Sunstone Hotel Investors Inc. Announces Executive Changes
May 6 15
On May 1, 2015, the Board of Directors of Sunstone Hotel Investors Inc. appointed Douglas M. Pasquale to succeed Keith M. Locker as Non-Executive Chairman of the Board, approved certain changes to the membership composition of the Audit Committee, Compensation Committee and Nominating and Corporate Governance Committee and elected to discontinue the Investment and Finance Committee. Specifically, Mr. Locker will join the Audit Committee, Andrew Batinovich will join and serve as Chair of the Compensation Committee, Thomas A. Lewis, Jr. will join the Nominating Committee, and Lewis N. Wolff will no longer serve as a member of the Nominating Committee.
Sunstone Hotel Investors Inc. Declares Cash Dividend of Common Stock and Series D Cumulative Redeemable Preferred Stockholders Payable on July 15, 2015; Provides Dividend Guidance for the Full Year of 2015; Announces Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2015; Provides Earnings Guidance for the Second Quarter and Full Year of 2015
May 4 15
On May 1, 2015, the board of directors of Sunstone Hotel Investors Inc. declared a cash dividend of $0.05 per share of common stock, as well as a cash dividend of $0.50 per share payable to its Series D cumulative redeemable preferred stockholders. The dividends will be paid on July 15, 2015 to common and preferred stockholders of record as of June 30, 2015.
The company expects to continue to pay a regular quarterly dividend of $0.05 per share of common stock throughout 2015. To the extent that the expected regular quarterly dividends for 2015 do not satisfy the company's annual distribution requirements, the company expects to satisfy the annual distribution requirement by paying a 'catch up' dividend in January 2016, which dividend may be paid in cash and/or a combination of cash and shares of common stock. However, the level of any future quarterly dividends will be determined by the company's board of directors after considering long-term operating projections, expected capital requirements, and risks affecting the company's business.
The company announced unaudited consolidated earnings results for the first quarter ended March 31, 2015. For the quarter, the company reported total revenues of $284,385,000 against $247,431,000 a year ago. Operating income was $17,668,000 against $14,295,000 a year ago. Income before income taxes was $1,288,000 against loss before income taxes of $3,272,000 a year ago. Net income was $1,203,000 against net loss of $3,496,000 a year ago. Loss attributable to common stockholders was $3,278,000 against $8,030,000 a year ago. Basic and diluted loss attributable to common stockholders per common share was $0.02 against $0.04 a year ago. EBITDA was $56,943,000 against $50,032,000 a year ago. Adjusted EBITDA was $65,709,000 against $49,366,000 a year ago. FFO was $39,513,000 against $31,697,000 a year ago. Adjusted FFO available to common stockholders was $45,058,000 against $27,607,000 a year ago. FFO per diluted share was $0.19 against $0.17 a year ago. Adjusted FFO available to common stockholders per diluted share was $0.22 against $0.15 a year ago.
For the second quarter of 2015, the company expects net income in the range of $46,500,000 to $50,900,000. Depreciation and amortization expected to be in the range of $40,500,000 to $40,500,000. Adjusted EBITDA expected to be in the range of $103,000,000 to $107,000,000. Adjusted FFO available to common stockholders expected to be in the range of $82,600,000 to $86,700,000. Adjusted FFO available to common stockholders per diluted share expected to be in the range of $0.40 to $0.42.
For the full year of 2015, the company expects net income in the range of $108,800,000 to $123,100,000. Depreciation and amortization expected to be in the range of $162,000,000 to $162,000,000. Adjusted EBITDA expected to be in the range of $344,000,000 to $356,000,000. Adjusted FFO available to common stockholders expected to be in the range of $262,000,000 to $274,000,000. Adjusted FFO available to common stockholders per diluted share expected to be in the range of $1.26 to $1.32. The company expects to invest approximately $145 million to $160 million into its portfolio in 2015.