Summit Hotel Properties reports Q4 adjusted FFO 22c, consensus 21c

Reports Q4 revenue $177.43M, consensus $176.54M. “We are proud of the company’s many successes in 2023, led by RevPAR growth of 6.6% which outpaced the overall industry by approximately 170 basis points and was primarily driven by the strong performance of our urban hotels…The improved performance of our portfolio and our ongoing efforts to prudently allocate capital allowed us to increase our common dividend by 50% during the year,” said CEO Jonathan Stanner. “… Most recently, our new $200M term loan financing replaced our last remaining meaningful tranche of debt scheduled to mature in 2025. As a result, we have no significant debt maturities until 2026, nearly $400M of liquidity, a weighted average cost of debt of approximately 4.75% and, inclusive of attractively priced interest rate swaps and preferred equity, approximately 80% of our balance sheet has fixed interest rates. Our outlook for 2024 remains positive, supported by stable demand trends and the expectation that growth in our urban markets will continue to lead portfolio performance, which we believe is positioned to once again outperform the broader industry in 2024”.