Financial Performance - Total portfolio RevPAR increased 6.7% to $188.73 for the three months ended March 31, 2025, compared to $176.86 for the same period in 2024[139]. - Net income increased 84.1% for the three months ended March 31, 2025, primarily due to an $8.5 million increase in hotel operating income for 31 comparable hotels[140]. - Adjusted EBITDAre and Adjusted FFO attributable to common stock and unit holders increased 11.8% and 14.4%, respectively, for the three months ended March 31, 2025, compared to the same period in 2024[141]. - Occupancy rate improved by 190 basis points to 69.3% for the three months ended March 31, 2025, compared to 67.4% in 2024[142]. - Average Daily Rate (ADR) increased by 3.8% to $272.41 for the three months ended March 31, 2025, compared to $262.39 in 2024[142]. - Total revenues increased by $21.4 million, or 8.0%, to $288.9 million for the three months ended March 31, 2025, compared to $267.5 million for the same period in 2024[143]. - Rooms revenues rose by $6.7 million, or 4.4%, to $159.9 million, driven by increased occupancy and average daily rates, despite a $1.2 million reduction from the sale of Lorien Hotel & Spa[144]. - Food and beverage revenues increased by $11.9 million, or 12.9%, to $104.7 million, primarily due to higher occupancy levels[145]. - Other revenues grew by $2.8 million, or 12.8%, to $24.4 million, attributed to increased occupancy[147]. - Net income for the three months ended March 31, 2025, was $16.5 million, a 83.5% increase from $9.0 million in the same period of 2024[197]. - FFO attributable to common stock and unit holders for Q1 2025 was $49.6 million, up 21.5% from $40.9 million in Q1 2024[199]. - Adjusted FFO for Q1 2025 reached $52.1 million, representing a 14.1% increase compared to $45.5 million in Q1 2024[199]. - Adjusted EBITDAre attributable to common stock and unit holders was $72.9 million for Q1 2025, a 11.5% increase from $65.3 million in Q1 2024[197]. Operational Metrics - Demand for hotel rooms increased by 1.0% during the three months ended March 31, 2025, while new hotel supply increased by 0.6%[138]. - The U.S. lodging industry experienced a RevPAR increase of 2.2% for the three months ended March 31, 2025, compared to the same period in 2024[138]. - The company owned 31 hotels and resorts, comprising 9,413 rooms across 14 states as of March 31, 2025[131]. Expenses and Debt - Total hotel operating expenses rose by $12.5 million, or 6.8%, to $195.5 million, largely due to increased occupancy and renovations, net of a $2.0 million reduction from the sale of Lorien Hotel & Spa[150]. - Corporate and other expenses increased by $0.7 million, or 1.2%, to $57.5 million, with depreciation and amortization expenses rising by $1.2 million, or 3.8%[151]. - Interest expense increased by $0.7 million, or 3.4%, to $21.1 million, primarily due to higher average outstanding term loan debt and rising interest rates[159]. - Total outstanding debt was $1.4 billion with a weighted-average interest rate of 5.67% as of March 31, 2025[168]. - Total debt as of March 31, 2025, was $1.44 billion, with a weighted-average interest rate of 5.74%[214]. - Fixed rate debt accounted for $1.06 billion of total debt, while variable rate debt was $378.1 million[214]. - The company has taken steps to reduce variable rate debt exposure by paying off floating rate mortgage debt and entering into interest rate swap agreements[212]. Cash Flow and Investments - Cash provided by operating activities was $54.8 million for the three months ended March 31, 2025, compared to $24.7 million for the same period in 2024, reflecting a significant increase[186]. - Cash used in investing activities was $56.2 million for the three months ended March 31, 2025, primarily due to $32.4 million in capital improvements and $25.4 million for land purchase[187]. - Cash provided by financing activities was $39.9 million for the three months ended March 31, 2025, driven by proceeds from the 2024 Delayed Draw Term Loan of $100 million[189]. Shareholder Returns and Compliance - During the three months ended March 31, 2025, the Company repurchased 2,733,149 shares at a weighted-average price of $13.09 per share, totaling $35.8 million[179]. - As of March 31, 2025, the Company was in compliance with all debt covenants except for one mortgage loan, which was cured by depositing $5.0 million in an escrow account[175]. - The Company had $200 million available for sale under its ATM program as of March 31, 2025, with no shares sold during the three months ended March 31, 2025[177]. Future Outlook and Strategic Initiatives - The company continues to monitor challenges associated with inflationary pressures and changing interest rates that could impact operating results[137]. - The company aims to maximize revenue and profits from existing properties while enhancing portfolio value and generating sustainable cash flow for shareholders[166]. - The Operating Partnership entered into a new $825 million senior unsecured credit facility, which includes a $500 million revolving line of credit and a $225 million term loan[170]. - The remaining commitments under renovation contracts as of March 31, 2025, totaled $24.2 million[183]. - The company recognized a net gain of $1.1 million from the purchase of land associated with a ground lease in Q1 2025[198]. - The sale of the Fairmont Dallas for $111.0 million in February 2025 resulted in an estimated gain of approximately $39.3 million, net of transaction costs[207]. - If market interest rates on variable rate debt increase or decrease by 1%, future earnings and cash flows would be impacted by approximately $3.3 million per annum[210]. Non-GAAP Financial Measures - The Company considers non-GAAP financial measures such as EBITDA and FFO useful for evaluating operating performance[190]. - As of March 31, 2025, the Company had $61.7 million in FF&E reserves, an increase from $58.9 million as of December 31, 2024[182].

