Host Hotels Resorts Inc (0J66.L) Q2 2025 Earnings Report

Host Hotels & Resorts delivered a solid QQ2 2025 performance with resilient demand in the U.S. lodging market and favorable margin structure, underscored by a robust gross margin of 54.4% and EBITDA of $505 million. Revenue of $1.586 billion represented an 8.2% year-over-year increase, while net income of $221 million and earnings per share of $0.32 reflected profitability supported by disciplined asset management and scale. A notable feature of the quarter was the material level of other expenses totaling $561 million, which constrained operating income to $277 million and moderated net margins despite strong gross profitability.

From a cash flow perspective, the company generated $444 million of operating cash flow and $292 million of free cash flow, reinforcing liquidity and capital allocation flexibility. The balance sheet remains large and levered, with total debt of $5.64 billion and net debt of $5.15 billion, contributing to a debt-to-capitalization of 45.9% and interest coverage of 4.78x. The company ended the period with $771 million in cash and equivalents, while stockholder friendliness remained evident through common stock repurchases of $105 million and a dividends paid of $138 million (payout ratio of 62.4%). Management commentary was not included in the provided data, so direct quotes and forward-looking targets were not available; investors should monitor occupancy trends, ADR/RevPAR dynamics, and debt maturities going forward.