Core Viewpoint - Summit Hotel Properties, Inc. has declared cash dividends for both common and preferred stock, reflecting a commitment to returning value to shareholders through consistent dividend payments [1][2][3]. Group 1: Common Stock Dividends - The Company has declared a cash dividend of $0.08 per share for the fourth quarter ended December 31, 2025, which translates to an annualized dividend yield of 6.6% based on the closing price on January 21, 2026 [1]. Group 2: Preferred Stock Dividends - A cash dividend of $0.390625 per share has been authorized for the Company's 6.25% Series E Cumulative Redeemable Preferred Stock for the period ending February 28, 2026 [2]. - Additionally, a cash dividend of $0.3671875 per share has been declared for the Company's 5.875% Series F Cumulative Redeemable Preferred Stock for the same period [2]. Group 3: Operating Partnership Distributions - The Company has also declared a cash distribution of $0.328125 per unit for the unregistered 5.25% Series Z Cumulative Perpetual Preferred Units for the distribution period ending February 28, 2026 [3]. - These dividends and distributions are payable on February 27, 2026, to holders of record as of February 13, 2026 [3]. Group 4: Company Overview - Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded lodging properties, primarily in the Upscale segment of the lodging industry [4]. - As of January 22, 2026, the Company's portfolio consists of 95 assets, including 52 wholly owned properties, with a total of 14,348 guestrooms located across 24 states [4].

Core Insights - The article focuses on Summit Hotel Properties, Inc. (INN), evaluating its credit quality and preferred stock using Moody's methodology, alongside an analysis of the company's financial metrics and capital structure [1] Financial Metrics - The assessment includes a review of key financial metrics that are crucial for understanding INN's performance and stability [1] Capital Structure - The article discusses the capital structure of Summit Hotel Properties, highlighting the importance of preferred stock in the company's financing strategy [1]

Group 1 - The preferred shares in the hospitality sector present an interesting risk/reward ratio, although not all hotel REIT preferreds are considered attractive investments [1] - The focus is on high-quality small-cap investment opportunities in Europe, emphasizing both capital gains and dividend income for continuous cash flow [1] - The investment group European Small Cap Ideas provides exclusive access to actionable research, model portfolios, and educational content related to European investing [1] Group 2 - The analyst has disclosed a beneficial long position in the shares of INN.PR.F and INN.PR.E, indicating a personal investment interest in these preferred shares [2] - There is no position held in INN's common stock, which may suggest a strategic focus on preferred shares rather than common equity [2]

Group 1 - The preferred shares in the hospitality sector present an interesting risk/reward ratio, although not all hotel REIT preferreds are considered attractive investments [1] - The focus is on high-quality small-cap investment opportunities in Europe, emphasizing both capital gains and dividend income for continuous cash flow [1] - The investment group European Small Cap Ideas provides exclusive access to actionable research, model portfolios, and educational content related to European investing [1] Group 2 - The analyst has disclosed a beneficial long position in the shares of INN.PR.F and INN.PR.E, indicating a personal investment interest in these preferred shares [2] - There is no position held in INN's common stock, suggesting a focused investment strategy on preferred shares rather than common equity [2]

Core Viewpoint - Summit Hotel Properties, Inc. will report its financial results for Q4 and the full year of 2025 on February 25, 2026, after market close, followed by a conference call on February 26, 2026, at 10:00 AM ET [1]. Company Overview - Summit Hotel Properties, Inc. is a publicly traded real estate investment trust (REIT) that focuses on owning premium-branded lodging facilities with efficient operating models, primarily in the upscale segment of the lodging industry [2]. - As of January 9, 2026, the company's portfolio includes 95 assets, with 52 wholly owned properties, totaling 14,348 guestrooms across 24 states [2]. Conference Call Information - To access the conference call, pre-registration is required, and registrants will receive confirmation with dial-in details [4]. - A live webcast of the conference call will be available, and a replay can be accessed on the company's website until May 1, 2026 [4].

Core Insights - Summit Hotel Properties, Inc. has published its annual Corporate Responsibility Report, emphasizing its commitment to long-term shareholder value through responsible investment, environmental protection, and community support [1] - The CEO highlighted significant progress in the company's Corporate Responsibility and Sustainability program, reflecting a commitment to sustainable hotel operations and strong governance [1] - The report aims to enhance stakeholder understanding of the company's commitments to environmental stewardship, social responsibility, and governance [1] Company Overview - Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on premium-branded lodging facilities, primarily in the upscale segment [2] - As of November 11, 2025, the company owns 95 assets, with 52 wholly owned, totaling 14,347 guestrooms across 24 states [2]

