Core Viewpoint - Braemar Hotels & Resorts, Inc. is conducting a conference call to discuss its fourth quarter and full year 2025 results, along with recent developments in the company [1]. Group 1: Conference Call Details - The conference call is being led by key executives including the President and CEO, CFO, and Executive Vice President [1]. - A press release containing the results and information about the conference call was distributed prior to the call [2]. Group 2: Forward-Looking Statements - The conference call includes forward-looking statements that are based on various assumptions and uncertainties, which may lead to actual results differing from expectations [2]. - The company is not obligated to publicly update these forward-looking statements after the date of the call [3].

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a net loss attributable to common stockholders of $46 million, or $0.67 per diluted share, and an AFFO per diluted share of -$0.02. For the full year, the net loss was $72.7 million, or $1.07 per diluted share, with an AFFO per diluted share of $0.28 [12][14] - Adjusted EBITDAre for Q4 was $28.8 million, while for the full year it was $147 million. Total assets at quarter end were $1.9 billion, with $1.1 billion in loans and a blended average interest rate of 6.7% [12][13] - The company ended the quarter with cash and cash equivalents of $124.4 million and restricted cash of $42.5 million [13] Business Line Data and Key Metrics Changes - Comparable total revenue growth for Q4 was 1.8%, while full-year comparable total revenue growth was 2.8%. Comparable Hotel EBITDA growth for Q4 was 6% and for the full year it was 3.1% [6][8] - The resort portfolio reported a comparable RevPAR of $536, a 4.1% increase over the prior year, and comparable Hotel EBITDA of $32.5 million, a 6% increase [9][19] - Excluding hotels under renovation, RevPAR growth was 2.6%, and comparable Hotel EBITDA increased 6.4% [8][18] Market Data and Key Metrics Changes - The company’s portfolio consisted of 13 hotels with 3,028 rooms as of December 31, 2025 [17] - Group room revenue increased by 7.1% for the full year, with Q4 group room revenue up 0.4% compared to the prior year [20] - The Ritz-Carlton, Sarasota achieved a RevPAR increase of 25.5% and Hotel EBITDA improvement of 48% compared to the prior year [24] Company Strategy and Development Direction - The company has initiated a sale process and engaged Robert W. Baird & Co. as its financial advisor, with no definitive timetable for completion [5] - The strategic repositioning of Cameo Beverly Hills to Hilton's luxury LXR brand reflects the company's commitment to enhancing guest experience and competitive positioning [11] - The company plans to continue redeeming non-traded preferred stock to deleverage its platform and improve cash flow per share [11] Management's Comments on Operating Environment and Future Outlook - Management expressed satisfaction with the portfolio's performance despite a challenging operating environment in the hospitality industry [8][28] - The company remains optimistic about sustaining operating momentum and delivering strong results in the future [20][27] - Management highlighted the importance of high-margin ancillary revenue streams and the effectiveness of targeted sales strategies [21][22] Other Important Information - The company sold the 410-room Clancy in San Francisco for $115 million, which allowed for a $65 million debt paydown and retained approximately $44 million in net proceeds [10] - Capital expenditures in 2025 totaled approximately $78 million, with anticipated spending between $25 million and $35 million in 2026 [26] Q&A Session Summary - The Q&A session included inquiries about the company's sale process, future capital expenditures, and strategies for enhancing revenue streams. Management reiterated their focus on shareholder value and operational efficiency [28]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a net loss attributable to common stockholders of $46 million, or $0.67 per diluted share, and an AFFO per diluted share of -$0.02 [12] - For the full year 2025, the net loss attributable to common stockholders was $72.7 million, or $1.07 per diluted share, with an AFFO per diluted share of $0.28 [12] - Adjusted EBITDAre for Q4 was $28.8 million, while for the full year it was $147 million [12] - Total assets at quarter end were $1.9 billion, with $1.1 billion in loans and a blended average interest rate of 6.7% [12][13] Business Line Data and Key Metrics Changes - Comparable total revenue growth for Q4 was 1.8%, while full-year comparable total revenue growth was 2.8% [6][8] - Comparable Hotel EBITDA for Q4 increased by 6%, and for the full year, it grew by 3.1% [8][19] - The resort portfolio reported a comparable RevPAR of $536, a 4.1% increase over the prior year, and comparable Hotel EBITDA of $32.5 million, a 6% increase [9] Market Data and Key Metrics Changes - Comparable hotel RevPAR was flat for Q4, but ADR improved by 5.4% compared to the prior year [18] - Excluding properties under renovation, RevPAR increased by 4.6% and Total RevPAR increased by 6.3% for Q4 [18] - Group room revenue for the full year increased by 7.1%, with Q4 group room revenue up 0.4% [20] Company Strategy and Development Direction - The company has initiated a sale process and engaged Robert W. Baird & Co. as its financial advisor, with no definitive timetable for completion [5] - The company is focusing on high-margin ancillary revenue streams to drive profitability [19] - Recent renovations and strategic repositioning of properties, such as the conversion of Cameo Beverly Hills to Hilton's LXR brand, reflect the company's commitment to enhancing guest experiences [11][26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining operating momentum and delivering strong results in the future [19] - The company is optimistic about opportunities ahead and plans to continue enhancing its diversified platform [27] - Management highlighted the resilience of the portfolio and the positive impact of recent renovations on future performance [11][28] Other Important Information - The company sold the 410-room Clancy in San Francisco for $115 million, which allowed for a $65 million debt paydown [10] - Approximately $149 million of non-traded preferred stock has been redeemed, representing about 32% of the original capital raise [11] - Capital expenditures in 2025 totaled approximately $78 million, with an anticipated spending of $25 million to $35 million in 2026 [26] Q&A Session Summary - The management team addressed questions regarding the impact of renovations on performance and the strategic direction of the company amidst the sale process [28]

