RLJ Lodging Trust reported a decline in financial performance for the third quarter of 2025, with total revenues decreasing to $330.0 million, down from $345.7 million in the same period last year. The drop was primarily driven by a $16.2 million decrease in room revenue, which fell to $267.4 million, and a slight decline in food and beverage revenue. The company also recorded a net loss of $3.8 million for the quarter, compared to a net income of $20.6 million in the prior year, resulting in a loss per share of $0.07, compared to earnings of $0.09 per share in Q3 2024.
For the nine months ending September 30, 2025, RLJ Lodging Trust's total revenues were $1.021 billion, a decrease from $1.039 billion in the same period of 2024. Room revenue for the nine-month period also saw a decline of $22.8 million, attributed to reduced leisure, government, corporate, and group travel. The company’s net income for the nine months was $28.0 million, significantly lower than the $62.7 million reported in the previous year.
In terms of operational developments, RLJ Lodging Trust maintained a portfolio of 95 hotel properties with approximately 21,200 rooms across 23 states and the District of Columbia as of September 30, 2025. The company did not acquire any new properties during the nine months but sold one hotel for $24.3 million, resulting in a net gain of $0.8 million. The company also refinanced a term loan to increase its capacity to $300 million and extended its maturity to April 2028, while repaying $100 million on its revolving credit facility.
The company’s operational metrics reflected a decrease in occupancy rates, which fell to 73.0% from 75.4% year-over-year, and a slight decline in average daily rate (ADR) to $189.45. Despite these challenges, RLJ Lodging Trust reported an increase in food and beverage revenue, which rose to $116.3 million for the nine months, up from $113.5 million in 2024. The company also continued its share repurchase program, having repurchased approximately 3.3 million common shares for $28.6 million during the nine months.
Looking ahead, RLJ Lodging Trust remains focused on enhancing its hotel portfolio and maintaining a prudent capital structure. The company has expressed confidence in its long-term growth prospects, despite the current market challenges affecting travel and occupancy rates. The management anticipates that strategic initiatives, including the ongoing share repurchase program and operational efficiencies, will position the company for improved performance in the future.
About RLJ Lodging Trust
RLJ Lodging Trust is a Maryland REIT that owns and manages a portfolio of primarily premium-branded, focused-service, and compact full-service hotels across the U.S. The company generates revenue through hotel ownership, leasing, and asset management, emphasizing high-margin properties in demand-driven markets. It leverages strong brand affiliations, proactive asset management, and a flexible capital structure to deliver long-term value and competitive advantages in the lodging industry.
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