Diamondrock Hospitality Company · NASDAQ:DRH

Diamondrock Hospitality — Investor Presentation (September 2026)

25 slides from Diamondrock Hospitality's investor presentation, September 2026

  1. Slide 1: Investor Presentation September 2026

    INVESTOR PRESENTATION SEPTEMBER 2026

  2. Slide 2: DiamondRock at a Glance

    DIAMONDROCK AT A GLANCE PORTFOLIO DEMAND SEGMENTATION DIVERSIFIED GEOGRAPHY % OF 9,400 ROOMS MARKET Boston EBITDA 12.9% Chicago 12.2% New York City 7.1% 34 PROPERTIES Florida Keys Fort Lauderdale 6.3% 5.7% Vail 5.6% Fort Worth 4.7% GEOGRAPHIC 26 MARKETS Destin Salt Lake City 4.6% 4.3% Denver 4.2% Sa

  3. Slide 3: Why Invest in DiamondRock Today?

    WHY INVEST IN DIAMONDROCK TODAY? DRH's differentiated earnings growth, disciplined capital allocation, and ability to leverage portfolio optionality provide multiple pathways to long-term value creation. DIFFERENTIATED EARNINGS GROWTH ✓ Only Lodging REIT to deliver hotel EBITDA margin and AFFO margi

  4. Slide 4: Differentiated Earnings Growth

    DIFFERENTIATED EARNINGS GROWTH 4

  5. Slide 5: Differentiated Earnings Growth: DRH Model Converts Revenue into Profit

    DIFFERENTIATED EARNINGS GROWTH: DRH MODEL CONVERTS REVENUE INTO PROFIT Generating the Lowest Expense Growth & Leading Hotel EBITDA Growth Among Peers DIVERSIFIED GROWTH PLATFORM ALIGNED OPERATING MODEL ACTIVE ASSET MANAGEMENT ✓ Diverse Portfolio by Demand ✓ Leading Third-Party ✓ Experienced Asset Se

  6. Slide 6: Differentiated Earnings Growth: Superior Conversion Drives Per Share Growth

    DIFFERENTIATED EARNINGS GROWTH: SUPERIOR CONVERSION DRIVES PER SHARE GROWTH Over three years, DRH is translating industry-leading margin expansion into more than 50% free cash flow per share growth. FCF Per Share Growth Correlates with Share Price Appreciation FCF Margin Spread to Peer Average 20% 4

  7. Slide 7: 2026 Guidance and Q3 RevPAR Update

    DIFFERENTIATED EARNINGS GROWTH: 2026 GUIDANCE AND Q3 REVPAR UPDATE 2026 GUIDANCE AS OF 5/4/2026 AS OF 7/30/2026 CHANGE AT METRIC LOW END HIGH END LOW END HIGH END MIDPOINT Comparable RevPAR Growth 1.5% 3.5% 2.5% 4.0% 75bps Comparable Total RevPAR Growth 1.75% 3.75% 2.75% 4.25% 75bps Adjusted EBITDA

  8. Slide 8: Multiple Visible Drivers Support 2027 Growth

    DIFFERENTIATED EARNINGS GROWTH: MULTIPLE VISIBLE DRIVERS SUPPORT 2027 GROWTH DRIVERS OF 2027 EARNINGS GROWTH 2027 SPECIAL EVENTS AFFLUENT TRAVELER REMAINS RESILIENT SUNDANCE FILM FESTIVAL, BOULDER ✓ Record household net worth continues to support experiential travel Hotel Clio & Courtyard Denver Dow

  9. Slide 9: Premium Leisure Delivers Superior Economics

    DIFFERENTIATED EARNINGS GROWTH: PREMIUM LEISURE DELIVERS SUPERIOR ECONOMICS LUXURY & LIFESTYLE RESORTS SEDONA, AZ HUNTINGTON BEACH, CA LAKE TAHOE, CA SAUSALITO, CA L’AUBERGE DE SEDONA KIMPTON SHOREBREAK RESORT THE LANDING RESORT AND SPA CAVALLO POINT SONOMA, CA VAIL, CO DESTIN, FL DESTIN, FL 23 Hote

  10. Slide 10: Earnings Runway from Urban Recovery

    DIFFERENTIATED EARNINGS GROWTH: EARNINGS RUNWAY FROM URBAN RECOVERY URBAN GROUP HOTELS 5 Hotels SAN DIEGO, CA CHICAGO, IL BOSTON, MA 3,443 Keys 32% of Portfolio by Revenue WESTIN SAN DIEGO BAYVIEW CHICAGO MARRIOTT MAGNIFICENT MILE WESTIN BOSTON SEAPORT FORT WORTH, TX SALT LAKE CITY, UT Strong Conven

  11. Slide 11: Secular Tailwinds Support Premium Leisure Demand

    DIFFERENTIATED EARNINGS GROWTH: SECULAR TAILWINDS SUPPORT PREMIUM LEISURE DEMAND MORE PEOPLE MORE FLEXIBILITY MORE WEALTH U.S. Population by Age Segment (in MM) Upside from Locational Flexibility Affluent Household Wealth Outpacing 90.4 4.4 Days Per Week + + 2010 2030 2019 Days Per Week in Office of

