The following is a summary of the RLJ Lodging Trust (RLJ) Q3 2024 Earnings Call Transcript:
Financial Performance:
RevPAR growth was 2%, doubling the industry growth for the same period, supported by both occupancy and average daily rates.
EBITDA increased by 2.6% year-over-year, totaling $100.7 million.
Achieved 2.2 million shares repurchased for $20.7 million, maintaining strong capital allocation and balance sheet management.Corporate adjusted EBITDA was $91.9 million and adjusted FFO per diluted share was $0.40.
Business Progress:
Successfully refinanced all near-term debt maturities and executed attractive interest rate hedges.
Completed two hotel conversions and continued with the strategy to execute two conversions per year.
Portfolio showed strong gains from urban-centric properties, achieving 100 basis points of market share growth.
Made progress in repositioning urban footprint with urban lifestyle hotels achieving 3.2% RevPAR growth.
Opportunities:
Urban markets like Boston, Chicago, and Southern California showing strong performance, beneficial for future growth.
Positive trends in business transient demand, particularly from large corporations returning to office, indicating sustained revenue growth.
Group segment demonstrated strong performance, expected to contribute to future revenue stability.
Managed to achieve strong room and non-room revenue growth, which positions the company for sustained top-line growth.
Risks:
Continued impact from recent storms and holiday calendar shifts could constrain Q4 RevPAR by approximately 100 basis points.
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
