DIAMONDROCK HOSPITALITY COMPANY REPORTS SECOND QUARTER 2026 RESULTS; Raises Full-Year Guidance and Increases Quarterly Common Dividend

About this update from Diamondrock Hospitality Company

BETHESDA, Md -- DiamondRock Hospitality Company (Nasdaq: DRH, the 'Company'), a lodging real estate investment trust that owns a portfolio of 34 premium hotels and resorts in the United States , today announced results of operations for the quarter ended June 30, 2026 . SECOND QUARTER 2026 HIGHLIGHTS * Net Income: Net income attributable to common stockholders was $90.5 million , or $0.44 per diluted share, an increase of 135.7% and 144.4%, respectively, compared to the second quarter of 2025. * Adjusted EBITDA: $107.9 million , an increase of 19.2% compared to the second quarter of 2025. * Adjusted FFO per Diluted Share: $0.44 , an increase of 25.7% compared to the second quarter of 2025. * Comparable RevPAR: $240.79 , an increase of 7.0% compared to the second quarter of 2025. * Comparable Total RevPAR: $370.06 , an increase of 5.6% compared to the second quarter of 2025. * Comparable Hotel Adjusted EBITDA : $113.2 million , an increase of 20.9% compared to the second quarter of 2025. The Company settled multi-year property tax appeals for its Chicago hotels in May 2026 , which contributed approximately $6.9 million to Comparable Hotel Adjusted EBITDA . * Comparable Hotel Adjusted EBITDA Margin : 35.76%, an increase of 457 basis points compared to the second quarter of 2025. Excluding the property tax settlements in Chicago , the Comparable Hotel Adjusted EBITDA Margin increased 239 basis points. * Hotel Disposition : The Company completed the sale of the Courtyard New York Manhattan/Fifth Avenue for $33.0 million on May 1, 2026 . RECENT DEVELOPMENT Common Dividend: On July 30, 2026 , the Company's Board of Directors declared a regular quarterly cash dividend of $0.11 per share on its common stock, which represents an increase of 22% over the prior quarter dividend. 'Our second quarter demonstrated the earnings power of the DiamondRock portfolio. We delivered 7% RevPAR growth and held overall hotel expense growth to just 1.8%, driving exceptional margin expansion and earnings growth. While the World Cup provided a beneficial tailwind in several markets, our performance reflected much more than a single event. We saw broad-based strength in both group and transient demand, demonstrating the quality of our portfolio and the effectiveness of our operating strategy. Over the past twelve months, our free cash flow has increased 30%, providing further evidence that the DiamondRock 2.0 strategy is delivering results. Our focus remains on growing free cash flow through operational excellence, disciplined investment, and thoughtful capital allocation, which we believe is the clearest path to creating long-term shareholder value. Given the strength of our second quarter results and our confidence in the outlook for the remainder of the year, we are increasing our quarterly common dividend by more than 20% and raising our full-year guidance. We believe DiamondRock is well positioned to continue delivering strong earnings, growing free cash flow, and creating long-term value for our shareholders.' - Jeffrey J. Donnelly , Chief Executive Officer of DiamondRock Hospitality Company OPERATING RESULTS Please see 'Non-GAAP Financial Measures' attached to this press release for an explanation of the terms 'EBITDAre,' 'Adjusted EBITDA,' 'Hotel Adjusted EBITDA,' 'Hotel Adjusted EBITDA Margin,' 'FFO' and 'Adjusted FFO' and a reconciliation of these measures to net income. 'Comparable' operating results and statistics include all hotels owned as of June 30, 2026 , for all periods presented. See 'Comparable Hotel Operating Statistics and Results' and 'Reconciliation of Comparable Operating Results' attached to this press release for an explanation of our comparable hotels and a reconciliation to historical amounts. 'Actual' operating results and statistics include the operating results and statistics for all hotels for only the Company's respective ownership periods. https://investor.drhc.com/static-files/fb1b73c6-3e3a-4ab6-84d5-f423e1f4f571 (C) 2026 Electronic News Publishing, source ENP Newswire

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