  12. Slide 12: Disciplined Capital Allocation

    DISCIPLINED CAPITAL ALLOCATION 12

  13. Slide 13: A Visible Cap Ex Plan Supports Predictable Cash Flow

    DISCIPLINED CAPITAL ALLOCATION: A VISIBLE CAP EX PLAN SUPPORTS PREDICTABLE CASH FLOW 7-9% OF REVENUE SCHEDULED TO BE SPENT ANNUALLY ➢ 3-5 Major Projects Annually 2027 Q1 Q2 Q3 Q4 ➢ 450 Smaller Projects Annually on Average Hotel 4 Hotel 5 ➢ 60% of 2022-2026 Spend was Stay-Enhancing Hotel 6 Hotel 7 ➢

  14. Slide 14: L'Auberge Demonstrates the ROI Playbook

    DISCIPLINED CAPITAL ALLOCATION: L’AUBERGE DEMONSTRATES THE ROI PLAYBOOK RENOVATION & INTEGRATION OF L’AUBERGE DE SEDONA • Total Cost: $25MM • Estimated Stabilized Yield on Cost: 20% • Completed: Q3 2025 • New cliffside pool, bar, and event space with some of the best views of Sedona’s red rocks • Si

  15. Slide 15: Capital Recycling Generates Shareholder Value

    DISCIPLINED CAPITAL ALLOCATION: CAPITAL RECYCLING GENERATES SHAREHOLDER VALUE DISPOSITION LOWEST FCF ACQUISITION INCREMENTAL 2024-2025 CAPITAL RECYCLING PROCEEDS ($MM) YIELD AVG. FCF YIELD FCF ($MM) Invested: 100 4.2% 7.0% 2.8 AC 8.2% cap rate Minneapolis (minimal Cap Ex) $30MM 150 4.2% 7.0% 4.2 Sol

  16. Slide 16: Balance Sheet Capacity Creates Opportunity

    DISCIPLINED CAPITAL ALLOCATION: BALANCE SHEET CAPACITY CREATES OPPORTUNITY RELATIVELY LOW LEVERAGE & NO NEAR-TERM MATURITIES • Amended revolving credit facility in July 2025 • Upsized to $1.5B, from $1.2B • Earliest debt maturity, inclusive of extensions, is January 2029 • All DRH debt is unsecured

  17. Slide 17: Leveraging Portfolio Optionality

    LEVERAGING PORTFOLIO OPTIONALITY 17

  18. Slide 18: Third-Party Management Creates Value

    LEVERAGING PORTFOLIO OPTIONALITY: THIRD-PARTY MANAGEMENT CREATES VALUE % OF THIRD-PARTY MANAGED ROOMS EBITDA PER KEY DIFFERENTIAL Source: Company documents, CoStar ✓ Greater Control Over Cash Flow and Capital Improvements ✓ Contracts Are Short Term, Generally Terminable at Will VALUATION PREMIUM: 15

  19. Slide 19: Deep Pipeline of Value Creation Opportunities

    LEVERAGING PORTFOLIO OPTIONALITY: DEEP PIPELINE OF VALUE CREATION OPPORTUNITIES Contract Expirations May Lead to Lower Fees, Brand Conversions, Flag Removals, Key Money – Avenues of Value Creation Franchise Expired in 2025 Franchise Expiring in 2027 Contract Expirations Over the Next Decade Potentia

  20. Slide 20: Corporate Responsibility Accomplishments

    CORPORATE RESPONSIBILITY ACCOMPLISHMENTS FIVE CONSECUTIVE YEARS AS SECTOR LEADER ISS ESG RANKINGS 2025 DRH GRESB SCORE & RECOGNITION 3 ENVIRONMENTAL GRESB REAL ESTATE ASSESSMENT NAREIT AWARDS GRESB PUBLIC DISCLOSURE 3 • Ranked 3rd in Americas and 5th • Received Nareit’s • Perfect score – 100 – 1st o

  21. Slide 21: Forward Looking Statements

    FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of federal securities laws and regulations. These forward-looking statements are identified by their use of terms and phrases such as "believe," "expect," "intend," "project," "forecast," "plan" and o

  22. Slide 22: Non-GAAP Financial Measures

    NON-GAAP FINANCIAL MEASURES Included in this presentation are certain “non-GAAP financial measures,” which are measures of our historical or future financial performance that are not calculated and presented in accordance with U.S. GAAP, within the meaning of applicable SEC rules. They are as follow

  23. Slide 23: Non-GAAP Financial Measures (continued)

    NON-GAAP FINANCIAL MEASURES (continued) FFO The Company computes FFO in accordance with standards established by Nareit, which defines FFO as net income (calculated in accordance with U.S. GAAP) excluding gains or losses from sales of properties and impairment losses, plus real estate related deprec

  24. Slide 24: Non-GAAP Financial Measures (continued)

    NON-GAAP FINANCIAL MEASURES (continued) Adjusted FFO Per Share The Company calculates Adjusted FFO Per Share as our Adjusted FFO (defined as set forth above) divided by the weighted-average number of fully diluted shares of common stock and operating partnership units outstanding during the applicab

  25. Slide 25: DiamondRock Hospitality

    DIAMONDROCK HOSPITALITY

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