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RLJ Lodging Trust(RLJ) - 2024 Q4 - Annual Results
RLJRLJ Lodging Trust(RLJ)2025-02-25 21:56

Financial Performance - Fourth Quarter Comparable RevPAR increased by 2.2% to 137.53,whileTotalRevenuesroseby3.2137.53, while Total Revenues rose by 3.2% to 330.0 million[4] - Full Year Comparable RevPAR increased by 2.0% to 144.72,withTotalRevenuesreaching144.72, with Total Revenues reaching 1.4 billion, a 3.3% increase[4] - Adjusted EBITDA for the fourth quarter was 81.1million,reflectinga2.481.1 million, reflecting a 2.4% increase year-over-year[4] - For the three months ended December 31, 2024, total revenues increased to 329,989,000 from 319,708,000inthesameperiodof2023,representingagrowthofapproximately0.4319,708,000 in the same period of 2023, representing a growth of approximately 0.4%[36] - Room revenue for the year ended December 31, 2024, was 1,121,586,000, up from 1,095,028,000in2023,indicatinganincreaseofabout2.41,095,028,000 in 2023, indicating an increase of about 2.4%[36] - Net income for the three months ended December 31, 2024, was 5,511,000, a decrease of 31.5% from 8,040,000inthesameperiodof2023[43]−EBITDAfortheyearendedDecember31,2024,was8,040,000 in the same period of 2023[43] - EBITDA for the year ended December 31, 2024, was 344,655,000, up 2.4% from 337,414,000in2023[43]−TotalrevenueforthethreemonthsendedDecember31,2024,was337,414,000 in 2023[43] - Total revenue for the three months ended December 31, 2024, was 329,989,000, an increase of 3.99% compared to 319,708,000in2023[47]−ComparableHotelEBITDAMarginfortheyearendedDecember31,2024,was29.1319,708,000 in 2023[47] - Comparable Hotel EBITDA Margin for the year ended December 31, 2024, was 29.1%, down from 30.3% in 2023[47] Net Income and Loss - The Company reported a net loss attributable to common shareholders of 0.9 million for the fourth quarter, compared to a net income of 1.7millionintheprioryear[6]−NetincomeattributabletocommonshareholdersfortheyearendedDecember31,2024,was1.7 million in the prior year[6] - Net income attributable to common shareholders for the year ended December 31, 2024, was 42,906,000, down from 51,290,000in2023,adeclineofabout16.351,290,000 in 2023, a decline of about 16.3%[36] - The Company reported a net loss attributable to common shareholders of 903,000 for the three months ended December 31, 2024, compared to a net income of 1,656,000inthesameperiodof2023[36]ShareholderReturns−TheBoarddeclaredaquarterlycashdividendof1,656,000 in the same period of 2023[36] Shareholder Returns - The Board declared a quarterly cash dividend of 0.15 per common share for the fourth quarter, payable on January 15, 2025[12] - The Company repurchased 2.3 million shares for 22.0millionatanaveragepriceof22.0 million at an average price of 9.39 per share during 2024[10] - The Company has approximately 217.3millionremainingcapacityinitssharebuybackprogram[10]LiquidityandDebt−TheCompanyendedtheyearwith217.3 million remaining capacity in its share buyback program[10] Liquidity and Debt - The Company ended the year with 0.9 billion in liquidity, including approximately 409.8millioninunrestrictedcash[11]−Thecompanyreportedaconsolidateddebtbalanceof409.8 million in unrestricted cash[11] - The company reported a consolidated debt balance of 2,231,000,000 as of December 31, 2024, with a weighted average interest rate of 4.58%[52] - The company has a borrowing capacity of 500,000,000onitsRevolver,withanunusedcommitmentfeeof0.25500,000,000 on its Revolver, with an unused commitment fee of 0.25% annually[53] Acquisitions and Market Strategy - The Company completed two acquisitions in 2024, including the Hotel Teatro for 35.5 million and the Wyndham Boston Beacon Hill for 125.0million[7]−Thecompanyplanstocontinueitsmarketexpansionandnewproductdevelopmentstrategiesin2025[48]FutureProjections−TheCompanyexpectsComparableRevPARgrowthof1.0125.0 million[7] - The company plans to continue its market expansion and new product development strategies in 2025[48] Future Projections - The Company expects Comparable RevPAR growth of 1.0% to 3.0% and Adjusted EBITDA between 345.0 million and 375.0millionforFY2025[14]−AdjustedEBITDAfortheyearendedDecember31,2025,isprojectedtobebetween375.0 million for FY 2025[14] - Adjusted EBITDA for the year ended December 31, 2025, is projected to be between 345,000,000 and 375,000,000[48]−FundsfromOperations(FFO)fortheyearendedDecember31,2025,isexpectedtorangefrom375,000,000[48] - Funds from Operations (FFO) for the year ended December 31, 2025, is expected to range from 206,000,000 to 234,000,000[49]−AdjustmentsrelatedtojointventuresfortheyearendedDecember31,2025,areestimatedat234,000,000[49] - Adjustments related to joint ventures for the year ended December 31, 2025, are estimated at 1,400,000[48] Asset and Liability Changes - Total assets decreased to 4,883,879,000asofDecember31,2024,from4,883,879,000 as of December 31, 2024, from 4,919,295,000 in 2023, a reduction of approximately 0.7%[34] - The Company’s total liabilities increased slightly to 2,585,602,000asofDecember31,2024,comparedto2,585,602,000 as of December 31, 2024, compared to 2,568,505,000 in 2023, an increase of about 0.7%[34] - The Company’s cash and cash equivalents decreased to 409,809,000asofDecember31,2024,from409,809,000 as of December 31, 2024, from 516,675,000 in 2023, a decline of approximately 20.7%[34] Impact of Sales - The Company sold the Residence Inn Merrillville in May 2024 and the Fairfield Inn & Suites Denver Cherry Creek in September 2024, impacting comparable hotel adjustments[32] - The Company acquired Hotel Teatro in June 2024, which is included in the comparable adjustments for the three and twelve months ended December 31, 2024[30]