Diamondrock (DRH)
NASDAQ:DRH
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Earnings Data
Report Date
Jul 30, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.21Last Year’s EPS
0.18Same Quarter Last Year
Moderate Buy
Based on 8 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call conveyed a predominantly positive operational and financial picture: Q1 outperformed expectations with modest RevPAR growth, meaningful margin expansion, strong ROI project outcomes (notably Sedona and The Dagny), conservative balance sheet positioning, and upgraded guidance for 2026. Challenges were noted—primarily near-term group softness driven by weather and tough comps, a small occupancy decline, and event-related booking/displacement risk—but management provided concrete mitigation strategies (expense discipline, capital recycling, transient strategies) and reiterated multi-year capital plans. On balance, highlights materially outweigh the lowlights.Company Guidance
Q1 Results Above Expectations
First quarter results exceeded expectations with comparable RevPAR up 2.0% and total RevPAR up 2.5%. Corporate adjusted EBITDA was $60.6 million and adjusted FFO per share was $0.22.
Strong FFO and Free Cash Flow Momentum
FFO margin improved by 225 basis points year-over-year. Trailing twelve-month free cash flow per share was $0.75, a 19% increase versus the prior year, and management expects ~7% free cash flow per share growth in 2026.
Expense Discipline and Margin Expansion
Total hotel operating expenses rose only 0.8% while total revenue grew 2.5%, producing a 127 basis point improvement in hotel EBITDA margin (largest quarterly margin improvement since 2024 and 275 basis points higher than 2019). Wages and benefits increased just 0.7%.
Raised 2026 Guidance
2026 RevPAR guidance was raised by 50 basis points to a range of 1.5%–3.5%. Adjusted EBITDA guidance increased to $296 million–$308 million (midpoint up ~2.5%) and adjusted FFO per share guidance was raised to $1.12–$1.18.
Outperformance at Resorts and High-Rate Hotels
Resort RevPAR rose 3.6%, with comparable resorts up more than 20% versus 2019. Hotels with ADR > $300 outpaced the rest of the portfolio by 290 basis points in total RevPAR and ~1,200 basis points in EBITDA growth over the past three quarters.
L’Auberge de Sedona Renovation Success
After integration, L’Auberge de Sedona total RevPAR versus 2024 was up over 23% and hotel EBITDA increased 67%; the property generated a 37% EBITDA margin, the highest first-quarter margin in its history.
ROI Project Track Record (Dagny & Sedona)
The Dagny (Boston) repositioning produced ~$15.5 million EBITDA in 2025 (vs $10 million in 2023), and L’Auberge drove near-term revenue and EBITDA upside after a ~$25 million investment, demonstrating effective capital allocation on ROI projects.
Insurance and Other Cost Reductions
Company achieved a more favorable insurance renewal effective April 1, contributing roughly a $1 million full-year benefit; this is the third consecutive year of meaningful premium reductions (aggregate ~40% lower over three years).
Conservative Balance Sheet and Capital Optionality
Capital structure remains conservative: no debt maturities until 2029, no secured or convertible debt, no preferred equity, all debt fully prepayable, and leverage positioned on the lower end versus peers. Company is under contract to sell one hotel with proceeds earmarked for corporate purposes or opportunistic buybacks.
Operational & Organizational Improvements
Ongoing DiamondRock 2.0 initiatives (organizational strengthening, AI-enabled tools, improved analytics, leaner G&A) contributed to execution and shareholder returns; shares have outperformed lodging REIT peers by ~2,700 basis points since launch of the program.
DRH Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
DRH Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 30, 2026 | $10.20 | $10.47 | +2.65% |
Feb 26, 2026 | $10.23 | $9.94 | -2.81% |
Nov 06, 2025 | $8.03 | $8.76 | +9.13% |
Aug 07, 2025 | $7.44 | $7.34 | -1.42% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Diamondrock (DRH) report earnings?
Diamondrock (DRH) is schdueled to report earning on Jul 30, 2026, After Close (Confirmed).
What is Diamondrock (DRH) earnings time?
Diamondrock (DRH) earnings time is at Jul 30, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is DRH EPS forecast?
DRH EPS forecast for the fiscal quarter 2026 (Q2) is 0.21.