Financial Data and Key Metrics Changes - For the full year 2025, corporate adjusted EBITDA was $297.6 million, and adjusted FFO per share was $1.08, with free cash flow per share at $0.69, reflecting a 6% increase over 2024 and a 22% increase since 2023 [4] - Full year comparable total RevPAR grew by 1.2%, while comparable hotel adjusted EBITDA increased by 1.1% [4] - In the fourth quarter, corporate adjusted EBITDA was $71.9 million, and adjusted FFO per share was $0.27, with comparable RevPAR declining by 30 basis points [4][5] Business Line Data and Key Metrics Changes - Business transient revenue grew by 2.5%, while group revenue declined by 1% and leisure transient revenue decreased by 2.5% [5] - Out-of-room revenue per occupied room at resorts increased nearly 7%, marking the strongest quarterly growth of the year [6] - Food and beverage revenues increased by 1.4%, with margins expanding by 120 basis points due to a modest increase in labor costs [6][9] Market Data and Key Metrics Changes - The urban portfolio, accounting for 62% of annual EBITDA, delivered 0.3% RevPAR growth in the fourth quarter [7] - The strongest RevPAR growth among urban hotels was achieved by specific properties, including Hotel Emblem San Francisco and Denver Courtyard, which posted double-digit gains [7] - Resort RevPAR declined by 1.8%, while total RevPAR increased by 1.1% [7] Company Strategy and Development Direction - The company aims to drive outsized free cash flow per share growth, with a disciplined capital allocation strategy [18][19] - A five-year capital expenditure program is planned, equating to 7%-9% of total revenues, focusing on stability and appropriate investment levels [20][22] - The company is likely to be a net seller of hotels in 2026, with ongoing discussions about potential property dispositions [27] Management's Comments on Operating Environment and Future Outlook - The company expects 2026 RevPAR growth of 1%-3% and total RevPAR growth to be 25 basis points higher [14] - Management is optimistic about the trajectory of resorts and anticipates benefits from upcoming events like the FIFA World Cup and the 250th anniversary of the United States [29][30] - The affluent consumer segment is expected to continue spending, supporting the company's higher-end portfolio [100] Other Important Information - The company redeemed its Series A redeemable preferred shares, which will generate a $0.03 tailwind to FFO per share in 2026 [10][11] - The company paid a common dividend of $0.08 per share in each quarter of 2025, with expectations to increase it to $0.09 per share in 2026 [12] Q&A Session Summary Question: Thoughts on labor and benefits pace in 2026 - Management expects labor costs to increase around 3% in 2026, influenced by contract renewals in New York [38] Question: Insights on first quarter RevPAR - The first quarter is anticipated to be the toughest, with group pace weighted towards growth in the second and fourth quarters [42] Question: Impact of Westin Seaport franchise expiration - Management is pleased with interest from multiple brands regarding the franchise expiration and is working towards finalizing a deal [46] Question: Out-of-room spend performance - Management is cautiously optimistic about continuing to improve out-of-room spend, with a focus on group booking trends [52] Question: Transaction market outlook - The company is more inclined to be sellers at this time, as shares appear to be a better investment than current acquisition options [66]

DiamondRock Hospitality Company (NYSE:DRH) Q4 2025 Earnings call February 27, 2026 09:00 AM ET Company ParticipantsBriony R. Quinn - EVP and CFOJeff Donnelly - CEOJustin Leonard - President and COOSmedes Rose - DirectorConference Call ParticipantsAustin Wurschmidt - Director and Equity Research AnalystChris Darling - Senior AnalystChris Woronka - Director and Senior Equity Research AnalystCooper Clark - Equity AnalystDuane Pfennigwerth - Senior Managing Director and Equity Research AnalystMichael Bellisario ...

