Service Properties reports Q2 normalized FFO 35c, consensus 34c

Reports Q2 revenue $503.436M, consensus $495.76M. CEO Christopher Bilotto said, “”During the second quarter, we delivered financial results in line with consensus expectations and continued to advance our strategic priorities, including the transformation of the company into a majority net lease REIT. We have made meaningful progress on the sale of our 114 previously announced Sonesta hotels, with $900 million under binding agreements and scheduled for closing now that due diligence is complete. In 2025, we are on track to complete the sales of 122 hotels totaling 15,931 keys for $966 million with proceeds used to reduce leverage through the repayment of debt. The hotel sales reflect an incremental step in the ongoing portfolio transition, with a primary focus on optimizing SVC‘s portfolio to drive performance along with balance sheet stability with reducing leverage from sale proceeds and lower future capital spend.”