Host Hotels & Resorts (HST) Q3 2025 earnings summary

Executive summary

• Outperformed expectations in Q3 2025, with strong operating and financial results, including a 94% year-over-year increase in net income to $163 million, driven by a $122 million gain on the sale of Washington Marriott at Metro Center.

• Portfolio repositioning and capital allocation since 2018 have driven material outperformance, with guidance raised for both RevPAR and EBITDA every quarter in 2025.

• Maintained a strong investment grade balance sheet, with $2.2 billion in available liquidity and 99% of the portfolio unencumbered by debt as of September 30, 2025.

• Focus on upper-upscale and luxury hotels, with diversified business and geographic mix, and continued reinvestment in the portfolio.

• Led full-service lodging REITs in cumulative free cash flow from 2019–2024, with 9.3% of total revenue, more than double the peer average.

Financial highlights

• Q3 2025 Adjusted EBITDAre was $319 million, down 3.3% year-over-year; adjusted FFO per share was $0.35, down 2.8%; NAREIT FFO per share was $0.34.

• Year-to-date Adjusted EBITDAre was $1,329 million, up 2.2% compared to 2024.

• Comparable hotel EBITDA margin declined 50 bps to 23.9% in Q3 2025 due to higher wages and benefits.

• Collected $5 million in business interruption proceeds in Q3, totaling $24 million year-to-date.

• Q3 2025 total revenues were $1,331 million, up 0.9% year-over-year; YTD revenues reached $4,511 million, up 6.0%.

Outlook and guidance

• Raised full-year 2025 guidance: comparable hotel RevPAR growth to 3.0% and total RevPAR to 3.4%.

• Adjusted EBITDAre guidance increased to $1,730 million, up $25 million from prior midpoint.

• Net income forecast at $780 million, with diluted EPS of $1.11 and operating profit margin of 13.9%.

• Comparable hotel EBITDA margin for 2025 expected at 28.8%, 20 bps above prior guidance but 50 bps below 2024.

• Guidance includes $24 million in business interruption proceeds and $16 million EBITDA from condo development.