Financial Data and Key Metrics Changes - For the full year 2025, corporate adjusted EBITDA was $297.6 million, and adjusted FFO per share was $1.08, with free cash flow per share at $0.69, reflecting a 6% increase over 2024 and a 22% increase since 2023 [3] - Full year comparable total RevPAR grew by 1.2%, while comparable hotel adjusted EBITDA increased by 1.1% [3] - In Q4 2025, corporate adjusted EBITDA was $71.9 million, and adjusted FFO per share was $0.27, with comparable RevPAR declining by 30 basis points [3][4] Business Line Data and Key Metrics Changes - Business transient revenue grew by 2.5%, while group revenue declined by 1% and leisure transient revenue decreased by 2.5% [4] - Out-of-room revenue per occupied room at resorts increased nearly 7%, marking the strongest quarterly growth of the year [5] - Food and beverage revenues rose by 1.4%, with margins expanding by 120 basis points due to a modest increase in labor costs [5][6] Market Data and Key Metrics Changes - The urban portfolio, accounting for 62% of annual EBITDA, delivered 0.3% RevPAR growth in Q4, with notable performance from specific hotels [6] - Resort RevPAR declined by 1.8%, while total RevPAR increased by 1.1% [6] - The company expects to enter 2026 with $149 million of group room revenue on the books, the same as 2025, which was a peak year [9] Company Strategy and Development Direction - The company aims to drive outsized free cash flow per share growth, with a disciplined capital allocation strategy [17][18] - A five-year capital expenditure program is planned, equating to 7%-9% of total revenues, which is lower than the peer average [19] - The company is likely to be a net seller of hotels in 2026, focusing on transactions that advance its strategy to increase free cash flow per share [25] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the trajectory of resorts, citing the lowest year-over-year RevPAR decline in Q4 among all quarters [7] - The company anticipates benefiting from favorable year-over-year comparisons following the federal government shutdown and expects improved group business conversion [26] - The higher-end portfolio is expected to continue benefiting from affluent consumer spending patterns, with early signs of strong demand for spring break and upcoming events [27][28] Other Important Information - The company redeemed its Series A redeemable preferred shares, which is expected to generate a $0.03 tailwind to FFO per share in 2026 [9][10] - The company plans to declare quarterly dividends of $0.09 per share in 2026, with potential for a fourth-quarter sub-dividend [11] Q&A Session Summary Question: Thoughts on labor and benefits pace in 2026 - Management expects labor costs to increase around 3% in 2026, influenced by contract renewals in New York [36] Question: Insights on first quarter RevPAR - The first quarter is expected to be the toughest comparison of the year, with group pace weighted towards growth in the second and fourth quarters [39] Question: Impact of Westin Seaport franchise expiration - Management is pleased with interest from multiple brands regarding the Westin Seaport and is working towards finalizing a deal [43] Question: RevPAR lift from World Cup demand - Approximately 20 basis points of RevPAR growth is embedded in the 2026 guidance from World Cup demand, with early signs of rate strength [45] Question: Out-of-room spend performance - Management is cautiously optimistic about continuing to improve out-of-room spend, with a 10% increase in leads and tentatives for group bookings compared to last year [52] Question: CapEx plans for 2026 - Management indicated that CapEx will focus on value engineering and appropriate expenditures for each hotel, with larger successes expected in CapEx [56] Question: State of business transient travel - Management believes affluent consumers will continue to spend, while visibility on lower-level consumer trends is less clear [97]

