Sotherly Hotels reports Q2 adjusted FFO 38c, consensus 34c

Reports Q2 revenue $50.69M vs. $49.02M last year. CEO Dave Folsom commented, “Q2 results generally met our expectations, albeit we did see ADR soften slightly as the quarter progressed, mainly due to increased price sensitivity amongst transient leisure travelers…The quarter was capped off with the majority of our hotels capturing market share within their respective competitive sets. As we look at the second half of 2024, we are cautious, but nonetheless optimistic, regarding the balance of the year. Economic concerns, interest rates, weather events, as well as the uncertainty of the impending election all present challenges which may continue the trends we witnessed toward the end of Q2, especially with respect to ADR. On the balance sheet front, by mid-year, we have successfully addressed nearly $100M in mortgage refinancings, restructurings, and extensions, while concurrently meeting all our capital and funding needs for life cycle improvement plans at several of our hotels.”