Summit Hotel Properties Q3 revenue misses estimates

Summit Hotel Properties

04/11/2025 21:49

Overview

Summit Hotel Properties Q3 revenue missed analyst expectations

Same store RevPAR decreased 3.7% in Q3 2025 compared to last year

Company completed sale of two hotels for $39 mln, strengthening balance sheet

Outlook

Company expects Q4 2025 RevPAR growth between -2.0% and -2.5%

Summit Hotel Properties anticipates 2025 capital expenditures of $60 mln to $65 mln

Company sees long-term positive fundamentals despite near-term volatility

Result Drivers

REVPAR INDEX GROWTH - Co increased its RevPAR index by 140 basis points to ~116% despite reduced government demand and slower international travel

COST MANAGEMENT - Disciplined cost management resulted in operating expenses increasing less than 2% during the quarter

ASSET SALES - Completed sale of two hotels for $39 mln, contributing to capital recycling strategy and strengthening balance sheet

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$177.11 mln
$178.53 mln (5 Analysts)
Q3 EPS
-$0.11
Q3 Net Income
-$11.30 mln
Q3 Adjusted FFO Per Share
$0.17
Q3 FFO Per Share
$0.13
Q3 Hotel EBITDA Margin
30.60%
Q3 RevPAR
$116.57


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the specialized reits peer group is "hold"

Wall Street's median 12-month price target for Summit Hotel Properties Inc is $5.75, about 9.2% above its November 3 closing price of $5.22

Press Release: ID:nPn4cJVyKa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)