Financial Data and Key Metrics Changes - For Q1 2025, the company reported net income of $15.6 million, adjusted EBITDAre of $72.9 million, and adjusted FFO per share of $0.51, reflecting nearly 12% growth in adjusted EBITDAre and nearly 16% growth in adjusted FFO per share compared to Q1 2024 [6][14][32] - RevPAR grew by 6.3% year-over-year, with same property RevPAR for the 31 hotel portfolio at $188.73, occupancy increasing by 80 basis points, and ADR increasing by 3.6% [6][19][24] Business Line Data and Key Metrics Changes - The Grand Hyatt Scottsdale's RevPAR grew approximately 60% in Q1 2025 compared to the same quarter last year, driven by a transformative renovation and strong group production [10][23] - Group room nights were up 6.6% with ADR up 4.1%, and business from the largest corporate accounts grew approximately 15% compared to Q1 2024 [21][36] Market Data and Key Metrics Changes - Hotels in Washington DC and New Orleans benefited from significant events, contributing to RevPAR growth, while the Houston market was softer due to winter storms [8][20] - The company’s same property portfolio grew RevPAR by approximately 3.4% in April 2025 compared to the previous year, despite the negative impact of Easter timing [14][32] Company Strategy and Development Direction - The company completed two significant transactions, acquiring land in Santa Clara for $25 million and selling Fairmont Dallas for $111 million, reflecting prudent capital allocation [11][12] - The company plans to reduce capital expenditures to between $75 million and $85 million for the year, a reduction of $25 million compared to previous guidance, in response to macroeconomic uncertainties [16][32] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the portfolio's resilience despite macroeconomic uncertainties, noting that all hotels are in luxury and upper upscale segments, which may be more resilient [17][39] - The company expects RevPAR growth to be driven more by occupancy than rate this year, with strong non-rooms revenue growth anticipated [33][39] Other Important Information - The company increased its quarterly dividend by 17% and repurchased 2.7% of its outstanding shares during Q1 2025 [18][31] - The balance sheet remains strong, with a leverage ratio of 5.4 times trailing twelve months net debt to EBITDA, and no significant debt maturities until late 2028 [30][31] Q&A Session Summary Question: Have group booking trends evolved in response to the current uncertainty? - Management noted that group booking activity remains healthy with no uptick in cancellations or attrition, indicating a positive outlook for group production [42][43] Question: Have you seen any meaningful impact from lower international inbound travel? - Management indicated limited impact from lower international visitation, as the portfolio is not heavily dependent on international travel [44][45] Question: Can you provide background on the Santa Clara acquisition process? - The acquisition was a unique opportunity from the city of Santa Clara, aimed at eliminating future rent escalation risks and increasing asset value [49][50][52] Question: What is the plan for deferred CapEx projects? - Management stated that they will continually evaluate deferred projects and may consider executing them in 2026, depending on macroeconomic conditions and tariff impacts [54][73] Question: What trends are seen in leisure business? - Management observed varied performance in leisure business across properties, with a slight decline expected in RevPAR at leisure assets overall [61][65]

Financial Data and Key Metrics Changes - For Q1 2025, the company reported net income of $15.6 million, adjusted EBITDAre of $72.9 million, and adjusted FFO per share of $0.51, reflecting nearly 12% growth in adjusted EBITDAre and nearly 16% growth in adjusted FFO per share compared to Q1 2024 [5][6][30] - RevPAR grew by 6.3% year-over-year, with same property RevPAR for the 31 hotel portfolio at $188.73, occupancy increasing by 80 basis points, and ADR increasing by 3.6% [5][17] Business Line Data and Key Metrics Changes - The Grand Hyatt Scottsdale's RevPAR grew by approximately 60% in Q1 2025 compared to the same quarter last year, driven by the completion of its transformative renovation [9][22] - One-third of the company's assets achieved double-digit percentage