Park Hotels & Resorts Inc. Reports Third Quarter 2026 Results

TYSONS, Va.--(BUSINESS WIRE)--Park Hotels & Resorts Inc. (“Park” or the “Company”) (NYSE: PK) today announced results for the third quarter ended September 30, 2026 and provided an operational update and an update on its Non-Core hotel disposition initiative.

Third Quarter Highlights Include:

• Comparable RevPAR was $201.02, an increase of 8.4% compared to the same period in 2025;
• Core RevPAR was $213.66, an increase of 8.1% compared to the same period in 2025;
• Net loss and net loss attributable to stockholders were $(15) million and $(18) million, respectively;
• Adjusted EBITDA was $135 million, an increase of 4.0% compared to the same period in 2025;
• Diluted loss per share was $(0.10); and
• Diluted Adjusted FFO per share was $0.39, an increase of 11.2% compared to the same period in 2025.

Thomas J. Baltimore, Jr., Chairman and Chief Executive Officer, stated, “I am very pleased with our third quarter results, with Core RevPAR increasing over 8% year-over-year, driven by continued strength in both group and leisure demand segments across our portfolio. Group rooms revenue increased over 18% year-over-year, while higher-rated leisure travel further supported performance during the quarter. Our Hawaii hotels delivered outstanding results, with RevPAR at the Hilton Waikoloa Village and Hilton Hawaiian Village increasing 20% and 5% year-over-year, respectively, despite a nearly 280-basis point impact on combined RevPAR growth from recent storms. We also continued to realize the benefits of our strategic capital investments, with the Casa Marina Key West, Curio Collection, and Waldorf Astoria Orlando generating RevPAR growth of over 17% and 16% year-over-year, respectively, while the Hilton Chicago, Hilton Santa Barbara Beachfront Resort and each of our Washington, D.C. and Boston hotels produced double-digit RevPAR growth, further demonstrating the broad-based demand strength within the portfolio. As we enter the fourth quarter, booking trends remain encouraging as preliminary October Comparable RevPAR increased nearly 11% year-over-year, with continued outperformance throughout the portfolio contributing to our raised outlook for the remainder of the year.”

Additional Highlights Include:

• Reopened the Royal Palm South Beach Miami, a Tribute Portfolio Resort (“Royal Palm”), in July 2026, following the completion of its more than $110 million transformative renovation, and commenced a more than $100 million renovation of the Ali’i Tower at the Hilton Hawaiian Village Waikiki Beach Resort in August 2026;
• Exited two Non-Core hotels since the second quarter of 2026 for gross proceeds of approximately $31 million. The hotels contributed an insignificant amount of Hotel Adjusted EBITDA in 2025 and had approximately $80 million in anticipated capital expenditures;
• In September 2026, drew the remaining $600 million from Park’s $800 million senior unsecured delayed draw term loan facility (“2025 Delayed Draw Term Loan”), as well as $700 million from Park’s delayed draw mortgage loan facility (“Bonnet Creek Mortgage Loan”), to fully repay the $1.275 billion CMBS loan secured by the Hilton Hawaiian Village Waikiki Beach Resort (“HHV Mortgage Loan”), which was scheduled to mature on November 1, 2026;
• In October 2026, paid its third quarter cash dividend of $0.25 per share to stockholders of record as of September 30, 2026 and declared its fourth quarter cash dividend of $0.25 per share to stockholders of record as of December 31, 2026, to be paid on January 15, 2027; and
• Achieved LEED Silver Certifications for the 822-room Rainbow Tower at the Hilton Hawaiian Village Waikiki Beach Resort and the 414-room Palace Tower at the Hilton Waikoloa Village, both of which completed guestroom renovations earlier this year. Including the 1,021-room Tapa Tower at the Hilton Hawaiian Village Waikiki Beach Resort, which earned a hotel LEED certification in 2025, Park has three towers with LEED certifications following comprehensive renovations.

Non-Core Hotel Dispositions:

• In July 2026, sold the 314-room Hilton Short Hills for gross proceeds of $12 million, which had anticipated capital expenditures of approximately $27 million; and
• In October 2026, sold the 520-room The Wade for gross proceeds of approximately $19 million, which had anticipated capital expenditures of approximately $52 million.

