(“Fibrahotel”), the First Real Estate Investment Trust Specialized In
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FibraHotel (“FibraHotel”), the first real estate investment trust specialized in business-class hotels in Mexico, announces its financial results and distribution corresponding to the fourth quarter of 2016. Mexico City, February 27th, 2016 --- FibraHotel (BMV: FIHO 12), the first real estate investment trust specialized in business-class hotels in Mexico, announces its results and distribution corresponding to the fourth quarter of 2016. Except where noted, all figures included herein were prepared in accordance with IFRS and are stated in nominal Mexican pesos. 4th Quarter 2016 Highlights • FibraHotel ended the fourth quarter of 2016 with 85 hotels and 12,023 rooms, including 75 hotels in operation (10,422 rooms) and 10 hotels in development (1,601 rooms). • During the quarter, FibraHotel added 415 rooms in operation with the opening of the Fairfield Inn & Suites Nogales, One Cuautitlán and Fiesta Inn Los Mochis. • During the fourth quarter, FibraHotel announced the developments of the Live Aqua San Miguel de Allende and Fiesta Americana Tlalnepantla hotels. • On a comparable property basis of 56 hotels1, the average daily rate (“ADR”) was Ps. $1,025, representing an increase of 7.9% versus the fourth quarter of 2015, the occupancy rate was 68.5%, representing an increase of 131bp versus the fourth quarter of 2015 and the revenue per available room (“RevPAR”) was Ps. $702, representing an increase of 10.0% versus the fourth quarter of 2015. • For the Total FibraHotel Portfolio of 75 properties, average daily rate was Ps. $1,063, the occupancy rate was 64.1%, and RevPAR was Ps. $681. During the fourth quarter of 2015, RevPAR of the Total FibraHotel Portfolio of 62 properties was Ps. $617. • For the Non Stabilized FibraHotel Portfolio of 19 properties, the average daily rate was Ps. $1,248, the occupancy rate was 48.9%, and the RevPAR was Ps. $611. During the third quarter of 2016, for a portfolio of 16 Non Stabilized hotels the same indicators were, respectively, Ps. $1,121, 43.2% and Ps. $484. • Total revenues for the quarter were Ps. $770 million. • Lodging contribution2 for the quarter was Ps. $225 million. • Adjusted funds from operations (“AFFO”)3 for the quarter were Ps. $151 million. 1 Includes 47 stabilized properties as of the December 31st, 2015 plus the following nine hotels: One Monclova, Gamma Ciudad Obregón, Gamma León, Gamma Tijuana, Fiesta Inn Lofts Monclova, Fiesta Inn Lofts Querétaro, Camino Real Hotel & Suites Puebla Fiesta Americana Hermosillo, and Fiesta Inn Monterrey Valle. 2 Lodging contribution equals total revenues (room rental, food and beverage, leasing and other) minus costs and general expenses directly related to the hotel operation, excluding real estate expenses and FibraHotel’s administration expenses. Lodging contribution is not an IFRS figure. http://www.fibrahotel.com 1 @FibraHotel • FibraHotel will pay a distribution of Ps. $150 million, equivalent to 30.45 cents (Ps. $0.3045) per CBFI4. • As of December 31th 2016, FibraHotel had a net cash position of Ps. $449 million, or Ps. $678 million including the reimbursement of VAT, and Ps. $2.697 million in debt. Net debt including recoverable VAT was Ps. $2,019 million. • As of December 31th 2016, total owner’s equity was Ps. $9,388 million. ” For the fourth quarter of 2016 FibraHotel reported a distribution of over 30 cents per CBFI which represents a 22% growth year on year and 12% growth quarter on quarter an annualized dividend yield above 8%. For the full year 2016 the distribution was over one Peso per CBFI. Additionally, during FibraHotel´s 4th Investor Day Event, we announced a guidance of AFFO growth above 25% for 2017 which would represent an AFFO above Ps. $1.25 and an AFFO yield above 8.5%. This growth in distribution was driven by several factors (i) the stabilized operating portfolio continues to post solid numbers with 10% y-o-y RevPAR growth from a 7.9% ADR growth and a 131 bps growth in occupancy. For the full year 2016 this portfolio grew RevPAR of comparable properties 12.3% y-o-y, (ii) EBITDA margin of 27% for the fourth quarter due to a continued focus on costs and the benefits of economies of scale, (iii) the progress in stabilizing recently opened hotels. As an example the five full- service hotels opened in 2016 reached an occupancy rate of 46.5% and a contribution margin of 27.7% for the quarter, and (iv) the opening of hotels under development adding 415 rooms to the operating portfolio. On top of these financial results, during the quarter we added the developments of the