DIAMONDROCK HOSPITALITY COMPANY REPORTS THIRD QUARTER 2025 RESULTS; Raises Midpoint of 2025 Adjusted EBITDA and Adjusted FFO Guidance; Repurchased 4.8 Million Common Shares Year To Date

About this update from Diamondrock Hospitality Company

BETHESDA, Md / -- DiamondRock Hospitality Company (NYSE: DRH) (the 'Company'), a lodging real estate investment trust that owns a portfolio of 36 premium hotels and resorts in the United States , today announced results of operations for the quarter ended September 30, 2025 . HIGHLIGHTS * Net Income: Net income attributable to common stockholders was $20.1 million , or $0.10 per diluted share, a decrease of 16.3% compared to the third quarter of 2024. * Adjusted EBITDA: $79.1 million , an increase of 2.7% compared to the third quarter of 2024. * Adjusted FFO per Diluted Share: $0.29 , an increase of 7.4% compared to the third quarter of 2024. * Comparable RevPAR: $214.21 , a decrease of 0.3% compared to the third quarter of 2024. * Comparable Total RevPAR: $323.29 , an increase of 1.5% compared to the third quarter of 2024, driven by a 5.1% increase in out-of-room revenues. * Comparable Hotel Adjusted EBITDA : $83.2 million , an increase of 1.5% compared to the third quarter of 2024. * Comparable Hotel Adjusted EBITDA Margin : 29.14%, a decrease of 3 basis points compared to the third quarter of 2024. * Credit Facility Refinanced and Upsized, Remaining Secured Debt Repaid: On July 22, 2025 , the Company completed a $1.5 billion refinancing of its senior unsecured credit facility, increasing its size and extending its maturity schedule. In July 2025 and September 2025 , the Company utilized the proceeds of the refinancing to repay the mortgage loans secured by the Hotel Clio and Westin Boston Seaport District , respectively, resulting in a fully unencumbered portfolio. * Share Repurchases: Year-to-date through November 6, 2025 , the Company has repurchased 4.8 million shares of its common stock at a weighted average price of $7.72 per share, for total consideration of approximately $37.1 million . 'We are pleased to report that third quarter results exceeded our expectations. A rebound in short term group and business transient demand contributed to stronger than expected room revenues, while robust banquet and catering spend drove incremental growth in out-of-room spending at our hotels. Thanks to the innovative efficiency efforts of our operators and asset management team - executed without compromising the guest experience - expenses rose by only 1.6% during the quarter and 1.4% year-to-date. Despite the ongoing political and economic environment, our team has skillfully navigated demand channels, enabling DiamondRock to outperform industry RevPAR trends. Our success is anchored in a thoughtfully curated portfolio of hotels, each strategically positioned to deliver above-market growth and profitability. This foundation, combined with strong alignment with our operating partners and a best-in-class asset management team, positions us for continued growth. In July, we successfully refinanced and expanded our senior unsecured credit facility to $1.5 billion and extended our earliest maturity to 2028. We also repaid two mortgage loans during the quarter, eliminating all secured debt. All our debt is now fully prepayable without penalty. During the third quarter, we capitalized on the compelling total return potential of our shares by repurchasing 1.5 million common shares. Our conservative balance sheet and growing free cash flow per share provide significant optionality with respect to capital allocation decisions made for the benefit of 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 September 30, 2025 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. See full release at: https://investor.drhc.com/static-files/b61fa42b-de91-497a-ad79-7d1cef75d5f9 (C) 2025 Electronic News Publishing, source ENP Newswire

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