Core Insights - RLJ Lodging reported revenue of $328.59 million for the quarter ended December 2025, showing a year-over-year decline of 0.4% while EPS improved to $0.32 from -$0.01 a year ago [1] - The revenue exceeded the Zacks Consensus Estimate of $323.02 million by 1.73%, and the EPS surpassed the consensus estimate of $0.28 by 15.32% [1] Revenue Breakdown - Room revenue was $262.14 million, slightly above the average estimate of $259.79 million, reflecting a year-over-year decline of 2.1% [4] - Other revenue reached $24.56 million, exceeding the average estimate of $23.66 million, with a year-over-year increase of 8.2% [4] - Food and beverage revenue amounted to $41.89 million, surpassing the average estimate of $39.91 million, marking a year-over-year growth of 5.8% [4] Stock Performance - RLJ Lodging shares have returned +9.4% over the past month, outperforming the Zacks S&P 500 composite, which changed by +0.6% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a net loss attributable to common stockholders of $78.3 million, or $12.33 per diluted share, compared to a full year net loss of $215 million, or $35.99 per diluted share [12] - Adjusted EBITDA for Q4 was $40.4 million and $221.3 million for the full year [12] - The company ended Q4 with $2.6 billion in loans at a blended average interest rate of 7.7%, with approximately 5% fixed and 95% floating [12][13] Business Line Data and Key Metrics Changes - Comparable hotel RevPAR decreased by 1.8% in Q4 2025, primarily due to a federal government shutdown impacting demand [16] - Full year total revenue increased by 0.8%, driven by a 12.9% growth in other revenue [17] - Hotel EBITDA increased by 2.4% for the full year, with EBITDA margin expanding by over 40 basis points [17][20] Market Data and Key Metrics Changes - Government room nights declined by 27.9% in Q4 2025, significantly affecting performance in Washington, D.C., which represents over 14% of the total key count [16] - Group revenue for the full year declined by 1.1%, but excluding Washington, D.C., it increased by 1.6% [18] - The company anticipates strong group demand in 2026, supported by events like the Super Bowl and the FIFA World Cup [19][20] Company Strategy and Development Direction - The company formed a special committee to explore strategic alternatives to maximize shareholder value, including potential transactions [5] - Opportunistic dispositions will remain a core strategy in 2026, with 18 additional hotels currently being marketed or negotiated for sale [10] - The GRO AHT initiative aims to improve hotel EBITDA and overall portfolio profitability through diversified revenue generation and operational efficiency [21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing pressures in the lodging industry, including negative RevPAR growth and margin compression, but noted positive growth in comparable total revenues and hotel EBITDA [6][7] - The company expects continued focus on performance and strategic low cap rate dispositions to strengthen the portfolio and pursue growth opportunities [11] - Management remains optimistic about the portfolio's outlook, driven by operational improvements and upcoming events [25] Other Important Information - The company completed the sale of six hotels generating approximately $145 million in proceeds, which were primarily used to pay down mortgage debt [9] - The company invested approximately $71 million in capital expenditures in 2025 and anticipates spending between $90 million and $110 million in 2026 [24] Q&A Session Summary Question: What are the expectations for group demand in 2026? - Management indicated that group demand is gaining momentum, with group room revenue pacing ahead 1% in Q1 and 3.3% in Q2 of 2026 compared to the prior year [19] Question: How is the company addressing the challenges posed by the government shutdown? - Management noted that the shutdown had a significant impact on demand, particularly in Washington, D.C., but emphasized the overall positive performance for the full year [16] Question: What is the strategy for capital expenditures moving forward? - The company plans to continue investing in capital expenditures, with a focus on enhancing competitive positioning through renovations and brand conversions [24]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a net loss attributable to common stockholders of $78.3 million, or $12.33 per diluted share, compared to a full year net loss of $215 million, or $35.99 per diluted share [12] - Adjusted EBITDA for Q4 was $40.4 million and $221.3 million for the full year [12] - The company ended Q4 with $2.6 billion in loans at a blended average interest rate of 7.7%, with approximately 5% fixed and 95% floating [12][13] Business Line Data and Key Metrics Changes - Comparable hotel RevPAR decreased by 1.8% in Q4 2025, largely due to a federal government shutdown impacting demand [15] - Full year total revenue increased by 0.8%, driven by a 12.9% growth in other revenue [17] - Hotel EBITDA increased by 2.4% for the full year, with EBITDA margin expanding by over 40 basis points [17][20] Market Data and Key Metrics Changes - Government room nights declined by 27.9% in Q4 2025, significantly affecting performance, especially in Washington, D.C., which represents over 14% of the total key count [16] - Group revenue for the full year declined by 1.1%, but excluding Washington, D.C., group room revenue increased by 1.6% [18] - The company anticipates strong group demand in 2026, supported by events like the Super Bowl and the FIFA World Cup [19][20] Company Strategy and Development Direction - The company formed a special committee to evaluate strategic alternatives to maximize shareholder value, including potential transactions [6] - Opportunistic dispositions will remain a core strategy in 2026, with ongoing sales of additional assets to improve leverage and cash flow [10] - The GRO AHT initiative aims to enhance hotel EBITDA and overall portfolio profitability through diversified revenue generation and operational efficiency [21] Management's Comments on Operating Environment and Future Outlook - Management acknowledged ongoing pressures in the lodging industry, including negative RevPAR growth and margin compression, but noted positive growth in comparable total revenues and hotel EBITDA for the full year [7][20] - The company expects continued focus on performance and strategic dispositions to result in a stronger portfolio and future growth opportunities [11] - Management expressed optimism about the portfolio's outlook, driven by operational improvements and upcoming events [24] Other Important Information - The company completed the sale of six hotels generating approximately $145 million in proceeds, which were primarily used to pay down mortgage debt [9] - Recent agreements to sell additional properties are expected to save $45 million in anticipated capital expenditures [9] Q&A Session Summary - No specific questions or answers were provided in the content, thus this section is not applicable.

Service Properties Trust (NasdaqGS:SVC) Q4 2025 Earnings call February 26, 2026 10:00 AM ET Company ParticipantsBrian Donley - Treasurer and CFOChris Bilotto - President and CEOJesse Abair - VPKevin Barry - Senior Director of Investor RelationsConference Call ParticipantsJack Armstrong - Director and Senior Equity AnalystJohn Massocca - Senior Research AnalystTyler Batory - Executive Director and Senior AnalystOperatorGood morning, welcome to the Service Properties Trust Fourth Quarter 2025 Earnings Confere ...

Earnings Release Supplement Fourth Quarter 2025 (UNAUDITED) February 25, 2026 1 Table of Contents | Section I | Forward-Looking Statements and Non-GAAP Financial Measure Disclosures | | --- | --- | | Section II | Corporate Financial Schedules | | Section III | Operating & Property-Level Schedules | | Section IV | Capitalization and Debt Schedules | | Section V | Asset Listing | 2 Forward-Looking Statements We make forward-looking statements in this presentation that are subject to risks and uncertainties. T ...

Marriott International President and Chief Executive Officer, and Executive Vice President and Chief Revenue & Technology Officer to Speak at the J.P. Morgan Gaming, Lodging, Restaurant & Leisure Management Access Forum on March 12; Remarks to be Webcast [Accessibility Statement] Skip NavigationBETHESDA, Md., Feb. 25, 2026 /PRNewswire/ -- Marriott International, Inc.'s (Nasdaq: MAR) President and Chief Executive Officer, Anthony Capuano, and Executive Vice President and Chief Revenue & Technology Officer, D ...

Together with our management teams, we remain focused on ensuring that we are growing market share and prudently managing expenses to maximize the profitability of our hotels. Variable expense growth for our portfolio has moderated, with higher growth in fixed costs during 2025 largely coming as a result of challenging year-over-year comparisons. We achieved comparable hotels EBITDA of $99,000,000 for the quarter and $474,000,000 for the year, resulting in an industry leading comparable hotels EBITDA margin ...