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Sotherly Hotels(SOHO) - 2024 Q4 - Annual Results
SOHOSotherly Hotels(SOHO)2025-03-13 10:30

Financial Performance - Total revenues for Q4 2024 increased to approximately 44.0million,up4.344.0 million, up 4.3% from 42.1 million in Q4 2023[3] - Net loss attributable to common stockholders for Q4 2024 was approximately 3.0million,comparedtoalossofapproximately3.0 million, compared to a loss of approximately 2.7 million in Q4 2023, representing a 12.9% increase in loss[4] - Adjusted FFO attributable to common stockholders and unitholders decreased 30.3% to approximately 2.0millioninQ42024fromapproximately2.0 million in Q4 2024 from approximately 2.8 million in Q4 2023[7] - Net loss attributable to common stockholders for the twelve months ended December 31, 2024, was (6,674,881),comparedto(6,674,881), compared to (4,035,829) in 2023[19] - The company reported a net loss per share attributable to common stockholders of (0.34)forthetwelvemonthsendedDecember31,2024,comparedto(0.34) for the twelve months ended December 31, 2024, compared to (0.22) in 2023[19] - The net loss for the three months ended December 31, 2024, was 1,117,578comparedtoanetlossof1,117,578 compared to a net loss of 769,646 for the same period in 2023[29] Revenue Metrics - RevPAR for the composite portfolio increased 2.6% to 108.99inQ42024,drivenbya4.1108.99 in Q4 2024, driven by a 4.1% increase in occupancy to 64.1%[3] - Total revenue for the three months ended December 31, 2024, was 43,951,508, an increase of 4.3% compared to 42,148,085forthesameperiodin2023[19]−NetoperatingincomeforthetwelvemonthsendedDecember31,2024,was42,148,085 for the same period in 2023[19] - Net operating income for the twelve months ended December 31, 2024, was 20,643,462, up from 18,925,431in2023,reflectingagrowthof9.618,925,431 in 2023, reflecting a growth of 9.6%[19] - Revenue per Available Room (RevPAR) for the actual portfolio increased to 107.68 for the three months ended December 31, 2024, compared to 104.69in2023,anincreaseof2.8104.69 in 2023, an increase of 2.8%[22] - Revenue per available room (RevPAR) increased to 108.99 in Q4 2024, up from 106.25inQ42023,reflectingayear−over−yeargrowthof2.6106.25 in Q4 2023, reflecting a year-over-year growth of 2.6%[27] Operational Metrics - Hotel EBITDA for the full year 2024 increased by 2.0 million to approximately 46.8million,a4.546.8 million, a 4.5% increase compared to 2023[5] - Hotel EBITDA for the three months ended December 31, 2024, was 10,667,747, compared to 10,299,762inthesameperiodof2023,showinganincreaseofapproximately3.610,299,762 in the same period of 2023, showing an increase of approximately 3.6%[30] - The company projects a 2025 EBITDA guidance range of 41,879 to 42,704,indicatingastableoutlookforoperationalperformance[31]−The2025guidanceforHotelEBITDAisprojectedtobebetween42,704, indicating a stable outlook for operational performance[31] - The 2025 guidance for Hotel EBITDA is projected to be between 48,829 and 49,619,suggestingcontinuedgrowthinhoteloperations[31]CashandAssets−Thecompanyhadapproximately49,619, suggesting continued growth in hotel operations[31] Cash and Assets - The company had approximately 28.7 million in available cash as of December 31, 2024, with 21.4millionreservedforvariousexpenses[6]−TotalassetsasofDecember31,2024,were21.4 million reserved for various expenses[6] - Total assets as of December 31, 2024, were 414,375,920, an increase from 393,443,480asofDecember31,2023[17]−Cashandcashequivalentsdecreasedto393,443,480 as of December 31, 2023[17] - Cash and cash equivalents decreased to 7,327,880 as of December 31, 2024, from 17,101,993asofDecember31,2023[17]DebtandExpenses−Totalliabilitiesincreasedto17,101,993 as of December 31, 2023[17] Debt and Expenses - Total liabilities increased to 372,777,154 as of December 31, 2024, compared to 345,544,821in2023,reflectingagrowthof7.9345,544,821 in 2023, reflecting a growth of 7.9%[17] - Interest expense increased to 5,651,055 for the three months ended December 31, 2024, compared to 4,719,497inthesameperiodof2023,representingariseofabout19.74,719,497 in the same period of 2023, representing a rise of about 19.7%[30] - Corporate general and administrative expenses for the three months ended December 31, 2024, were 1,819,995, compared to 1,619,882inthesameperiodof2023,anincreaseofapproximately12.31,619,882 in the same period of 2023, an increase of approximately 12.3%[30] - The company experienced a loss on early debt extinguishment of 241,878 during the year ended December 31, 2024, indicating potential restructuring efforts[30] Future Projections - For 2025, the company projects total revenues between 183.4millionand183.4 million and 188.2 million, with a net loss attributable to common stockholders ranging from 8.7millionto8.7 million to 7.8 million[8] - Adjusted FFO attributable to common stockholders and unitholders is projected to range from 11,544to11,544 to 12,349 for 2025, reflecting a positive outlook for cash flow generation[32] Market Performance - The company is encouraged by ongoing improvements in demand in key markets such as Houston, Atlanta, and Philadelphia as it transitions into Q1 2025[5] - The average occupancy rate for The DeSoto in Savannah, Georgia, improved to 71.2% in Q4 2024 from 63.9% in Q4 2023, an increase of 7.3 percentage points[25] - The ADR for The DeSoto decreased to 198.93inQ42024from198.93 in Q4 2024 from 213.38 in Q4 2023, a drop of 6.8%[26] - The RevPAR for The DeSoto increased to 141.57inQ42024,upfrom141.57 in Q4 2024, up from 136.46 in Q4 2023, reflecting a growth of 3.2%[27]