RevPAR growth, while several others experienced high single-digit percentage growth [6][17] Market Data and Key Metrics Changes - Hotels in Washington DC and New Orleans benefited from significant events, such as the presidential inauguration and the Super Bowl, contributing positively to RevPAR [6] - The Houston market experienced softness due to winter storms impacting travel, leading to a 2.1% increase in January RevPAR but a decline in occupancy [18] Company Strategy and Development Direction - The company completed two significant transactions, acquiring land in Santa Clara for $25 million and selling Fairmont Dallas for $111 million, reflecting prudent capital allocation [10][12] - The company plans to reduce capital expenditures for 2025 to between $75 million and $85 million, a reduction of $25 million compared to previous guidance, in response to macroeconomic uncertainties [14][30] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the portfolio's resilience despite macroeconomic uncertainties, noting that all high-quality branded hotels cater to more resilient customers [15][30] - The company expects RevPAR growth to be driven more by occupancy than rate, with a forecasted full-year RevPAR growth of approximately 4.5% [30][31] Other Important Information - The company increased its quarterly dividend by 17% and repurchased 2.7% of its outstanding shares during Q1 2025 [16][29] - The company has a strong balance sheet with a leverage ratio of 5.4 times trailing twelve months net debt to EBITDA, and current liquidity of approximately $75 million [28][29] Q&A Session Summary Question: Have group booking trends evolved in response to the current uncertainty? - Management noted that group booking activity remains healthy with no uptick in cancellations or attrition, indicating a positive outlook for group business [40][41] Question: Have you seen any meaningful impact from lower international inbound travel? - Management indicated limited impact from lower international visitation, as the portfolio is not heavily dependent on international travel [42][43] Question: Can you provide background on the Santa Clara acquisition? - The acquisition was a unique opportunity from the city of Santa Clara, aimed at eliminating future rent escalation risks and increasing asset value [46][50] Question: What is the plan for deferred CapEx projects? - Management stated that they will continually evaluate deferred projects and may consider executing them in 2026, depending on macroeconomic conditions and tariff impacts [52][70] Question: What are the trends in leisure business? - Management observed varied performance in leisure business across properties, with a slight decline expected in leisure RevPAR for the year [57][62]

Core Insights - Xenia Hotels & Resorts reported revenue of $288.93 million for Q1 2025, an 8% year-over-year increase, with an EPS of $0.51 compared to $0.08 a year ago [1] - The revenue exceeded the Zacks Consensus Estimate by 5.66%, while the EPS surprise was 21.43% above the consensus estimate of $0.42 [1] Revenue Breakdown - Food and beverage revenue reached $104.70 million, surpassing the average estimate of $94.62 million, reflecting a year-over-year increase of 12.9% [4] - Room revenue was $159.87 million, exceeding the average estimate of $156.67 million, with a year-over-year change of 4.4% [4] - Other revenues totaled $24.36 million, above the estimated $22.12 million, marking a 12.8% increase compared to the previous year [4] Stock Performance - Xenia Hotels & Resorts shares returned 2.9% over the past month, contrasting with a -0.5% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Company Performance - Xenia Hotels & Resorts reported quarterly funds from operations (FFO) of $0.51 per share, exceeding the Zacks Consensus Estimate of $0.42 per share, and up from $0.44 per share a year ago [1][2] - The quarterly report indicates an FFO surprise of 21.43%, with the company surpassing consensus FFO estimates three times over the last four quarters [2] - The company posted revenues of $288.93 million for the quarter ended March 2025, surpassing the Zacks Consensus Estimate by 5.66%, compared to $267.49 million in the same quarter last year [3] Market Context - Xenia Hotels & Resorts shares have declined approximately 27.1% since the beginning of the year, while the S&P 500 has decreased by 4.7% [4] - The current consensus FFO estimate for the upcoming quarter is $0.49 on revenues of $279.69 million, and for the current fiscal year, it is $1.56 on revenues of $1.06 billion [8] Industry Outlook - The REIT and Equity Trust - Other industry, to which Xenia Hotels & Resorts belongs, is currently ranked in the bottom 35% of over 250 Zacks industries, indicating potential challenges ahead [9] - Empirical research suggests a strong correlation between near-term stock movements and trends in estimate revisions, which could impact the company's performance [6]

