Ryman Hospitality Properties, Inc. [RHP] Filings

10-Q 1 rhp-20240630x10q.htm 10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q

(Mark One)

☒	QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2024

☐	TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission file number 1-13079

RYMAN HOSPITALITY PROPERTIES, INC.

(Exact Name of Registrant as Specified in its Charter)

Delaware		73-0664379
(State or Other Jurisdiction of		(I.R.S. Employer
Incorporation or Organization)		Identification No.)

One Gaylord Drive

Nashville, Tennessee 37214

(Address of Principal Executive Offices)

(Zip Code)

(615) 316-6000

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:


		Name of Each Exchange on
Title of Each Class	Trading Symbol(s)	Which Registered
Common stock, par value $.01	RHP	New York Stock Exchange

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. ☒ Yes ☐ No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). ☒ Yes ☐ No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer ☒ Accelerated filer ☐ Non-accelerated filer ☐ Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). ☐ Yes ☒ No

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.


Class		Outstanding as of July 31, 2024
Common Stock, par value $.01		59,900,031 shares

Table of Contents

RYMAN HOSPITALITY PROPERTIES, INC.

FORM 10-Q

For the Quarter Ended June 30, 2024

INDEX

		Page

Part I - Financial Information		3

Item 1. Financial Statements.		3

Condensed Consolidated Balance Sheets (Unaudited) – June 30, 2024 and December 31, 2023		3

Condensed Consolidated Statements of Operations and Comprehensive Income (Unaudited) - For the Three and Six Months Ended June 30, 2024 and 2023		4

Condensed Consolidated Statements of Cash Flows (Unaudited) - For the Six Months Ended June 30, 2024 and 2023		5

Condensed Consolidated Statements of Equity and Noncontrolling Interest (Unaudited) - For the Three and Six Months Ended June 30, 2024 and 2023		6

Notes to Condensed Consolidated Financial Statements (Unaudited)		7

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations.		20

Item 3. Quantitative and Qualitative Disclosures About Market Risk.		46

Item 4. Controls and Procedures.		47

Part II - Other Information		47

Item 1. Legal Proceedings.		47

Item 1A. Risk Factors.		47

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.		47

Item 3. Defaults Upon Senior Securities.		47

Item 4. Mine Safety Disclosures.		47

Item 5. Other Information.		47

Item 6. Exhibits.		48

SIGNATURES		49

Table of Contents

PART I – FINANCIAL INFORMATION

ITEM 1. – FINANCIAL STATEMENTS.

RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(In thousands)


	June 30,		December 31,
	2024		2023
ASSETS:
Property and equipment, net	$	4,045,466	$	3,955,586
Cash and cash equivalents - unrestricted		498,371		591,833
Cash and cash equivalents - restricted		51,908		108,608
Notes receivable, net		61,892		61,760
Trade receivables, net		127,281		110,029
Deferred income tax assets, net		71,023		81,624
Prepaid expenses and other assets		163,786		154,810
Intangible assets, net		120,231		124,287
Total assets	$	5,139,958	$	5,188,537

LIABILITIES AND EQUITY:
Debt and finance lease obligations	$	3,373,383	$	3,377,028
Accounts payable and accrued liabilities		406,245		464,720
Distributions payable		67,734		67,932
Deferred management rights proceeds		165,121		165,174
Operating lease liabilities		130,411		129,122
Other liabilities		68,140		66,658
Total liabilities		4,211,034		4,270,634
Commitments and contingencies
Noncontrolling interest in consolidated joint venture		362,603		345,126
Equity:
Preferred stock, $.01 par value, 100,000 shares authorized, no shares issued or outstanding		—		—
Common stock, $.01 par value, 400,000 shares authorized, 59,900 and 59,712 shares issued and outstanding, respectively		599		597
Additional paid-in capital		1,483,479		1,502,710
Treasury stock of 681 and 668 shares, at cost		(21,976)		(20,508)
Distributions in excess of retained earnings		(881,617)		(894,259)
Accumulated other comprehensive loss		(17,868)		(19,387)
Total stockholders' equity		562,617		569,153
Noncontrolling interest in Operating Partnership		3,704		3,624
Total equity		566,321		572,777
Total liabilities and equity	$	5,139,958	$	5,188,537

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

AND COMPREHENSIVE INCOME

(Unaudited)

(In thousands, except per share data)


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2024		2023		2024		2023
Revenues:
Rooms	$	199,497	$	168,492	$	373,130	$	329,743
Food and beverage		259,386		197,908		494,469		413,712
Other hotel revenue		60,204		51,285		112,958		98,669
Entertainment		94,203		87,158		161,078		154,438
Total revenues		613,290		504,843		1,141,635		996,562