Mr. Baltimore added, “We are excited about the reopening of the Royal Palm in South Beach following a comprehensive renovation that transformed all 393 existing guestrooms, added 11 new guestrooms, expanded and modernized the meeting space, and enhanced all public spaces, including a redesigned lobby, four new food and beverage concepts and an upgraded pool. We expect the renovation will be a positive tailwind for the portfolio next year, adding at least 200 basis points to Comparable RevPAR growth and doubling the hotel’s EBITDA upon stabilization. We remain laser-focused on further elevating the quality of our portfolio and, during the quarter, commenced the more than $100 million renovation of the Ali’i Tower at the Hilton Hawaiian Village, as part of our continued investment in this iconic resort. We also made meaningful progress in strengthening our financial flexibility by repaying the $1.275 billion mortgage loan secured by the Hilton Hawaiian Village and extending our debt maturity profile through utilization of proceeds from our 2025 Delayed Draw Term Loan and Bonnet Creek Mortgage Loan. In addition, we continued to advance our portfolio transformation through the sale of two additional Non-Core hotels. With approximately $1.3 billion of liquidity, we are well-positioned to continue executing on our strategic priorities and creating long-term shareholder value.”

Selected Statistical and Financial Information

(unaudited, amounts in millions, except RevPAR, ADR, Total RevPAR and per share data)

Operational Update on Core Hotels

Results for Park’s Core hotels and Core hotels by type are as follows:

During the third quarter of 2026, Park's resort hotels continued to drive the performance of its portfolio, including the Royal Palm in Miami, which reopened in July 2026 after suspending operations in mid-May 2025 for a comprehensive renovation. Despite the impact of recent storms, RevPAR at the Hilton Hawaiian Village Waikiki Beach Resort increased 5%, while RevPAR at the Hilton Waikoloa Village increased over 20% driven by a nearly 40% increase in group revenue and an over 20% increase in transient revenue. In addition, the Hilton Hawaiian Village Waikiki Beach Resort benefited from the completion of guestroom renovations at the Rainbow Tower earlier in the year, helping to drive an over 130% increase in group revenue and a nearly 35%, or over $6 million, increase in food and beverage revenue compared to the same period in 2025. The Casa Marina Key West, Curio Collection, benefited from increases in group and transient revenue of 60% and nearly 15%, respectively, during the third quarter of 2026 compared to the same period in 2025, resulting in an increase in RevPAR of over 17%. The Waldorf Astoria Orlando continued to benefit from the comprehensive renovation and expansion projects completed in early 2024, with transient revenue increasing over 25% during the third quarter of 2026 compared to the same period in 2025, which increased RevPAR by over 16%. The Hilton Santa Barbara Beachfront Resort benefited from increases in group and transient revenue of approximately 25% and 10%, respectively, during the third quarter of 2026 compared to the same period in 2025, driving a 13% increase in RevPAR.

Additionally, the Hilton Chicago benefited from increases in both group and transient demand during the third quarter of 2026, resulting in an over 15% increase in RevPAR, while food and beverage revenue increased nearly 20%, or nearly $3 million, compared to the same period in 2025. Park's hotels in Washington, D.C. benefited from government-related demand, which drove an over 160% increase in group revenue during the third quarter of 2026 compared to the same period in 2025 and increased combined RevPAR by nearly 33%. Park's Boston hotels also benefited from increased group and transient demand during the quarter from high-profile events, including the World Cup quarterfinal match, resulting in a nearly 13% increase in combined RevPAR.

While higher demand and occupancy drove the 8% increase in Comparable RevPAR during the third quarter of 2026 compared to the same period in 2025, hotel operating expenses increased 5%, primarily reflecting higher variable costs associated with increased occupancy, as well as wage and utility pressures. Additionally, the increase in group demand primarily benefited rooms revenue, with lower out-of-room spend than Park typically recognizes from in-house groups, which resulted in only a 2% increase in food and beverage revenue, while banquet and catering revenue remained relatively flat compared to the same period in 2025. Park also recognized lower cancellation and attrition fees during the quarter.

At the end of September 2026, Core Group Revenue Pace for 2027 increased nearly 6%, as compared to what bookings were for 2026 at the end of September 2025, with average Core group rates for 2027 projected to increase nearly 4% for the same time period.

Non-Core Disposition Initiative

The status of Park’s Non-Core dispositions since January 1, 2026 is as follows:

Balance Sheet and Liquidity

As of September 30, 2026, Park’s liquidity was approximately $1.3 billion, including $1 billion of available capacity under the senior unsecured revolving credit facility (“Revolver”).

