Park Hotels & Resorts (PK) Q2 2026 earnings summary

Executive summary

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

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

• Strategic capital investments and renovations in core assets like Orlando, Key West, and Hawaii drove outsized returns and market share gains.

• Continued transformation through non-core asset sales and selective acquisitions/dispositions, optimizing the portfolio for higher-quality, growth-oriented properties.

• Management remains cautiously optimistic for 2026, supported by renovations, asset sales, and strong demand trends.

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 (+8.6% YoY), with a margin of 31.7%, and Adjusted FFO per share (diluted) was $0.70 (+9.0% YoY).

• Comparable RevPAR was $216.87 (+5.8% YoY); Core RevPAR was $233.49 (+6.0% YoY), or +7.1% excluding Royal Palm.

• Group rooms revenue rose 9.5% year-over-year; June group revenue up nearly 23%.

• 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, or 3.0%–4.5% growth; 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, offset by 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.