DiamondRock Hospitality pany(DRH) - 2025 Q3 - Quarterly Results

Financial Performance - Net income attributable to common stockholders was $20.1 million, or $0.10 per diluted share, a decrease of 16.3% compared to Q3 2024[5] - Total revenues for Q3 2025 were $285.4 million, an increase of 1.5% compared to Q3 2024[9] - Net income for the three months ended September 30, 2025, was $22,638,000, compared to $26,557,000 for the same period in 2024, reflecting a decrease of approximately 14.4%[43] - Total revenues for the three months ended September 30, 2025, were $285.384 million, slightly up from $285.129 million in the same period of 2024[27] - Total revenues for the year to date 2025 is $842.88 million, with an adjusted EBITDA of $239.86 million[60] - The total revenues for the year to date 2025 show a significant increase compared to the previous year, indicating positive market trends[60] Adjusted EBITDA - Adjusted EBITDA for Q3 2025 was $79.1 million, an increase of 2.7% compared to Q3 2024[5] - Adjusted EBITDA for the nine months ended September 30, 2025, was $225,651,000, slightly down from $228,229,000 in 2024, indicating a decrease of about 1.1%[43] - Hotel Adjusted EBITDA for the three months ended September 30, 2025, was $83,168,000, compared to $82,259,000 in 2024, showing an increase of approximately 1.1%[43] - Total adjusted EBITDA for the comparable total in 2025 is $240.19 million, reflecting a strong performance across the portfolio[60] Shareholder Returns - The company declared a quarterly cash dividend of $0.08 per share, paid on October 14, 2025[14] - The company repurchased 4.8 million shares of common stock year-to-date at an average price of $7.72 per share, totaling approximately $37.1 million[5] Debt and Financial Flexibility - The company successfully refinanced its senior unsecured credit facility to $1.5 billion, enhancing its balance sheet flexibility[10] - The company has no secured debt remaining after repaying mortgage loans for Hotel Clio and Westin Boston Seaport District[11] - The company reported a total debt of $1,100,000 as of September 30, 2025, with a net debt to EBITDA ratio of 3.3x[52] - The weighted-average interest rate on total debt was 5.3% as of September 30, 2025[52] Guidance and Projections - Full year 2025 guidance for Adjusted EBITDA is set at $287 million to $295 million, with an increase of $6.0 million at the midpoint compared to previous guidance[17] - Full year 2025 guidance for net income is projected between $88,433,000 and $97,433,000[44] - The company expects to invest $85.0 to $90.0 million in capital improvements in 2025, a reduction of $5.0 million from prior expectations[10] Operational Metrics - Comparable RevPAR was $214.21, a decrease of 0.3% compared to Q3 2024, while Comparable Total RevPAR increased by 1.5% to $323.29[5] - Comparable total occupancy rate for Q3 2025 was 76.2%, unchanged from Q3 2024[53] - Total RevPAR for comparable hotels decreased by 0.4% to $281.05 in Q3 2025 compared to Q3 2024[53] - The total number of comparable rooms across the portfolio was 9,595[53] Asset and Equity Position - Total assets as of September 30, 2025, were $3.146 billion, a decrease from $3.172 billion as of December 31, 2024[25] - The company’s total stockholders' equity decreased to $1.568 billion as of September 30, 2025, from $1.590 billion as of December 31, 2024[25] - The company’s cash and cash equivalents increased to $145.336 million as of September 30, 2025, up from $81.381 million as of December 31, 2024[25] Hotel Performance - The Chicago Marriott Downtown reported a RevPAR increase of 5.8% to $330.22 in Q3 2025[53] - The Atlanta Marriott in Alpharetta saw a RevPAR increase of 10.0% to $153.08, with occupancy rising to 68.3%[53] - The Bourbon Orleans Hotel experienced a significant RevPAR decline of 14.0% to $177.09, with occupancy dropping to 61.4%[53] - The Embassy Suites by Hilton Bethesda reported a RevPAR decrease of 8.9% to $132.20, with occupancy at 69.6%[53] - The Salt Lake City Marriott Downtown at City Creek achieved a RevPAR increase of 17.8% to $197.87, with occupancy at 70.7%[53]