Park Hotels Lifts Full-Year Outlook as RevPAR Growth Accelerates
Park Hotels & Resorts posted second-quarter net income of $50 million and raised its full-year Adjusted EBITDA guidance to a midpoint of $627 million.
Park Hotels & Resorts (PK) reported second-quarter net income of $50 million, up from a $2 million loss a year earlier, and raised its full-year outlook as comparable RevPAR growth accelerated for a fourth straight quarter.
The hotel real-estate investment trust's RevPAR trajectory has moved steadily out of negative territory since the third quarter of 2025, when comparable RevPAR fell 6.1% year over year. Growth turned positive in the fourth quarter at 0.8%, rose to 2.2% in the first quarter of 2026, and reached 5.8% in the second quarter. Excluding the shuttered Royal Palm South Beach Miami, core RevPAR growth ran even stronger, hitting 7.1% in the latest quarter and exceeding the company's own expectations.
Adjusted EBITDA climbed to $198 million in the second quarter, up 8.6% from $183 million a year earlier and the fourth consecutive sequential increase after $130 million, $152 million and $143 million in the preceding three quarters. Diluted Adjusted FFO per share rose to $0.70, up 9.0% from $0.64 in the prior-year period, while operating income margin expanded 440 basis points to 14.0%. Comparable Hotel Adjusted EBITDA margin reached 31.7%, up 80 basis points, continuing a recovery after $318 million in impairment charges weighed on full-year 2025 results and drove a $277 million annual net loss.
Group rooms revenue rose 9.5% year over year portfolio-wide, and Core Group Revenue Pace for 2027 stood more than 6% ahead of where the 2026 pace was at the same point last year. Royal Palm South Beach Miami, closed since mid-2025, reopened in July following a renovation exceeding $100 million, removing a drag that had been flagged as unresolved as recently as the first-quarter release.
Park Hotels raised its full-year 2026 Adjusted EBITDA guidance to a range of $617 million to $637 million, a $25 million increase at the midpoint from the $587 million-to-$617 million range issued in April. The company also lifted its full-year RevPAR growth guidance to 3.0%-4.5% from 0.5%-2.5%, and raised Adjusted FFO per share guidance to $1.90-$2.00 from $1.74-$1.90.
The company continued paring its Non-Core hotel portfolio, exiting four hotels for roughly $65 million in gross proceeds since the first quarter, including a July sale, narrowing the remaining Non-Core count to nine properties — six targeted for sale and three under Safehold leases. Capital expenditures totaled $64 million in the second quarter, down from $83 million in the first, and the company disclosed full-year 2026 capex guidance of $230 million to $260 million.
On the balance sheet, Park Hotels disclosed $2.6 billion of liquidity positioned against $1.3 billion of debt maturing in the third quarter, with weighted average consolidated debt maturity extended to 1.8 years. The company plans to draw on its $700 million Bonnet Creek Mortgage Loan in September, after already tapping $200 million from its 2025 Delayed Draw Term Loan in June to repay the $120 million Hyatt Regency Boston mortgage.