[First Quarter 2025 Results & Highlights](index=1&type=section&id=XENIA%20HOTELS%20%26%20RESORTS%20REPORTS%20FIRST%20QUARTER%202025%20RESULTS) Xenia Hotels & Resorts reported strong Q1 2025 results, exceeding expectations with double-digit growth in Adjusted EBITDAre and FFO per share, driven by RevPAR gains, but adopted a cautious full-year outlook due to macroeconomic uncertainty [Q1 2025 Performance Summary](index=1&type=section&id=First%20Quarter%202025%20Highlights) The company's first quarter exceeded expectations, with Adjusted EBITDAre growing by **11.8%** and Adjusted FFO per share increasing by **15.9%**, complemented by strategic capital allocation - CEO Marcel Verbaas highlighted that portfolio performance exceeded expectations, leading to nearly **12% growth in Adjusted EBITDAre** and nearly **16% growth in Adjusted FFO per share**; however, due to heightened macroeconomic uncertainty, the company has slightly reduced its full-year revenue and earnings growth expectations[4](index=4&type=chunk) First Quarter 2025 Key Metrics vs. Q1 2024 | Metric | Q1 2025 Value | Change vs. Q1 2024 | | :--- | :--- | :--- | | Net Income | $15.6 million | - | | Adjusted EBITDAre | $72.9 million | +11.8% | | Adjusted FFO per Diluted Share | $0.51 | +15.9% | | Same-Property Occupancy | 69.3% | +180 bps | | Same-Property ADR | $272.41 | +3.6% | | Same-Property RevPAR | $188.73 | +6.3% | | Same-Property Hotel EBITDA | $79.3 million | +10.5% | | Same-Property Hotel EBITDA Margin | 27.4% | +42 bps | - Key strategic activities included acquiring the land under Hyatt Regency Santa Clara for **$25 million**, drawing on a **$100 million** term loan, increasing the quarterly dividend by **17% to $0.14 per share**, and repurchasing **2.73 million shares** for approximately **$35.8 million**[5](index=5&type=chunk)[6](index=6&type=chunk) [Operating and Financial Performance](index=3&type=section&id=Operating%20and%20Financial%20Performance) The company demonstrated robust financial health in Q1 2025, with significant year-over-year growth in net income and key operational metrics, maintaining a strong balance sheet with substantial liquidity and a structured debt profile [Operating Results](index=3&type=section&id=Operating%20Results) In the first quarter of 2025, Xenia achieved substantial growth compared to the same period in 2024, with net income attributable to common stockholders surging by **82.6%** to **$15.6 million**, and Same-Property RevPAR increasing by **6.3%** to **$188.73** Q1 2025 vs. Q1 2024 Operating Results | Metric | Q1 2025 | Q1 2024 | % Change | | :--- | :--- | :--- | :--- | | Net income attributable to common stockholders | $15.6 million | $8.5 million | 82.6% | | Net income per diluted share | $0.15 | $0.08 | 87.5% | | Same-Property RevPAR | $188.73 | $177.50 | 6.3% | | Same-Property Hotel EBITDA | $79.3 million | $71.7 million | 10.5% | | Adjusted EBITDAre | $72.9 million | $65.3 million | 11.8% | | Adjusted FFO per diluted share | $0.51 | $0.44 | 15.9% | [Liquidity and Balance Sheet](index=4&type=section&id=Liquidity%20and%20Balance%20Sheet) As of March 31, 2025, the company maintained a strong liquidity position with approximately **$613 million**, comprising **$113 million** in cash and full availability on its **$500 million** revolving credit facility, with total outstanding debt at approximately **$1.4 billion** - As of March 31, 2025, the company had total liquidity of approximately **$613 million**[10](index=10&type=chunk) Balance Sheet Summary (as of March 31, 2025) | Item | Amount | | :--- | :--- | | Total Outstanding Debt | ~$1.4 billion | | Weighted-Average Interest Rate | 5.67% | | Cash and Cash Equivalents | ~$113 million | | Revolving Line of Credit Availability | Full ($500 