Jeremy

it think going largest trend of were terms which And is of did Nashville, March we exceeded have well. fairly what what a we was of main changes because the be for what difficult impacted for have change Renaissance our at demand. did had to RevPAR by solid back our business No for we then space the little big [indiscernible] in look as quarter. than the mix in government quarter thought definitely we quarter. us the we But was so at group you quarter we it's had substantial we because bit in I in occur a real it, a lot year. the more prior hotel better group when shutdowns, that didn't It's

the just brand channels That out in one very that, So seeing terms we're really of that quite of is and in terms of to in declines positive. kind growth think our time direct channel. channels, time. want OTA for We're is some seeing I our our distribution do I direct we're first point thing channels in other having trends, which in website

at time. we've but that in not inside been demand So there's we're about really any change providing terms this positive mix other major of in or that, trends

Tyler Batory

front? your about the then labor Okay expenses costs? change cost how expectations great to and for on Any or any other

Jeremy Welter

hit not some and issues with insurance that there's for assets, us. program We're year but continuously going in in in pricing been been challenging. We year. market this our The increase the of our into just is market, size that thing or No. portfolio which provided and this difficult general one year. a necessarily But lot decent right insurance I the now of a June headwinds capacity don't has in had our the is, last think. renewal market will

Right we us, it's labor as increase. be about kind continues challenge concerned franchised year, going labor little for combined renewal. to not us. for we're a a overall benefits like to into that's are going then a see. I'm the But projecting and is of And X.X% now huge be assets, to a for we cost certainly which probably our the something up the data were be decent percentage but that's So to we've higher go than and what pulled potentially there

Douglas Kessler

backdrop comparable perspective. light we EBITDA of onto good from macro and generally that insurance the add that the to highlighted more which, cost, in related which obviously pretty was our food amount lower about feel a increase the revenue Just say our bps. of that, Which a associated there slightly some with was were XX has of I'd and that, hotel margins the X.X% to headwinds that. just margins labor Jeremy beverage against down disproportionate in

and of doing headwinds. that, country is holding so, what the the say I margins the across I'd over very despite to a everyone's year think everyone and happened those same here given boat in some cost of the shift cost insurance think good with past I So experiencing we're labor and respect probably cyclical job

Tyler Batory

you. That's great. all Okay, me. from Thank

Operator

Amanda to we'll Instructions] with [indiscernible] [Operator and next go Baird.

Unidentified Analyst

spending attractiveness ROI you're higher with start you year? the CapEx of And to you how seeing about of in do over past market? changed profile has returns talk level versus think a today the about acquisition the projects return how wanted question. maybe Can the some I then, relative the

Jeremy Welter

I'll Yes, this take that. Jeremy is

Suites we've we've Manhattan and projects - implemented York big and going main that ROI which add here very, doing and something queens mine is creative been we're mentioned well. owned. already is new approach to and done, we've down We rooms our in We've moving hotels opportunities very the so [indiscernible] of add of as that's what and the in how well. we as MC been to premium there's as that few we we're We've just which the lounges I New what and finding that do they a on Most opportunities keys other opportunities a are continue to we're other for finding to double done. assets opportunity we've renovations lot we're level of our bought some some to keys there. recently - we

So I probably I do in the ton little horizon the it in that CapEx that CapEx a we our than define as don't peers. But relates of different ROI see think bit to spent portfolio. added value within we a Trust general, see just

I I on think business. is investment continued that our definition peers we to putting take in in, to guest a a what nice Whether be stay yes standards ROI much a and we it's tubs that as view happier. taking upgraded to see out do we're loser and to incremental return of lot brand have that's showers is don't on the going that versus return get truly that competitive spend. what

lot competitive, be of So just to a stay to see very what we is we're competitive. doing that

a I think we've great done job that. at

If the to share. we look over you market last years, with four of previous the exception gained year last

that first of a we that's quarter gain portfolio. gained share I So I is market five four of out in spend approach think share. of in track within tremendous think very, on CapEx the if reflection proud and of which our very six pretty and hopefully five accomplish last how so we market and I'm amazing, we're the which to years, gained amount prudent a years, we We diligent