Financial Data and Key Metrics Changes - For Q4 2025, the company reported a net loss attributable to common stockholders of $46 million, or $0.67 per diluted share, and an AFFO per diluted share of -$0.02 [13] - For the full year 2025, the net loss attributable to common stockholders was $72.7 million, or $1.07 per diluted share, with an AFFO per diluted share of $0.28 [13] - Adjusted EBITDAre for Q4 was $28.8 million, while for the full year it was $147 million [13] - Total assets at quarter end were $1.9 billion, with $1.1 billion in loans and a blended average interest rate of 6.7% [13][14] Business Line Data and Key Metrics Changes - Comparable total revenue growth for Q4 was 1.8%, while full-year growth was 2.8% [7][8] - Comparable Hotel EBITDA for Q4 increased by 6%, and for the full year, it grew by 3.1% [8][20] - The resort portfolio reported a comparable RevPAR of $536, a 4.1% increase over the prior year, and comparable Hotel EBITDA of $32.5 million, a 6% increase [10] Market Data and Key Metrics Changes - Comparable hotel RevPAR was flat for Q4, but ADR improved by 5.4% compared to the prior year [19] - Excluding properties under renovation, RevPAR increased by 4.6% and Total RevPAR increased by 6.3% for Q4 [19] - Group room revenue for the full year increased by 7.1%, with Q4 group room revenue up 0.4% [21] Company Strategy and Development Direction - The company has initiated a sale process and engaged financial advisors to explore options for creating shareholder value [6] - Renovations and strategic repositioning of properties, such as the conversion of Cameo Beverly Hills to Hilton's LXR brand, reflect the company's commitment to enhancing guest experiences [12][27] - The company plans to continue redeeming non-traded preferred stock to deleverage its platform and improve cash flow per share [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining operating momentum and delivering strong results despite a challenging hospitality environment [20][28] - The company anticipates continued benefits from recent renovations and strategic initiatives aimed at enhancing profitability [27][28] - Management highlighted the resilience of the diversified portfolio and the effectiveness of targeted sales strategies in capturing group demand [22][23] Other Important Information - The company sold the Clancy hotel in San Francisco for $115 million, which allowed for a significant debt paydown of approximately $65 million [11] - Capital expenditures in 2025 totaled approximately $78 million, with an anticipated spending of $25 million to $35 million in 2026 [27] Q&A Session Summary Question: What is the outlook for the company's sale process? - Management indicated that there is no definitive timetable for the sale process and that it is exploring all options to create shareholder value [6] Question: How are renovations impacting performance? - Renovation activities have significantly impacted portfolio results, with hotels not under renovation showing better RevPAR growth [7][10] Question: What are the expectations for group revenue? - Group room revenue has shown strong growth, particularly at standout properties like the Four Seasons Scottsdale, which achieved significant increases in both revenue and ADR [21][22]