million) | - In January, the company exercised the **$100 million** delayed draw feature on its term loan, leaving the **$500 million** revolving line of credit fully undrawn[11](index=11&type=chunk) [Portfolio and Capital Strategy](index=4&type=section&id=Portfolio%20and%20Capital%20Strategy) Xenia executed a multi-faceted capital strategy in Q1 2025 focused on enhancing shareholder value and portfolio quality, including significant share repurchases, a strategic land acquisition, and the divestiture of a non-core asset, while prudently managing capital expenditures [Capital Markets](index=4&type=section&id=Capital%20Markets) During the first quarter, the company actively returned capital to shareholders by repurchasing **2,733,149 shares** of common stock for a total of **$35.8 million**, leaving **$82.1 million** available under its current repurchase authorization - The company repurchased **2,733,149 shares** of common stock at a weighted-average price of **$13.09 per share**, for a total of approximately **$35.8 million**[12](index=12&type=chunk) - The company has **$82.1 million** in capacity remaining under its share repurchase authorization as of the end of the quarter[12](index=12&type=chunk) [Transactions](index=4&type=section&id=Transactions) The company completed two significant transactions to improve portfolio quality and financial flexibility, acquiring the land under the Hyatt Regency Santa Clara for **$25 million** and subsequently selling the Fairmont Dallas for **$111 million** - In March, acquired the fee simple interest in the land underlying Hyatt Regency Santa Clara for **$25 million**, eliminating a ground lease set to expire in 2035[13](index=13&type=chunk) - Subsequent to quarter end, sold the 545-room Fairmont Dallas for **$111.0 million**, or approximately **$203,670 per key**[14](index=14&type=chunk) - The Fairmont Dallas sale price represented an **8.6x multiple on Hotel EBITDA** and a **10.0% capitalization rate on NOI**, excluding an estimated **$80 million** of near-term capital expenditures[14](index=14&type=chunk) [Capital Expenditures](index=4&type=section&id=Capital%20Expenditures) In Q1 2025, Xenia invested **$32.4 million** in portfolio improvements, primarily for the transformative renovation of the Grand Hyatt Scottsdale Resort, while deferring some planned renovations due to potential tariff impacts and macroeconomic conditions - Invested **$32.4 million** in portfolio improvements during Q1 2025, largely related to the Grand Hyatt Scottsdale Resort renovation[15](index=15&type=chunk) - The company has deferred guest room renovations at Andaz Napa and The Ritz-Carlton, Denver, which were planned for Q4 2025, due to potential cost impacts from tariffs[18](index=18&type=chunk) - Select upgrades will continue at several properties, including Fairmont Pittsburgh, Marriott San Francisco Airport Waterfront, and Hyatt Centric Key West[19](index=19&type=chunk) [Full Year 2025 Outlook](index=6&type=section&id=Current%20Full%20Year%202025%20Outlook%20and%20Guidance) Reflecting increased macroeconomic uncertainty, Xenia has updated its full-year 2025 guidance, anticipating lower Net Income, Adjusted EBITDAre, and Adjusted FFO, with a revised Same-Property RevPAR growth forecast of **2.50% to 6.50%** for a 30-hotel portfolio and a **$25 million** reduction in capital expenditure plans [Updated Full Year 2025 Guidance](index=6&type=section&id=Current%20Full%20Year%202025%20Guidance) The company has lowered its full-year 2025 guidance, with Adjusted EBITDAre now projected to be between **$235 million** and **$261 million**, and Adjusted FFO per share expected in the range of **$1.50 to $1.75**, accounting for the Fairmont Dallas sale, reduced G&A expenses, and a lower share count Current Full Year 2025 Guidance | Metric | Low End | High End | Variance to Prior (Midpoint) | | :--- | :--- | :--- | :--- | | Net Income | $43 million | $69 million | $(37) million | | Same-Property (30 Hotel) RevPAR Change | 2.50% | 6.50% | (0.50)% (vs. 31 Hotel) | | Adjusted EBITDAre | $235 million | $261 million | $(6) million | | Adjusted FFO per Diluted Share | $1.50 | $1.75 | $(0.02) | | Capital Expenditures | $75 million | $85 million | $(25) million | - Key guidance assumptions include a net decrease of approximately **$4 million** to Adjusted EBITDAre from recent transactions, general