Chatham Lodging Trust(CLDT) - 2024 Q3 - Quarterly Results

Financial Performance - Net income for Q3 2024 was $4.3 million, down from $7.5 million in Q3 2023, resulting in diluted net income per share of $0.05 versus $0.11 in the prior year[2]. - Adjusted EBITDA for Q3 2024 was $29.6 million, a decrease from $30.6 million in Q3 2023[2]. - The company reported a GOP margin of 44.5% in Q3 2024, compared to 44.9% in Q3 2023[3]. - Total revenue for the three months ended September 30, 2024, was $87,177 million, a 0.5% increase from $86,741 million in 2023[37]. - Net income for the three months ended September 30, 2024, was $4,339 million, down 42.9% from $7,499 million in 2023[39]. - EBITDA for the three months ended September 30, 2024, was $27,888 million, a decrease of 3.9% compared to $29,035 million in 2023[39]. - Total operating expenses for the three months ended September 30, 2024, were $74,659 million, an increase of 2.5% from $72,868 million in 2023[37]. - Funds From Operations (FFO) attributable to common share and unit holders for the three months ended September 30, 2024, was $17,169 million, down from $20,145 million in 2023[38]. - Adjusted FFO attributable to common share and unit holders for the three months ended September 30, 2024, was $17,599 million, compared to $20,156 million in 2023[38]. Revenue and Growth - RevPAR growth of 2.1% was achieved in Q3 2024, with a RevPAR of $150 for comparable hotels, compared to $148 in Q3 2023[2]. - October RevPAR accelerated to $158, marking a 6% increase compared to October 2023, representing the second highest October RevPAR since the company's inception[2]. - Q4 2024 revenue guidance is projected to be between $124 million and $127 million, reflecting a growth of 1% to 3% year-over-year[19]. - Total revenue for the nine months ended September 30, 2023, was $242,099,000, an increase from $238,832,000 in the prior year, reflecting a growth of about 1.1%[40]. - Hotel revenue for the three months ended September 30, 2023, was $86,894,000, compared to $86,460,000 in the same period last year, indicating a slight increase of 0.5%[40]. Debt and Assets - Total debt outstanding as of September 30, 2024, was $439 million, with a leverage ratio of approximately 24%[14]. - As of September 30, 2024, total assets amount to $1.295 billion, while total liabilities stand at $496.9 million[35]. - Mortgage debt decreased significantly to $171.5 million from $394.5 million[35]. - Cash and cash equivalents decreased to $19.3 million from $68.1 million as of December 31, 2023[35]. - The company reported an accumulated deficit of $(282.0) million as of September 30, 2024[36]. Hotel Operations - Hotel EBITDA margin for Q3 2024 was 37%, slightly down from 38% in Q3 2023[2]. - The company experienced an increase in hotel operating expenses, totaling $48,241 million for the three months ended September 30, 2024, compared to $47,668 million in 2023[37]. - Hotel EBITDA margin for the nine months ended September 30, 2023, was 36.0%, consistent with the margin of 37.1% from the previous year[40]. Capital Expenditures and Dividends - The company invested $6 million in capital expenditures during Q3 2024, with a year-to-date total of approximately $25 million[16]. - A common dividend of $0.07 per share was declared, payable on October 15, 2024[17]. - Distributions declared per common share remained stable at $0.07 for both the three months ended September 30, 2024, and 2023[37]. Future Projections - The company expects a net loss in Q4 2024 between $(6) million and $(4) million, translating to a loss per share of $(0.15) to $(0.11)[19]. - Adjusted EBITDA is anticipated to be in the range of $19 million to $21 million, with an Adjusted Hotel EBITDA margin of 30% to 32%[19]. - Funds From Operations (FFO) attributable to common share and unit holders for the three months ended December 31, 2024, is projected to be between $7,051,000 and $8,943,000[42]. - Adjusted FFO per diluted share is expected to range from $0.15 to $0.18 for the three months ended December 31, 2024[42]. - Total revenue for the three months ended December 31, 2024, is anticipated to be between $74,075,000 and $75,375,000[44]. - Adjusted Hotel EBITDA for the three months ended December 31, 2024, is forecasted to be between $22,140,000 and $24,032,000[44]. - Hotel EBITDA margin for the three months ended December 31, 2024, is expected to be between 30.0% and 32.0%[44].