Core Insights - Braemar Hotels & Resorts reported a quarterly loss of $0.02 per share, better than the Zacks Consensus Estimate of a loss of $0.05, and improved from a loss of $0.06 per share a year ago [1] - The company achieved a Funds From Operations (FFO) surprise of +60.00% and had previously been expected to post a loss of $0.11 per share but reported a loss of $0.19, resulting in a surprise of -72.73% [1][2] - Revenues for the quarter ended December 2025 were $165.56 million, exceeding the Zacks Consensus Estimate by 12.47%, although this represents a decline from $173.34 million in the same quarter last year [2] Financial Performance - Over the last four quarters, Braemar Hotels & Resorts has surpassed consensus FFO estimates two times and topped consensus revenue estimates three times [2] - The current consensus FFO estimate for the upcoming quarter is $0.30 on revenues of $189.3 million, and for the current fiscal year, it is $0.17 on revenues of $631.7 million [7] Market Position - Braemar Hotels & Resorts shares have increased by approximately 8% since the beginning of the year, outperforming the S&P 500, which gained 1.5% [3] - The Zacks Rank for the stock is currently 3 (Hold), indicating that shares are expected to perform in line with the market in the near future [6] Industry Outlook - The REIT and Equity Trust - Other industry, to which Braemar Hotels & Resorts belongs, is currently ranked in the bottom 38% of over 250 Zacks industries, suggesting potential challenges ahead [8]

DALLAS – February 26, 2026 – Braemar Hotels & Resorts Inc. (NYSE: BHR) ("Braemar" or the "Company") today reported financial results and performance measures for the fourth quarter and full year ended December 31, 2025. The comparable performance measurements for Occupancy, Average Daily Rate (ADR), Revenue Per Available Room (RevPAR), and Hotel EBITDA assume each of the hotel properties in the Company's hotel portfolio as of December 31, 2025 was owned as of the beginning of each of the periods presented. ...

DALLAS, Feb. 23, 2026 /PRNewswire/ -- Braemar Hotels & Resorts Inc. (NYSE: BHR) ("Braemar" or the "Company") today announced monthly preferred dividends for February 2026. The Company's Board of Directors (the "Board") declared and the Company set aside a cash dividend for the Company's 5.5% Series B Cumulative Convertible Preferred Stock equal to: $0.1146 per diluted share which will be paid on April 15, 2026 to stockholders of record as of March 30, 2026. The Board declared and the Company set aside a ca ...

Core Viewpoint - The article discusses Braemar Hotels & Resorts (NYSE: BHR) and expresses concerns regarding its balance sheet, leading to a previous rating of "Sell" [1]. Company Analysis - Braemar Hotels & Resorts has been previously analyzed, with the last assessment occurring in May of the previous year [1]. - The company is under scrutiny due to financial stability issues, which have influenced investment recommendations [1].

Core Viewpoint - The article discusses Braemar Hotels & Resorts (NYSE: BHR) and expresses concerns regarding its balance sheet, leading to a previous rating of "Sell" [1]. Company Analysis - Braemar Hotels & Resorts has been previously analyzed, with the last assessment occurring in May of the previous year [1]. - The company is under scrutiny due to financial stability issues, which have influenced investment recommendations [1].

Core Viewpoint - Braemar Hotels & Resorts Inc. is updating its preferred equity securities dividend declaration process to align with its ongoing Company Sale process, ensuring equitable treatment across different preferred stock classes while maintaining flexibility for potential strategic transactions [2] Dividend Policy - The Company is reserving dividends for Series B and Series D preferred stock on a monthly basis, rather than declaring them at the start of the quarter, to meet parity requirements with Series E and Series M [2] - The dividend calculation rates for preferred stock remain unchanged and follow the respective Articles Supplementary for each series [2] - No common equity dividend policy has been declared for 2026 due to the ongoing Company Sale process, which may involve multiple transactions with net proceeds distributed to shareholders after fulfilling other obligations [2] Company Overview - Braemar Hotels & Resorts Inc. is a real estate investment trust (REIT) focused on the luxury hotel and resort sector, targeting high-performance properties that generate revenue per available room (RevPAR) at least twice the U.S. national average [3] - The Company operates a portfolio of luxury properties across the United States and U.S. territories in the Caribbean, leveraging expertise from Ashford Hospitality Advisors LLC for disciplined asset management [3]