RLJ Lodging Trust(US:RLJ)2024-05-02 19:21Financial Performance - Total revenues for Q1 2024 were $324,410,000, an increase of 3% compared to $314,503,000 in Q1 2023[13] - Net income for Q1 2024 was $4,746,000, a decrease of 55.1% from $10,514,000 in Q1 2023[13] - The company reported a net loss attributable to common shareholders of $1,342,000 for Q1 2024, compared to a net income of $4,366,000 in Q1 2023[13] - For the three months ended March 31, 2024, net income was $4.746 million, a decrease of 54.9% compared to $10.514 million for the same period in 2023[25] - The company reported comprehensive income of $7,028,000 for Q1 2024, compared to $4,098,000 in Q1 2023[15] - Basic net (loss) income per share attributable to common shareholders for the three months ended March 31, 2024, was $(0.01), compared to $0.03 in 2023[91] Revenue Breakdown - Room revenue increased to $266,630,000 in Q1 2024, up from $260,832,000 in Q1 2023, reflecting a growth of 0.3%[13] - The Company’s total revenue for the three months ended March 31, 2024, included room revenue of $40,349,000, which was an increase from $38,540,000 in the same period of 2023[42] - Food and beverage revenue increased by $2.4 million to $35.7 million, driven by higher banquet and catering revenues[119] - Other revenue grew by $1.7 million to $22.1 million, mainly due to increased parking and resort fees[120] Expenses and Liabilities - Total property operating expenses rose by $12.5 million to $213.5 million, attributed to higher wages, benefits, and sales and marketing expenses[121] - Property tax, insurance, and other expenses increased by $3.2 million to $27.8 million, primarily due to rising property taxes and insurance premiums[123] - General and administrative expenses increased by $1.4 million to $15.1 million for Q1 2024 from $13.7 million in Q1 2023, driven by higher non-cash compensation and new executive cash compensation[124] - Interest expense increased by $2.3 million to $26.5 million for Q1 2024, due to higher rates on unhedged variable rate debt[127] Cash Flow and Investments - Cash flow provided by operating activities was $20.767 million, down 50.6% from $42.018 million in the prior year[25] - Net cash flow used in investing activities was $158.0 million for Q1 2024, primarily due to a $122.7 million acquisition of a hotel property[141] - The company acquired hotel properties for a total of $122.679 million during the quarter[25] - Total investment in hotel properties as of March 31, 2024, was $6.072 billion, an increase from $5.914 billion at the end of 2023[40] Assets and Equity - Total assets decreased to $4,889,857,000 as of March 31, 2024, from $4,919,295,000 as of December 31, 2023[11] - Shareholders' equity decreased to $2,323,901,000 as of March 31, 2024, down from $2,336,862,000 at the end of 2023[11] - Cash and cash equivalents decreased to $350,237,000 from $516,675,000, a decline of 32.2%[11] Debt and Financing - The Company’s total debt as of March 31, 2024, was $2,221,833,000, a marginal increase from $2,220,778,000 as of December 31, 2023[43] - The Company maintained compliance with all financial covenants related to its Senior Notes, including an Unencumbered Asset to Unencumbered Debt Ratio greater than 150%[46] - The Company has a $600 million revolving credit facility with a maturity date of May 10, 2027, and the ability to extend the maturity under certain conditions[48] - The interest rate on the $400 million term loan maturing in 2025 was 4.48% as of March 31, 2024[47] Shareholder Activities - The Company declared a cash dividend of $0.10 per common share for the three months ended March 31, 2024, up from $0.08 in 2023[72] - The Company repurchased approximately 0.1 million common shares for about $1.3 million during the three months ended March 31, 2024, with a remaining capacity of $212.7 million in its share repurchase program[72][73] - A new share repurchase program was approved to acquire up to $250.0 million of common and preferred shares from May 9, 2024, to May 8, 2025[73][94] Operational Metrics - Occupancy rate improved to 69.3% for the three months ended March 31, 2024, up from 68.5% in the same period of 2023[118] - Average Daily Rate (ADR) was $198.84, slightly down from $199.07 in the prior year[118] - Revenue per Available Room (RevPAR) increased to $137.88, compared to $136.45 in the same period last year[118] Miscellaneous - The company had no accruals for tax uncertainties as of March 31, 2024, and December 31, 2023[65] - There are no material litigations currently against the company, aside from routine litigation[156] - The company has not experienced any material changes in internal control over financial reporting as of March 31, 2024[155]