and administrative expense of approximately **$23 million** (a **$1 million** decrease from prior guidance), and weighted-average diluted shares of **101.6 million** (a decrease of **2.2 million shares**)[22](index=22&type=chunk)[23](index=23&type=chunk) [Financial Statements](index=10&type=section&id=Financial%20Statements) This section presents the company's core financial statements as of and for the period ended March 31, 2025, including the Condensed Consolidated Balance Sheets, Statements of Operations, and a detailed summary of the company's debt structure, providing a comprehensive overview of Xenia's financial position and performance [Condensed Consolidated Balance Sheets](index=10&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of March 31, 2025, Xenia's total assets stood at **$2.89 billion**, up from **$2.83 billion** at the end of 2024, primarily driven by an increase in cash and cash equivalents, while total liabilities rose to **$1.64 billion** from **$1.55 billion**, leading to a decrease in total equity to **$1.25 billion** Balance Sheet Summary ($ in thousands) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Net investment properties | $2,538,429 | $2,590,821 | | Cash and cash equivalents | $112,564 | $78,201 | | **Total assets** | **$2,889,541** | **$2,831,616** | | Debt, net | $1,424,037 | $1,334,703 | | **Total liabilities** | **$1,641,246** | **$1,551,283** | | **Total equity** | **$1,248,295** | **$1,280,333** | [Condensed Consolidated Statements of Operations](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income) For the first quarter ended March 31, 2025, total revenues increased to **$288.9 million** from **$267.5 million** in the prior-year period, contributing to a significant rise in operating income to **$35.9 million** from **$27.6 million**, with net income attributable to common stockholders nearly doubling to **$15.6 million** Statement of Operations Summary - Q1 ($ in thousands) | Account | 2025 | 2024 | | :--- | :--- | :--- | | Total revenues | $288,927 | $267,488 | | Total hotel operating expenses | $195,547 | $183,026 | | Operating income | $35,864 | $27,626 | | **Net income attributable to common stockholders** | **$15,585** | **$8,534** | [Debt Summary](index=18&type=section&id=Debt%20Summary%20as%20of%20March%2031%2C%202025) As of March 31, 2025, the company's total debt principal outstanding was approximately **$1.44 billion**, diversified across fixed-rate mortgage loans, variable-rate corporate credit facilities, and fixed-rate senior notes, with an overall weighted-average interest rate of **5.67%** and a fully undrawn **$500 million** revolving credit facility Debt Composition as of March 31, 2025 ($ in thousands) | Debt Type | Outstanding Balance | Rate Type | | :--- | :--- | :--- | | Mortgage Loans | $213,248 | Fixed | | Corporate Credit Facility Term Loan | $325,000 | Variable | | 2029 Senior Notes | $500,000 | Fixed | | 2030 Senior Notes | $400,000 | Fixed | | **Total Debt (before net costs)** | **$1,438,248** | - | [Non-GAAP Financial Measures and Reconciliations](index=13&type=section&id=Non-GAAP%20Financial%20Measures) This section details the non-GAAP financial measures Xenia uses to supplement its GAAP results, including EBITDAre, Adjusted EBITDAre, FFO, and Adjusted FFO, providing definitions and rationale for their use, along with detailed reconciliation tables to Net Income for historical periods and full-year 2025 guidance [Reconciliation of Net Income to EBITDA, EBITDAre, and Adjusted EBITDAre](index=15&type=section&id=Reconciliation%20of%20Net%20Income%20to%20EBITDA%2C%20EBITDAre%2C%20Adjusted%20EBITDAre%20and%20Same-Property%20Hotel%20EBITDA) For the first quarter of 2025, the company reconciled a Net Income of **$16.5 million** to an Adjusted EBITDAre of **$72.9 million**, representing an **11.8%** increase from the **$65.3 million** reported in Q1 2024, with key adjustments from Net Income including interest expense, depreciation, and amortization Reconciliation of Net Income to Adjusted EBITDAre - Q1 ($ in thousands) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net income | $16,507 | $8,967 | | Adjustments (Interest, D&A, etc.) | $55,113 | $53,050 | | EBITDA and EBITDAre | $71,620 | $62,017 | | Further Adjustments | $1,322 | $3,234 | | **Adjusted EBITDAre** | **$72,942** | **$65,251** | [Reconciliation