Pebblebrook Hotel Trust (PEB) Q1 2025 Earnings Call May 02, 2025 09:00 AM ET Speaker0 Greetings, and welcome to the Pebblebrook Hotel Trust First Quarter Earnings Conference Call. At this time, all participants are in a listen only mode. A brief question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Ray Martz, Co President and Chief Financial Officer. Thank you, sir. You may begin. Speaker1 Thank you, C ...

May 2025 Investor Presentation 1 hotel san francisco INVESTOR PRESENTATION MAY 2025 Forward-Looking Statements This presentation contains forward-looking statements that are subject to risks and uncertainties. These forward-looking statements include information about possible or assumed future results of Pebblebrook Hotel Trust's (the "Company" or "Pebblebrook") business, financial condition, liquidity, results of operations, plans and objectives. These forward-looking statements are based on the Company's ...

Core Insights - Pebblebrook Hotel (PEB) reported revenue of $320.27 million for Q1 2025, a 2% year-over-year increase, with an EPS of $0.16 compared to -$0.32 a year ago, indicating a significant turnaround [1] - The revenue exceeded the Zacks Consensus Estimate by 0.75%, while the EPS surprise was 23.08% above the consensus estimate of $0.13 [1] Financial Performance Metrics - Same-Property RevPAR growth rate was 0%, below the average estimate of 2.2% from three analysts [4] - Food and beverage revenue reached $86.31 million, surpassing the average estimate of $83.15 million, reflecting a year-over-year increase of 6.4% [4] - Other operating revenue was $36.95 million, slightly above the estimated $36.15 million, marking a 5.9% year-over-year increase [4] - Room revenue was reported at $197.01 million, slightly below the estimated $198.58 million, showing a 0.6% decline compared to the previous year [4] - Net Earnings Per Share (Diluted) was -$0.37, slightly worse than the estimated -$0.36 [4] Stock Performance - Pebblebrook Hotel's shares have returned -13.7% over the past month, contrasting with the Zacks S&P 500 composite's -0.7% change [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

Pebblebrook Hotel (PEB) came out with quarterly funds from operations (FFO) of $0.16 per share, beating the Zacks Consensus Estimate of $0.13 per share. This compares to FFO of $0.21 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an FFO surprise of 23.08%. A quarter ago, it was expected that this hotel investment company would post FFO of $0.12 per share when it actually produced FFO of $0.20, delivering a surprise of 66.67%.Over the last four quart ...

PEBBLEBROOK HOTEL TRUST REPORTS FIRST QUARTER 2025 RESULTS | | ▪ Net loss: ($32.2) million | | --- | --- | | Q1 FINANCIAL HIGHLIGHTS | ▪ Same-Property Hotel EBITDA: $62.3 million, exceeding the midpoint of the Company's outlook by $4.3 million, | | | primarily driven by proactive cost reduction and efficiency efforts | | | ▪ Adjusted EBITDAre: $56.6 million, surpassing the midpoint of the outlook by $4.1 million | | | ▪ Adjusted FFO per diluted share: $0.16, outperforming the midpoint of the outlook by $0.0 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM10-Q ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to . Commission File Number 001-34571 PEBBLEBROOK HOTEL TRUST (Exact Name of Registrant as Specified in Its Charter) Maryland 27-1055421 (State of Incorporation or Organi ...

Core Viewpoint - Pebblebrook Hotel Trust's preferred shares have experienced significant sell-offs despite the REIT reporting adjusted funds from operations (FFO) of $0.20 per share for the fourth quarter of fiscal 2024 [1] Group 1: Company Performance - Pebblebrook Hotel Trust recorded an adjusted FFO of $0.20 per share for the fourth quarter of fiscal 2024 [1] Group 2: Market Dynamics - The equity market serves as a powerful mechanism where daily price fluctuations can lead to substantial wealth creation or destruction over the long term [1] - Pacifica Yield focuses on long-term wealth creation by targeting undervalued high-growth companies, high-dividend stocks, REITs, and green energy firms [1]

Group 1 - The article emphasizes the importance of making informed investment choices to improve financial outcomes [1] - The investing group Trade With Beta offers services such as frequent picks for mispriced preferred stocks and baby bonds, weekly reviews of over 1200 equities, IPO previews, hedging strategies, and an actively managed portfolio [1] - The article indicates that the author has a beneficial long position in the shares of PEB, highlighting personal investment interests [1]