In September 2026, Park drew the remaining $600 million from the 2025 Delayed Draw Term Loan and $700 million from the Bonnet Creek Mortgage Loan to fully repay the $1.275 billion HHV Mortgage Loan, which was scheduled to mature on November 1, 2026, with the remaining proceeds to be used for general corporate purposes. The Bonnet Creek Mortgage Loan is secured by the 1,009-room Signia by Hilton Orlando Bonnet Creek and the 502-room Waldorf Astoria Orlando and associated golf course (collectively, the “Bonnet Creek complex”). Park also expects to refinance the $150 million mortgage loan encumbering the Hilton Santa Barbara Beachfront Resort in mid-November 2026. As of September 30, 2026, Park’s Net Debt was approximately $3.7 billion, and the weighted average maturity of Park’s consolidated debt is 3.1 years, including all extension options.

Park had the following debt outstanding as of September 30, 2026:

Capital Investments

During the third quarter of 2026, Park spent $57 million on capital improvements at its hotels and expects to spend between $270 million to $280 million in capital expenditures during 2026.

Park reopened the Royal Palm in July 2026, following the completion of its more than $110 million comprehensive renovation, which began in May 2025. Park expects the renovation to generate a 15% to 20% return on investment. Park also expects to complete the third and final phase of guestroom renovations at the main tower of the Hilton New Orleans Riverside during the fourth quarter of 2026, bringing the total investment across all three phases to approximately $80 million.

Additionally, in August 2026, Park commenced a more than $100 million renovation of the 348-room Ali’i Tower at the Hilton Hawaiian Village Waikiki Beach Resort, including the addition of three new guestrooms at the oceanfront tower.

Dividends

Park declared a third quarter 2026 cash dividend of $0.25 per share to stockholders of record as of September 30, 2026. The third quarter dividend was paid on October 15, 2026.

On October 29, 2026, Park declared a fourth quarter 2026 cash dividend of $0.25 per share to be paid on January 15, 2027 to stockholders of record as of December 31, 2026. The declared dividends translate to an annualized yield of approximately 6% based on Park’s recent trading levels.

Full-Year 2026 Outlook

Park is increasing its full-year 2026 outlook to reflect strong third quarter results and demand trends expected for the fourth quarter.

Park expects full-year 2026 operating results to be as follows:

Park’s outlook is based in part on the following assumptions:

• Comparable RevPAR for the fourth quarter is expected to increase 5.5% to 7.5%;
• Operating expenses for Park’s hotels for the full-year are expected to increase 4.5% to 5.0%;
• Includes approximately $13 million of incremental interest expense from $1.5 billion of refinancing activity in 2026, most of which is expected during the fourth quarter;
• Fully diluted weighted average shares for the full-year 2026 of 201 million; and
• Park’s current portfolio as of November 4, 2026 and does not take into account potential future acquisitions, dispositions or any financing transactions, except as noted above, which could result in a material change to Park’s outlook.

Park’s full-year 2026 outlook is based on several factors, many of which are outside the Company’s control, including uncertainty surrounding macroeconomic factors, such as inflation, changes in interest rates and the possibility of an economic recession or slowdown, as well as the assumptions set forth above, all of which are subject to change. Additionally, Park’s full-year 2026 outlook does not include assumptions around the incremental impact of tariff announcements (including any foreign tariffs announced in response to changes in U.S. trade policy), changes in travel patterns to or in the U.S. as a result of foreign conflicts, disapproval of U.S. foreign or domestic policy, or government or agency shutdowns as the net effect of such announcements or events cannot be ascertained or quantified at this time.

Supplemental Disclosures

In conjunction with this release, Park has furnished a financial supplement with additional disclosures on its website. Visit www.pkhotelsandresorts.com for more information. Park has no obligation to update any of the information provided to conform to actual results or changes in Park’s portfolio, capital structure or future expectations.

Corporate Responsibility

Park published its ninth annual Corporate Responsibility Report ("CR Report"), which aligns with globally utilized frameworks including the Task Force on Climate-Related Financial Disclosures, Sustainability Accounting Standards Board, United Nations Sustainable Development Goals and Global Reporting Initiative.

Investor Contact
Ian Weissman
+ 1 571 302 5591
www.pkhotelsandresorts.com