of Net Income to FFO and Adjusted FFO](index=16&type=section&id=Reconciliation%20of%20Net%20Income%20to%20FFO%20and%20Adjusted%20FFO) In Q1 2025, Net Income of **$16.5 million** was reconciled to Funds from Operations (FFO) of **$49.6 million** and Adjusted FFO of **$52.1 million**, resulting in an Adjusted FFO per diluted share of **$0.51**, a **15.9%** increase from **$0.44** in the prior-year quarter Reconciliation of Net Income to Adjusted FFO - Q1 ($ in thousands) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net income | $16,507 | $8,967 | | Depreciation and amortization | $33,109 | $31,884 | | FFO attributable to common stock and unit holders | $49,616 | $40,851 | | Further Adjustments | $2,444 | $4,647 | | **Adjusted FFO** | **$52,060** | **$45,498** | [Reconciliation for Full Year 2025 Guidance](index=17&type=section&id=Reconciliation%20of%20Net%20Income%20to%20Adjusted%20EBITDAre%20for%20Current%20Full%20Year%202025%20Guidance) The company provides reconciliations for its full-year 2025 guidance midpoint, with a projected Net Income of **$56 million** reconciled to a guided Adjusted EBITDAre of **$248 million** and a guided Adjusted FFO of **$165 million**, with key reconciling items including depreciation and amortization (**$131 million**) and interest expense (**$85 million**) FY 2025 Guidance Midpoint Reconciliation ($ in millions) | Metric | Amount | | :--- | :--- | | Net income | $56 | | Depreciation and amortization | $131 | | Gain on sale of investment property | $(39) | | **FFO** | **$148** | | Amortization of share-based compensation expense | $14 | | Other | $3 | | **Adjusted FFO** | **$165** | FY 2025 Guidance Midpoint Reconciliation to Adj. EBITDAre ($ in millions) | Metric | Amount | | :--- | :--- | | Net income | $56 | | Interest expense | $85 | | Income tax expense | $2 | | Depreciation and amortization | $131 | | **EBITDA** | **$274** | | Gain on sale of investment property | $(39) | | **EBITDAre** | **$235** | | Amortization of share-based compensation expense | $14 | | Other | $(1) | | **Adjusted EBITDAre** | **$248** | [Portfolio Data](index=19&type=section&id=Portfolio%20Data) This section provides a detailed breakdown of the company's portfolio performance, including operating statistics for the Same-Property portfolio as of March 31, 2025 (31 hotels) and the current portfolio as of May 2, 2025 (30 hotels), along with performance data by market, highlighting regional strengths and weaknesses and geographic diversification of earnings [Same-Property Operating Data (31 Hotels as of March 31, 2025)](index=19&type=section&id=Same-Property%20Hotel%20EBITDA%20and%20Hotel%20EBITDA%20Margin) For the 31-hotel portfolio owned as of March 31, 2025, Same-Property RevPAR increased **6.3%** year-over-year to **$188.73** in Q1, driven by strong food and beverage revenue growth, leading to a **10.5%** increase in Same-Property Hotel EBITDA to **$79.3 million** and a **42 basis point** margin expansion Same-Property (31 Hotels) Performance - Q1 2025 vs Q1 2024 | Metric | Q1 2025 | Q1 2024 | % Change | | :--- | :--- | :--- | :--- | | RevPAR | $188.73 | $177.50 | 6.3% | | Total Same-Property revenues | $288.9 million | $265.4 million | 8.9% | | Total Same-Property hotel operating expenses | $209.7 million | $193.7 million | 8.2% | | Same-Property Hotel EBITDA | $79.3 million | $71.7 million | 10.5% | | Same-Property Hotel EBITDA Margin | 27.4% | 27.0% | 42 bps | [Current Same-Property Operating Data (30 Hotels as of May 2, 2025)](index=21&type=section&id=Current%20Same-Property%20Historical%20Operating%20Data%20Excluding%20Fairmont%20Dallas) The current 30-hotel portfolio, excluding the recently sold Fairmont Dallas and forming the basis for updated 2025 guidance, demonstrated strong Q1 performance with RevPAR of **$191.80**, a **6.7%** increase over the prior year, and Hotel EBITDA of **$74.5 million** with a margin of **27.0%** Current Same-Property (30 Hotels) Performance - Q1 2025 vs Q1 2024 | Metric | Q1 2025 | Q1 2024 | % Change | | :--- | :--- | :--- | :--- | | Occupancy | 69.6% | 67.5% | 210 bps | | ADR | $275.47 | $266.14 | 3.5% | | RevPAR | $191.80 | $179.70 | 6.7% | | Hotel EBITDA | $74.5 million | $67.1 million | 10.9% | | Hotel EBITDA Margin | 27.0% | 26.6% | 40 bps | [Portfolio Data by Market](index=22&type=section&id=Same-Property%20Portfolio%20Data%20by%20Market) In