RLJ Lodging Trust Q4 Earnings Call Highlights

3 weeks ago 12

MarketBeat

Sat, February 28, 2026 astatine 5:07 PM CST 8 min read

RLJ Lodging Trust logo

Q4 results bushed expectations contempt a protracted authorities shutdown: occupancy was 68.7%, ADR $199 and RevPAR $137 (down 1.5% year‑over‑year), with outperformance driven by municipality markets, renovated/converted hotels and stronger non‑room revenue.
Non‑room gross and conversions bolstered margins: non‑room gross roseate 7.2%, helping full gross turn 0.2%; comparable edifice EBITDA was $87.8M and adjusted FFO per diluted stock was $0.32, portion conversions/renovations delivered sizable RevPAR uplifts (recent conversions +15%, conversions avg astir +700 bps).
Stronger liquidity and blimpish indebtedness posture going into 2026: RLJ extended its revolver to 2031, added word loans and refinanced maturities (no maturities earlier 2029), ended the 4th with >$1 cardinal of liquidity and returned $120M to shareholders; 2026 guidance calls for comparable RevPAR +0.5% to +3% and adjusted FFO $1.21–$1.41.
Interested successful RLJ Lodging Trust? Here are 5 stocks we similar better.

3 REITs With Big Dividend Growth and Sustainable Payouts

RLJ Lodging Trust (NYSE:RLJ) reported fourth-quarter and full-year 2025 results that absorption said came successful up of expectations contempt what it described arsenic a “choppy operating environment” that was pressured by a protracted authorities shutdown. Executives attributed the quarter’s outperformance to comparative spot successful municipality markets, accelerating results astatine precocious renovated and converted hotels arsenic the shutdown ended, and continued maturation successful non-room revenue, alongside disciplined outgo control.

Chief Financial Officer Nikhil Bhalla said fourth-quarter occupancy was 68.7%, mean regular complaint (ADR) was $199, and RevPAR was $137, representing a 1.5% year-over-year RevPAR decline. The RevPAR contraction reflected a 0.9% diminution successful occupancy and a 0.7% diminution successful ADR. Bhalla and CEO Leslie Hale noted the authorities shutdown weighed connected October and November results, portion December faced a hard examination to the anterior year.

→ Diamondback Sees Resilient Demand Despite Cautious Guidance

7 champion edifice REITs to bargain now

Hale said the 4th fourth benefited from urban-market outperformance, a stronger-than-expected renovation ramp arsenic the shutdown ended, and “robust growth” successful non-room revenues. Among the company’s municipality markets, she highlighted San Francisco’s cardinal concern territory arsenic the apical performer, with 52% RevPAR maturation successful the quarter, supported by maturation crossed request segments and a calendar displacement of the Dreamforce league into the 4th quarter. Bhalla added different municipality markets cited arsenic outperformers included Northern California, Denver CBD, and New York City, with RevPAR maturation of 18.5%, 10.1%, and 4.7%, respectively.

Read Entire Article