Xenia Hotels & Resorts, Inc. 2026 Q1 – Results – Earnings Call Presentation – Image for illustrative purposes only (Image credits: Unsplash)
Orlando, Fla. — Xenia Hotels & Resorts, Inc. delivered first-quarter 2026 results that surpassed Wall Street forecasts, propelled by a 7.4% rise in same-property revenue per available room. The company reported adjusted funds from operations of $0.63 per diluted share, up 23.5% from the prior year and ahead of analyst estimates around $0.57.[1][2] Management highlighted robust group and transient demand, particularly in March, as key drivers behind the outperformance.
Robust Top-Line Growth and Margin Expansion
Same-property occupancy climbed 180 basis points to 71.4%, while average daily rate increased 4.8% to $288.62. These gains combined to lift same-property RevPAR to $205.93, reflecting a 7.4% improvement over the first quarter of 2025. Total RevPAR for the same properties rose 7.2% to $370.13.[1]
Same-property hotel EBITDA reached $87.8 million, a 17.9% increase year over year, with margins expanding 270 basis points to 29.7%. Adjusted EBITDAre totaled $81.4 million, up 11.6%, and net income attributable to common stockholders stood at $19.8 million, or $0.21 per share.[1] The performance stemmed from strong contributions across the portfolio, including record results at the Grand Hyatt Scottsdale Resort.
| Key Metric | Q1 2026 | Q1 2025 | Change |
|---|---|---|---|
| Same-Property RevPAR | $205.93 | $191.80 | +7.4% |
| Same-Property Total RevPAR | $370.13 | $345.15 | +7.2% |
| Same-Property Hotel EBITDA | $87.8M | $74.5M | +17.9% |
| Adjusted FFO per Share | $0.63 | $0.51 | +23.5% |
| Hotel EBITDA Margin | 29.7% | 27.0% | +270 bps |
Strategic Capital Investments Pay Off
Investors saw tangible benefits from recent renovations, notably at the W Nashville, where new food and beverage concepts from the José Andrés Group opened during the quarter. Outlets such as Zaytinya and Bar Mar debuted on schedule and within budget, with management anticipating $3 million to $5 million in additional annual hotel EBITDA once stabilized.[1][3] Similar upgrades at the Fairmont Pittsburgh and Marriott Dallas Downtown also contributed to the quarter’s momentum.
Capital expenditures totaled $15.2 million, focused on portfolio enhancements. The company paid off a $52 million mortgage on the Grand Bohemian Hotel Orlando using cash reserves, leaving 28 of its 30 properties unencumbered. Upcoming projects include guestroom renovations at the Andaz Napa and the Ritz-Carlton Denver later this year.[1]
Healthy Balance Sheet Supports Flexibility
As of March 31, 2026, Xenia maintained $101 million in cash and full availability on its $500 million revolving credit facility, yielding total liquidity of $601 million. Total debt stood at approximately $1.4 billion, with a weighted-average interest rate of 5.53% and 93% fixed or hedged.[1] This conservative profile positions shareholders for opportunistic moves amid varying market conditions.
No common stock repurchases occurred during the quarter, preserving $97.5 million in remaining authorization. The board declared a quarterly dividend of $0.14 per share, payable to stockholders of record on March 31. Leverage remains manageable at around 4.8 times, bolstering resilience for stakeholders including institutional investors and REIT-focused funds.[1]
Raised Outlook Reflects Sustained Momentum
April same-property RevPAR rose nearly 6% year over year, extending the quarter’s strength. Group booking pace held firm, supporting expectations for continued demand in luxury and upper-upscale segments. “The first quarter momentum has continued,” noted Chair and CEO Marcel Verbaas. “Our group booking pace remains solid.”[1]
Xenia raised its full-year guidance, projecting adjusted FFO per diluted share growth of approximately 10% over 2025 levels. Adjusted EBITDAre guidance now spans $250 million to $270 million. Verbaas emphasized the portfolio’s positioning: “We believe our well-positioned luxury and upper upscale lodging portfolio, healthy balance sheet, and best-in-class operating partners provide us with a solid foundation for meaningful growth during the remainder of 2026 and beyond.”[1][3]
These updates signal confidence to investors navigating a lodging sector with moderating supply growth and resilient demand generators like group business. For Xenia’s 30 properties across 22 markets, the path forward hinges on executing capital plans while capitalizing on transient and leisure trends.