Q1 2025, portfolio performance varied significantly across markets, with Phoenix, Washington D.C., and California Central Coast showing strong RevPAR increases, while Portland and Savannah experienced declines, and Houston and Orlando remained the largest contributors to earnings - The Houston and Orlando markets are the largest contributors to earnings, each representing **16%** of the 2024 Same-Property Hotel EBITDA[76](index=76&type=chunk) Q1 2025 RevPAR % Change by Market (Top & Bottom Performers) | Market | RevPAR % Change | | :--- | :--- | | **Top Performers** | | | Phoenix, AZ | 33.5% | | Washington, DC-MD-VA | 22.6% | | California Central Coast, CA | 20.4% | | **Bottom Performers** | | | Portland, OR | (15.2)% | | Savannah, GA | (10.4)% | | Houston, TX | (2.1)% |

Core Viewpoint - Xenia Hotels & Resorts, Inc. reported strong first-quarter performance with nearly 12% growth in Adjusted EBITDAre and nearly 16% growth in Adjusted FFO per share compared to the same period in 2024, but has tempered its outlook for the remainder of the year due to macroeconomic uncertainty [3][4][16]. Financial Performance - Net income attributable to common stockholders for Q1 2025 was $15.6 million, an increase of 82.6% from $8.5 million in Q1 2024 [4][29]. - Adjusted EBITDAre for Q1 2025 was $72.9 million, up 11.8% from $65.3 million in Q1 2024 [4][46]. - Adjusted FFO for Q1 2025 was $52.1 million, a 14.4% increase from $45.5 million in Q1 2024 [4][46]. - Same-Property RevPAR increased by 6.3% to $188.73 in Q1 2025 compared to $177.50 in Q1 2024 [4][5]. Portfolio and Transactions - The company completed two significant transactions: acquired land at Hyatt Regency Santa Clara for $25 million and sold Fairmont Dallas for $111 million [3][10][11]. - The acquisition of the land improves flexibility and reduces potential future rent escalations, while the sale of Fairmont Dallas avoided costly renovations [3][10][11]. Capital Expenditures and Dividends - Capital expenditures for Q1 2025 totaled $32.4 million, primarily for renovations at Grand Hyatt Scottsdale Resort [12][15]. - The company increased its quarterly dividend by 17% to $0.14 per share for Q1 2025 [5][9]. Liquidity and Balance Sheet - As of March 31, 2025, total outstanding debt was approximately $1.4 billion with a weighted-average interest rate of 5.67% [7][8]. - The company had total liquidity of approximately $613 million, including $113 million in cash and cash equivalents [7][8]. Full Year 2025 Outlook - The company updated its full-year 2025 guidance, projecting net income between $43 million and $69 million and Adjusted FFO per diluted share between $1.50 and $1.75 [16][17]. - Same-Property RevPAR change is expected to be between 2.5% and 6.5% compared to 2024 [16][17].

Group 1 - The article discusses Xenia Hotels & Resorts (NYSE: XHR) and the author's previous coverage of the company, indicating a gap in recent analysis [1] - The author expresses a focus on building a financial portfolio aimed at achieving financial independence, with a particular interest in dividend stocks for steady income [1] Group 2 - There is no mention of any stock, option, or derivative positions in Xenia Hotels & Resorts or any plans to initiate such positions in the near future [2] - The article reflects the author's personal opinions and does not involve compensation from any company mentioned [2]

ORLANDO, Fla., April 11, 2025 /PRNewswire/ -- Xenia Hotels & Resorts, Inc. (NYSE: XHR) ("Xenia" or the "Company") today announced that it has sold the 545-room Fairmont Dallas for $111 million, or approximately $203,670 per key. The transaction price represents an 8.6x multiple and a 10.0% capitalization rate on the property's Hotel EBITDA and Net Operating Income for the twelve months ended February 28, 2025, respectively. These transaction price metrics are exclusive of an estimated $80 million of near-te ...

Xenia Hotels & Resorts (XHR) shares ended the last trading session 14.3% higher at $10.54. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 28.4% loss over the past four weeks.The increased investor optimism in the stock can be attributed to President Donald Trump’s recent announcement to put a 90-day pause on the reciprocal tariff for most countries.This real estate investment trust that owns hotels is expected to ...