Unidentified Analyst

talk just RevPAR York New that hotel both given helpful. overall Embassy question, And Can maybe was margin the a in growth Deric. up quarter Suites just and that's about then you housekeeping impacted the during how contribution, absolute And portfolio the terms then of EBITDA ramping. for

Deric Eubanks

thanks, Deric. Yes, is sure. Amanda this

RevPAR had mentioned So we growth. portfolio as comparable X.X% the total

you margin, was EBITDA New we total portfolio in which been down comparable have XX still think points. And result there. of EBITDA terms would X.X% back margins, attractive York basis is margin the If portfolio out

out out pull EBITDA six basis and been New If growth terms it you of it impact million points, York down points. so million. with was New then York, An would have total if have portfolio up would it overall hotel in comparable EBITDA $X.X by you pull growth been up $X.X there impacted margins basis XX

pull So quarter. out portfolio which a when still had even the attractive for New results obviously York you overall great

Jeremy Welter

our add without Suites, gained basis I'll general versus we our first I market points sets. XXX Manhattan mentioned for market the competitive And just the that already share on in share Embassy quarter.

gives XX If you the to Embassy include the basis up basis that market portfolio share on XXX gains. entire Suites points points

Unidentified Analyst

for taking thanks question. my Okay,

Operator

UBS. Robin to We'll Farley go with next

Unidentified Analyst

Jake is on Robin. Westfall for This [ph]

and service supply you when update Just supply give higher flag the quick question, outlook your industry portfolio, can going a little an on specifically around forecast be forward.

Douglas Kessler

Sure it's a comments. few Douglas and then I'll make have Jeremy

at markets situation. to the say the revenue, in the our as couple of pipeline. over markets in tapering segment. overall alluding revenue? think new supply is of coming the you major we've Nashville next Jose by market less industry years, in just we're but X.X% got off of terms and than the most would continue next DC with supply our Boston performance. Santa But Obviously to growth line defy market at let's one think over in lots on larger that of of X% of In new good supply terms I what's Atlanta X.X% in largest one growth. next to is dynamic a X.X% you're I as had of look a supply at coming well also in, RevPAR X% growth. Cruz When somewhat seeing coming be has when more The select-service range, gravity in markets you market San our so supply markets supply major pretty the in it's look demand

of and of ebb footprints and with we benefits flow do overall we as the of result geographically believe the sort our of is, I one a think have that, are one of we portfolio the most So I get so a overall supply to with term. footprint coming that market what at in happy we're the cresting showing a least supply seems of it's of near new in our and in. or reduction a demand very be light diverse and

Jeremy Welter

I didn't said. really than what had to anything add more Doug

Unidentified Analyst

maybe are the going you and expect And you What kind talk about of just trends what the forward? were of quarter? Okay strong and F&B in some seeing drivers performance. could the then

Jeremy Welter

so increasing actually broke the is we they total revenue group for a had of because that impact. out the business I Nashville, for Renaissance we big was that Yes in up that quarter believe and a and were XX% quarter a property. if lot of

Deric Eubanks

growth was result meeting a space revenue of Yes, dollar its F&B the having but Renaissance, the in half back. Nashville of

Unidentified Analyst

Great, thank you guys.

Operator

further conference over no questions. like I'd remarks. any And back to or as the management we closing to for additional have turn

Douglas Kessler

again Thank with you as for forward joining today's you seeing call you look speaking and next New as York well quarter at NAREIT. in we to

Operator

And today's for does you Thank participation. gentlemen, that conclude your and conference. ladies

disconnect. You now may

Ashford Hospitality Trust (AHT) 3 May 192019 Q1 Earnings call transcript