Financial Data and Key Metrics Changes - For the full year 2024, same-property total RevPAR increased by 2.1%, driven by gains across both urban and resort properties along with stronger out-of-room spending [5] - Adjusted EBITDA rose by 0.8% to $359.2 million, exceeding the midpoint of the outlook by $11.2 million [5] - Adjusted FFO per diluted share grew by 5% to $1.68, surpassing the outlook midpoint by $0.09 [5] Business Line Data and Key Metrics Changes - In Q4, same-property total RevPAR increased by 1.8%, with resorts growing by 4% and urban hotels by 0.7% [6] - Same-property resort occupancy jumped by 3.7% to 65%, while urban occupancy rose by 2.9% to 68.1% [11] - Same-property resort revenue grew by 4.3% in Q4, outpacing the 0.7% growth at urban properties [13] Market Data and Key Metrics Changes - San Diego, the second-largest market by EBITDA, saw a 6.9% increase in occupancy, while San Francisco and Chicago improved by 2.8% [12] - For the full year, resort total revenues rose by 1.2%, while urban properties posted a 3.1% gain [14] - Excluding challenges in San Francisco, LA, and Portland, same-property urban total revenue growth would have been 7.7% [14] Company Strategy and Development Direction - The company completed a $525 million portfolio-wide redevelopment program, with early returns from recent investments being encouraging [21] - In 2025, capital investments are projected at $65 million to $75 million, reflecting the portfolio's excellent condition and reduced need for additional capital [22] - The company anticipates continued upside from strategic investments made in recent years, with significant RevPAR share gains expected [36] Management's Comments on Operating Environment and Future Outlook - Management noted that the normalization of resort rates has largely run its course, with no further meaningful declines expected in 2025 [15] - The company expressed optimism about the recovery of urban properties, despite challenges in key markets like San Francisco, LA, and Portland [35] - Management highlighted potential economic concerns due to domestic policy announcements, which could impact the overall outlook [44] Other Important Information - The company reduced net debt to EBITDA to 5.8 times from about 6.5 times in 2023, reflecting strong operating performance and proceeds from the Hurricane Ian settlement [28] - The company received about $10 million in real estate tax and municipal tax credits in 2024, which are not assumed in the 2025 outlook, creating a headwind to expense growth [20] Q&A Session Summary Question: Expectations for out-of-room spend growth in 2025 - Management expects out-of-room spend to increase at a rate greater than RevPAR growth, driven by positive client feedback and increased spending in various non-room revenue areas [66][68] Question: Insights on the DC market and government exposure - Management noted high anxiety among government employees but highlighted positive demand drivers such as the inauguration and increased activity in the first year after elections [72][75] Question: Confidence in leisure rates and potential for growth - Management indicated that some properties are expected to see rate increases, with confidence stemming from strong bookings and rate trends [85][86] Question: Impact of LA wildfires on the portfolio - Management acknowledged the uncertainty of the impact but noted recent positive trends in travel recovery, with expectations for significant demand from rebuilding efforts [90][92] Question: Updates on San Francisco market developments - Management reported improvements in San Francisco, including increased demand and a more business-friendly environment, with expectations for mid to high single-digit RevPAR growth [127]

Core Insights - Pebblebrook Hotel (PEB) reported revenue of $337.6 million for Q4 2024, a year-over-year increase of 1.1% and an EPS of $0.20 compared to -$0.37 a year ago, exceeding the Zacks Consensus Estimate of $330.16 million by 2.25% and delivering an EPS surprise of 66.67% [1] Financial Performance - Same-Property RevPAR growth rate was 0.9%, outperforming the average estimate of -0.7% from three analysts [4] - Total Guest Rooms stood at 12,000, exceeding the two-analyst average estimate of 11,702 [4] - Revenue from Food and Beverage reached $93.76 million, surpassing the estimated $89.04 million by five analysts, reflecting a 3.4% increase year-over-year [4] - Revenue from Other Operating activities was $36.13 million, slightly above the estimated $35.53 million, marking a 0.4% increase year-over-year [4] - Room Revenue was reported at $207.72 million, exceeding the estimated $205.58 million, with a year-over-year increase of 0.2% [4] - Net Earnings Per Share (Diluted) was -$0.51, compared to the average estimate of -$0.40 from five analysts [4] Stock Performance - Shares of Pebblebrook Hotel have declined by 16.8% over the past month, while the Zacks S&P 500 composite decreased by 2.3%, indicating potential underperformance in the near term with a Zacks Rank of 4 (Sell) [3]