1) Strong Financial Performance - Adjusted EBITDAre reached $525 million, up 5.8% YoY. - Adjusted FFO per share increased by 8.6% to 63¢. - Comparable hotel RevPAR improved 7% YoY, with total RevPAR up 5.9%. - The World Cup contributed approximately 160 basis points to RevPAR growth in Q2.

2) Operational Highlights and Business Mix - Transient revenue rose 7%, the strongest growth in 7 quarters, driven by higher rates and stable demand. - Group room revenue increased 7%, with 3.8 million definite group room nights booked for 2026. - Food and beverage revenue grew 6%, reflecting strong demand from affluent consumers. - Maui properties are expected to contribute approximately $120 million in EBITDA for 2026.

3) Capital Allocation and Strategic Initiatives - Completed the sale of Sheraton Parsippany for $12 million, part of a strategy to divest lower growth assets. - Paid a quarterly dividend of $0.20 and a special dividend of $0.72, totaling $500 million in distributions from asset sales. - Continued execution of transformational capital programs, with Hyatt renovations nearly 90% complete and Marriott renovations at 37%.

4) Guidance and Market Outlook - Raised full-year 2026 comparable hotel total RevPAR guidance to 4.75% - 5.25% growth over 2025. - Expect stable business transient demand and modest improvements in group booking trends. - Anticipate comparable hotel EBITDA margins to improve by 40-50 basis points YoY. - July RevPAR expected to increase approximately 10% YoY, with strong holiday revenue pacing.

5) Challenges and Future Considerations - The impact of higher incentive management fees (IMF) on flow-through to EBITDA was noted, with expectations for normalization in the second half. - The company is monitoring potential pushback on rates as the second half approaches, although strong demand trends are expected to continue. - Further details on group pricing and stabilization in Maui were not fully addressed, leaving some uncertainty in future performance metrics.

Bottom line: Host Hotels and Resorts demonstrated robust financial growth in Q2 2026, driven by strong demand across various segments and strategic capital allocation. The company is well-positioned for continued performance improvement, although it faces challenges related to rate normalization and management fees. Shareholders can expect ongoing value creation through disciplined investments and returns.