Operating expenses:
Rooms		45,062		40,272		89,163		82,331
Food and beverage		132,369		107,026		260,548		222,207
Other hotel expenses		117,769		104,590		236,582		207,649
Management fees, net		21,449		15,418		39,411		30,613
Total hotel operating expenses		316,649		267,306		625,704		542,800
Entertainment		59,560		57,088		112,147		108,522
Corporate		9,402		9,885		21,356		20,479
Preopening costs		1,055		67		2,491		257
Gain on sale of assets		—		—		(270)		—
Depreciation and amortization		58,553		48,257		115,755		96,614
Total operating expenses		445,219		382,603		877,183		768,672

Operating income		168,071		122,240		264,452		227,890
Interest expense		(56,577)		(49,179)		(117,020)		(91,707)
Interest income		7,064		5,318		14,586		7,865
Loss on extinguishment of debt		(1,797)		(2,252)		(2,319)		(2,252)
Income (loss) from unconsolidated joint ventures		183		(2,153)		215		(4,959)
Other gains and (losses), net		(4)		(287)		317		(523)
Income before income taxes		116,940		73,687		160,231		136,314
Provision for income taxes		(12,200)		(3,544)		(12,730)		(5,177)
Net income		104,740		70,143		147,501		131,137

Net income attributable to noncontrolling interest in consolidated joint venture		(3,270)		(3,134)		(2,691)		(2,371)
Net income attributable to noncontrolling interest in Operating Partnership		(665)		(466)		(949)		(903)
Net income available to common stockholders	$	100,805	$	66,543	$	143,861	$	127,863

Basic income per share available to common stockholders	$	1.68	$	1.18	$	2.41	$	2.29
Diluted income per share available to common stockholders	$	1.65	$	1.15	$	2.31	$	2.17

Comprehensive income, net of taxes	$	104,851	$	67,719	$	149,020	$	122,421
Comprehensive income, net of taxes, attributable to noncontrolling interest in consolidated joint venture		(3,315)		(3,712)		(3,022)		(2,727)
Comprehensive income, net of taxes, attributable to noncontrolling interest in Operating Partnership		(666)		(454)		(959)		(846)
Comprehensive income, net of taxes, available to common stockholders	$	100,870	$	63,553	$	145,039	$	118,848

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(In thousands)


	Six Months Ended
	June 30,
	2024		2023
Cash Flows from Operating Activities:
Net income	$	147,501	$	131,137
Amounts to reconcile net income to net cash flows provided by operating activities:
Provision for deferred income taxes		10,664		3,431
Depreciation and amortization		115,755		96,614
Amortization of deferred financing costs		5,348		5,307
(Income) loss from unconsolidated joint ventures		(215)		4,959
Stock-based compensation expense		7,245		7,540
Changes in:
Trade receivables		(17,253)		26,369
Accounts payable and accrued liabilities		(75,006)		(66,046)
Other assets and liabilities		(2,245)		6,191
Net cash flows provided by operating activities		191,794		215,502

Cash Flows from Investing Activities:
Purchases of property and equipment		(184,936)		(78,173)
Collection of notes receivable		—		2,143
Purchase of JW Marriott Hill Country, net of cash acquired		—		(791,466)
Investment in Circle		—		(8,000)
Other investing activities, net		37		(10,004)
Net cash flows used in investing activities		(184,899)		(885,500)

Cash Flows from Financing Activities:
Borrowings under term loan B		18,861		500,000
Repayments under term loan B		(220,849)		(376,250)
Borrowings under OEG revolving credit facility		39,000		7,000
Repayments under OEG revolving credit facility		(27,000)		—
Borrowings under OEG term loan		299,250		—
Repayments under OEG term loan		(296,250)		(1,500)
Repayments under Block 21 CMBS loan		(1,432)		(1,373)
Repayments under Gaylord Rockies term loan		(800,000)		—
Issuance of senior notes		1,000,000		400,000
Deferred financing costs paid		(23,062)		(23,679)
Issuance of common stock, net		—		395,444
Payment of distributions		(133,430)		(55,746)
Payment of tax withholdings for share-based compensation		(12,106)		(4,180)
Other financing activities, net		(39)		(139)
Net cash flows provided by (used in) financing activities		(157,057)		839,577

Net change in cash, cash equivalents, and restricted cash		(150,162)		169,579
Cash, cash equivalents, and restricted cash, beginning of period		700,441		444,330
Cash, cash equivalents, and restricted cash, end of period	$	550,279	$	613,909

Reconciliation of cash, cash equivalents, and restricted cash to balance sheet:
Cash and cash equivalents - unrestricted	$	498,371	$	508,344
Cash and cash equivalents - restricted		51,908		105,565
Cash, cash equivalents, and restricted cash, end of period	$	550,279	$	613,909

The accompanying notes are an integral part of these condensed consolidated financial statements.