Financial Data and Key Metrics Changes - The third quarter same-store RevPAR declined by 3.7% year over year, primarily driven by a 3.4% decline in average daily rate, while occupancy remained flat year over year [4][15][25] - Adjusted EBITDA for the third quarter was $39.3 million, and adjusted FFO was $21.3 million, or $0.17 per share, benefiting from lower interest expenses and a reduced share count due to share repurchases [15][25] - Operating expenses increased only 1.8% year over year, or approximately 2% on a per-occupied room basis, which helped mitigate EBITDA losses [8][19][21] Business Line Data and Key Metrics Changes - Non-rooms revenue increased by 5.6% in the third quarter, driven by food and beverage sales, resort and amenity fees, and parking charges [7][18] - The company experienced a significant decline in government and international inbound travel, which collectively accounted for approximately 15% of occupied room nights and drove nearly 50% of the year-over-year RevPAR decline [5][12] Market Data and Key Metrics Changes - Chicago, San Francisco, and Orlando generated positive RevPAR growth in the third quarter, with Chicago seeing an 8% ADR growth due to a solid convention calendar [16][17] - Nashville hotels delivered a strong third quarter with RevPAR increasing by over 6% on an 11% increase in ADR, significantly outperforming the overall market [18] Company Strategy and Development Direction - The company completed the sale of two non-core hotels, generating $39 million in gross proceeds, as part of a capital recycling strategy to enhance portfolio quality and reduce leverage [9][10] - The company expects to benefit from the 2026 World Cup, with exposure to six host markets, which will create robust demand [13][29] Management's Comments on Operating Environment and Future Outlook - Management noted that while there has been softness in leisure demand, trends appear to have stabilized, particularly with improved midweek performance in urban markets [28] - The outlook for the fourth quarter incorporates sequential improvement in operating trends, with expectations of RevPAR growth declining between 2% and 2.5% year over year [12][25] Other Important Information - The company declared a quarterly common dividend of $0.08 per share, representing a yield of approximately 6% [25] - The company has invested over $260 million in capital expenditures over the past three years to maintain a best-in-class portfolio [22] Q&A Session Summary Question: What are the leisure demand trends across the portfolio? - Management indicated that leisure demand has stabilized, with better midweek performance contributing to a more constructive outlook for the fourth quarter [28] Question: Which markets are most optimistic for next year? - Management highlighted the World Cup as a significant driver of demand, with exposure to six markets expected to benefit from special events [29] Question: Can you provide insights on government demand and its impact? - Government demand has been down approximately 30% year over year in October, contributing to overall softness, but better midweek trends have offset some of this decline [44]

Financial Performance - Net loss attributable to common stockholders was $(11301) thousand for the three months ended September 30, 2025, compared to $(4272) thousand in 2024[13] - Net loss per diluted share was $(011) for the three months ended September 30, 2025, compared to $(004) in 2024[13] - Total revenues were $177117 thousand for the three months ended September 30, 2025, slightly up from $176807 thousand in 2024[13] - Adjusted EBITDAre decreased to $39263 thousand for the three months ended September 30, 2025, from $45340 thousand in 2024[13] - Adjusted FFO was $21253 thousand for the three months ended September 30, 2025, compared to $27610 thousand in 2024[13] Pro Forma Operating Results - Pro forma total revenues for the three months ended September 30, 2025, were $177117 thousand, compared to $182537 thousand in 2024[30] - Pro forma hotel EBITDA was $54118 thousand for the three months ended September 30, 2025, down from $62180 thousand in 2024[30] - Pro forma hotel EBITDA margin decreased to 306% for the three months ended September 30, 2025, from 341% in 2024[30] - RevPAR decreased by (42)% for the three months ended September 30, 2025[13] Capitalization - Market value of common equity at quarter end was $668748 thousand as of September 30, 2025[35] - Consolidated total debt was $1433483 thousand as of September 30, 2025[35]

Core Insights - Summit Hotel Properties (INN) reported quarterly funds from operations (FFO) of $0.17 per share, exceeding the Zacks Consensus Estimate of $0.14 per share, but down from $0.22 per share a year ago [1][2] - The company achieved an FFO surprise of +21.43% for the quarter, having surpassed consensus FFO estimates in all four of the last quarters [2] - Revenues for the quarter were $177.12 million, slightly missing the Zacks Consensus Estimate by 0.69%, and showing a marginal increase from $176.81 million year-over-year [3] Financial Performance - The FFO for the previous quarter was $0.27 per share, compared to an expectation of $0.26 per share, resulting in a surprise of +3.85% [2] - The current consensus FFO estimate for the upcoming quarter is $0.19, with projected revenues of $177.93 million, and for the current fiscal year, the estimate is $0.77 on revenues of $734.55 million [8] Market Position - Summit Hotel Properties has underperformed the market, with shares down approximately 23.8% year-to-date, while the S&P 500 has gained 16.5% [4] - The Zacks Industry Rank places the REIT and Equity Trust - Other sector in the top 35% of over 250 Zacks industries, indicating a favorable industry outlook [9] Future Outlook - The sustainability of the stock's price movement will largely depend on management's commentary during the earnings call [4] - The estimate revisions trend for Summit Hotel Properties was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, suggesting it is expected to perform in line with the market [7]

Core Insights - The company reported a net loss of $11.3 million for Q3 2025, compared to a loss of $4.3 million in Q3 2024, reflecting ongoing challenges in the hospitality sector [6][7][30] - The company completed the sale of two hotels for $39 million, achieving a blended capitalization rate of 4.3%, as part of its capital recycling strategy [3][11][12] - The company expects a sequential improvement in operating trends for Q4 2025, despite a challenging environment characterized by reduced government demand and slower international travel [2][19] Financial Performance - Total revenues for Q3 2025 were $177.1 million, slightly up from $176.8 million in Q3 2024 [8][30] - Same store RevPAR decreased by 3.7% to $115.77 in Q3 2025 compared to Q3 2024, while pro forma RevPAR decreased by 4.2% to $116.57 [7][8] - Adjusted EBITDAre for Q3 2025 was $39.3 million, down from $45.3 million in Q3 2024 [8][30] Balance Sheet and Capital Management - The company refinanced a $400 million term loan at a lower interest rate, enhancing its balance sheet and extending debt maturities until 2030 [3][15][19] - As of September 30, 2025, the company had total outstanding debt of $1.1 billion with a weighted average interest rate of 4.52% [25] - The company declared a quarterly cash dividend of $0.08 per share, representing an annualized yield of 6.1% [17][18] Market Outlook - The company anticipates Q4 2025 RevPAR growth to range from -2.0% to -2.5%, reflecting ongoing price sensitivity and macroeconomic volatility [19] - The long-term outlook remains positive due to a lack of new supply growth in the industry [2][19]