Playa Hotels & Resorts NV (PLYA) Reports Q3 2023 Results: Net Loss Widens, Net Package ...
Playa Hotels & Resorts NV (NASDAQ:PLYA) reported a net loss of $10.5 million for Q3 2023, compared to a net loss of $2.2 million in 2022.
Net Package RevPAR increased by 4.8% over 2022 to $269.50, driven by a 9.4% increase in Net Package ADR.
Adjusted EBITDA decreased by 9.7% versus 2022 to $40.5 million.
Net income for the nine months ended September 30, 2023, was $52.8 million, compared to $71.0 million in 2022.
Playa Hotels & Resorts NV (NASDAQ:PLYA) announced its Q3 2023 results on November 2, 2023. The company reported a net loss of $10.5 million, compared to a net loss of $2.2 million in the same period in 2022. The adjusted net loss was $9.7 million, compared to an adjusted net income of $5.9 million in 2022.
Financial Performance
Net Package RevPAR increased by 4.8% over 2022 to $269.50, driven by a 9.4% increase in Net Package ADR, partially offset by a 3.1 percentage point decrease in Occupancy. Owned Resort EBITDA decreased by 8.0% versus 2022 to $52.8 million. Adjusted EBITDA decreased by 9.7% versus 2022 to $40.5 million, negatively impacted by approximately $7.8 million due to the appreciation of the Mexican Peso.
Nine Months Performance
For the nine months ended September 30, 2023, the company reported a net income of $52.8 million, compared to $71.0 million in 2022. Adjusted Net Income was $60.3 million, compared to $62.6 million in 2022. Net Package RevPAR increased by 14.6% over 2022 to $312.16, driven by an 18.0% increase in Net Package ADR, partially offset by a 2.0 percentage point decrease in Occupancy.
CEO's Commentary
Our core portfolio delivered another strong underlying quarter, once again led by our resorts in Jamaica. With new regional management in Mexico, we are thoughtfully reevaluating our expenses and efficiency and are optimistic that we will continue to improve our operations in Mexico. On the booking front, demand improved throughout the summer, building momentum as we approach the high season. With our MICE group segment pacing up significantly and momentum on the transient side, we are entering 2024 on solid footing." Bruce D. Wardinski, Chairman and CEO of Playa Hotels & Resorts
Balance Sheet
As of September 30, 2023, Playa Hotels & Resorts NV (NASDAQ:PLYA) held $184.4 million in cash and cash equivalents, with no restricted cash. Total interest-bearing debt was $1,091.8 million, comprised of the Term Loan due 2029. As of the same date, there was no balance outstanding on the $225.0 million Revolving Credit Facility.
Explore the complete 8-K earnings release (here) from Playa Hotels & Resorts NV for further details.
This article first appeared on GuruFocus.