Table of Contents

RYMAN HOSPITALITY PROPERTIES, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF EQUITY
AND NONCONTROLLING INTEREST

(Unaudited)

(In thousands)


							Distributions		Accumulated				Noncontrolling				Noncontrolling
			Additional				in Excess of		Other		Total		Interest in				Interest in
	Common		Paid-in		Treasury		Retained		Comprehensive		Stockholders'		Operating		Total		Consolidated
	Stock		Capital		Stock		Earnings		Loss		Equity		Partnership		Equity		Joint Venture
BALANCE, December 31, 2023	$	597	$	1,502,710	$	(20,508)	$	(894,259)	$	(19,387)	$	569,153	$	3,624	$	572,777	$	345,126
Net income (loss)		—		—		—		43,056		—		43,056		284		43,340		(579)
Adjustment of noncontrolling interest to redemption value		—		(9,318)		—		—		—		(9,318)		—		(9,318)		9,318
Other comprehensive income, net of income taxes		—		—		—		—		1,408		1,408		—		1,408		—
Dividends and distributions declared ($1.10 per share)		—		161		—		(66,335)		—		(66,174)		(435)		(66,609)		—
Restricted stock units and stock options surrendered		2		(12,055)		—		—		—		(12,053)		—		(12,053)		—
Equity-based compensation expense		—		3,862		—		—		—		3,862		—		3,862		—
BALANCE, March 31, 2024	$	599	$	1,485,360	$	(20,508)	$	(917,538)	$	(17,979)	$	529,934	$	3,473	$	533,407	$	353,865
Net income		—		—		—		100,805		—		100,805		665		101,470		3,270
Adjustment of noncontrolling interest to redemption value		—		(5,468)		—		—		—		(5,468)		—		(5,468)		5,468
Other comprehensive income, net of income taxes		—		—		—		—		111		111		—		111		—
Dividends and distributions declared ($1.10 per share)		—		163		(1,468)		(64,884)		—		(66,189)		(434)		(66,623)		—
Restricted stock units and stock options surrendered		—		41		—		—		—		41		—		41		—
Equity-based compensation expense		—		3,383		—		—		—		3,383		—		3,383		—
BALANCE, June 30, 2024	$	599	$	1,483,479	$	(21,976)	$	(881,617)	$	(17,868)	$	562,617	$	3,704	$	566,321	$	362,603


							Distributions		Accumulated				Noncontrolling				Noncontrolling
			Additional				in Excess of		Other		Total		Interest in				Interest in
	Common		Paid-in		Treasury		Retained		Comprehensive		Stockholders'		Operating		Total		Consolidated
	Stock		Capital		Stock		Earnings		Loss		Equity		Partnership		Equity		Joint Venture
BALANCE, December 31, 2022	$	552	$	1,102,733	$	(18,467)	$	(978,619)	$	(10,923)	$	95,276	$	625	$	95,901	$	311,857
Net income (loss)		—		—		—		61,320		—		61,320		437		61,757		(763)
Adjustment of noncontrolling interest to redemption value		—		(8,659)		—		—		—		(8,659)		—		(8,659)		8,659
Other comprehensive loss, net of income taxes		—		—		—		—		(6,292)		(6,292)		—		(6,292)		—
Dividends and distributions declared ($0.75 per share)		—		106		—		(41,900)		—		(41,794)		(296)		(42,090)		—
Restricted stock units and stock options surrendered		1		(4,080)		—		—		—		(4,079)		—		(4,079)		—
Equity-based compensation expense		—		3,739		—		—		—		3,739		—		3,739		—
BALANCE, March 31, 2023	$	553	$	1,093,839	$	(18,467)	$	(959,199)	$	(17,215)	$	99,511	$	766	$	100,277	$	319,753
Net income		—		—		—		66,543		—		66,543		466		67,009		3,134
Adjustment of noncontrolling interest to redemption value		—		(4,762)		—		—		—		(4,762)		—		(4,762)		4,762
Other comprehensive loss, net of income taxes		—		—		—		—		(2,424)		(2,424)		—		(2,424)		—
Issuance of common stock, net		44		395,400		—		—		—		395,444		—		395,444		—
Dividends and distributions declared ($1.00 per share)		—		154		—		(60,285)		—		(60,131)		(395)		(60,526)		—
Restricted stock units and stock options surrendered		—

Ryman Hospitality Properties, Inc. [RHP] Filings
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10-K	[2023-02-24]
10-Q	[2022-11-01]
10-Q	[2022-08-02]
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10-K	[2022-02-25]
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10-Q	[2021-08-03]
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10-K	[2021-02-26]
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10-Q	[2020-08-06]
10-Q	[2020-05-07]
10-K	[2020-02-25]
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10-K	[2019-02-26]
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10-Q	[2018-05-03]
10-K	[2018-02-27]
10-Q	[2017-11-07]
10-Q	[2017-08-08]
10-Q	[2017-05-04]
10-K	[2017-02-28]
10-Q	[2016-11-03]
10-Q	[2016-08-04]
10-Q	[2016-05-05]
10-K	[2016-02-26]
10-Q	[2015-11-05]
10-Q	[2015-08-06]
10-Q	[2015-05-07]
10-K	[2015-02-26]
10-Q	[2014-11-06]
10-Q	[2014-08-08]
10-Q	[2014-05-09]
10-K	[2014-02-28]
10-Q	[2013-11-07]
10-Q	[2013-08-08]
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