Fiesta Americana Tlalnepantla and the Live Aqua San Miguel hotels giving further clarity to the pipeline. Given the changes in the macroeconomic situation we also communicated that the 2018 development projects are currently on hold until we see the proper conditions to continue with these projects. The positive results in the quarter continue proving our business plan which we have been executing since our IPO and is based on maximizing the AFFO per CBFI in the medium term. As I mentioned in the previous quarter, we are in an interesting stage for the Fibra as we now have almost 2,700 million pesos in leverage and a well-defined growth pipeline which is getting us close to finishing our first investment phase and entering a stabilization phase for the portfolio.” said Simón Galante, CEO FibraHotel. 3 Adjusted funds from operation is defined as net income plus depreciation plus non-operating adjustments less maintenance Capex reserve of the period. AFFO is not an IFRS figure. 4 Calculated based on the number of outstanding CBFIs as of December 31th, 2016, excluding the CBFIs issued that are not entitled to receive distributions until such properties are in operation. http://www.fibrahotel.com 2 @FibraHotel FibraHotel´s portfolio as of February 27th, 2017 FibraHotel´s portfolio Operating Total FibraHotel´s portfolio 78 hotels 85 hotels Hotel # room Hotel # room 34 Fiesta Inn Puebla Finsa 123 1 Fiesta Inn Culiacán 146 10,812 rooms 11,023 rooms 35 Fiesta Inn Oaxaca 145 2 Fiesta Inn Durango 138 36 One Puebla Finsa 126 3 One Monterrey 126 37 Real Inn Guadalajara 197 In 26 states 38 Fiesta Inn Tlalnepantla 131 4 One Acapulco 126 39 Fiesta Inn Toluca Tollocan 144 5 One Toluca 126 27 40 40 Real Inn Mexicali 158 6 One Coatzacoalcos 126 41 Fiesta Inn Lofts Monclova 37 7 Fiesta Inn Tepic 139 59 42 One Monclova 66 43 Grand Fiesta Americana Monterrey 180 8 One Aguascalientes 126 44 Live Aqua Monterrey 74 72 26 9 Fiesta Inn Hermosillo 155 45 Courtyard Vallejo 125 10 One Culiacán 119 46 Fairfield Inn Vallejo 121 18 3 22 43 44 47 Fiesta Americana Aguascalientes 192 11 Fiesta Inn Ecatepec 143 9 79 48 Fiesta Inn Xalapa 119 12 Fiesta Inn Perinorte 127 82 76 73 64 49 One Xalapa 126 13 Fiesta Inn Nuevo Laredo 120 50 Fairfield Inn Villahermosa 134 51 56 14 Fiesta Inn Naucalpan 119 13 51 Fiesta Inn Cd. Obregon 141 41 42 29 52 Fiesta Inn Lofts Querétaro 50 15 Fiesta Inn Cuautitlán 128 66 53 Gamma León 159 16 Fiesta Inn Perisur 212 2 70 30 24 60 54 Courtyard Cd. Del Carmen 133 17 Camino Real Puebla 153 1 55 Fiesta Inn Lofts Cd. Del Carmen 120 23 52 62 56 Gamma Valle Grande 135 18 Fiesta Inn Chihuahua 152 10 57 20 38 69 57 Fairfield Inn Los Cabos 128 19 Fiesta Inn Guadalajara 158 58 Fiesta Inn San Luis Potosi Oriente 140 47 20 One Querétaro 126 58 59 Gamma Tijuana 140 7 8 21 34 36 60 Fairfield Inn Saltillo 139 21 Fiesta Inn Aguascalientes 125 28 8384 17 78 19 33 53 32 61 AC Torre Americas Guadalajara 188 22 Fiesta Inn Monterrey 161 75 15 62 AC Antea Querétaro 175 23 Fiesta Inn Querétaro 175 37 61 65 63 One Perisur 144 12 5 39 24 Fiesta Inn Saltillo 149 31 48 49 54 55 64 Sheraton Ambassador Monterrey 229 81 71 77 50 65 Live Aqua Boutique Playa del Carmen60 25 One Patriotismo 132 84 38 11 67 68 6 14 46 66 Fiesta Inn Los Mochis 125 26 Fiesta Inn Cd. Juárez 166 45 4 67 Fiesta Inn Cuernavaca 155 27 Fiesta Inn Mexicali 150 35 68 One Cuernavaca 125 25 80 28 Fiesta Inn León 160 69 Fairfield Inn & Suites Juriquilla 134 74 75 70 One Durango 126 29 Fiesta Inn Monclova 121 74 71 Aloft Veracruz 166 30 Fiesta Inn Torreón 146 72 Fairfield Inn & Suites Nogales 134 56 stabilized hotels with 7,890 rooms 73 Fiesta Inn Lofts Monterrey 48 31 Real Inn Morelia 155 16 63 32 Camino Real Suites Puebla 121 74 Fiesta Americana Viaducto 255 22 hotels in ramp-up period with 2,922 rooms 75 One Cuautitlan 156 33 One Tapatío 126 7 hotels under development with 1,211 rooms 76 Fiesta Americana Pabellon M 178 77 Fiesta Inn Villahermosa 159 Mexico City 78 Fiesta Inn Puerto Vallarta 144 79 Fiesta Americana Hermosillo 220 80 Fiesta Inn Buenavista 129 81 Full Service Villa del Mar Veracruz 173 82 Fiesta Inn Monterrey Valle 177 83 Live Aqua San Miguel de Allende 134 84 Fiesta Americana Tlalnepantla 224 85 Courtyard Toreo 130 Note: Shaded gray properties represent under development, green represents non-stabilized properties Additional portfolio information: • On November 1st 2016, FibraHotel announced the development of the Live Aqua San Miguel de Allende, adding 134 full-service rooms to the development portfolio. • On November 8th 2016, FibraHotel announced the opening for the Fairfield Inn & Suites by Marriott Nogales, adding 134 limited-service rooms in operation.