INN

Second Quarter 2026 Results: Gross Margin of 90.9% and Category Leadership HERZLIYA, Israel and CALGARY, Alberta, Aug. 31, 2026 /PRNewswire/ -- Innocan Pharma Corporation (CSE: INNO) (OTCQB: INNPF) ("Innocan" or the "Company"), today reported today 2026 financial consolidated results for the six and three months ended June 30, 2026. Innocan's consumer wellness subsidiary. B.I. Sky Global Ltd. ("BI Sky"), successfully maintained a gross margin of 90.9% during the period, reflecting the strength of its product portfolio, direct-to-consumer business model and disciplined approach to operations. VALITIC™ Maintains Leading Amazon Best Seller Position VALITIC™, the flagship skincare brand of B.I. Sky, continues to maintain a leading positions across key product categories on Amazon, including achieving the leading ranking in its category. This performance reflects continued consumer demand and the growing strength of the VALITIC™ brand. VALITIC™ continues to hold Amazon's "Best Seller" badge, recognizing its position as the Top best-selling product in its specific category. The badge is based on actual sales performance rather than customer ratings and is updated hourly according to sales volume, highlighting the brand's strong and sustained consumer demand. VALITIC™ also holds Amazon's Choice recognition, reflecting Amazon's algorithmic recommendation based on factors including customer ratings, price competitiveness, availability, delivery performance and return rates. "We are proud of the strength of BI Sky's business and the consumer trust built around our products," said Iris Bincovich, CEO of Innocan Pharma Corporation. The Company's results were also impacted by the Trump administration's frequently changing policies regarding customs duties and tariffs, which created significant uncertainty that led to a decline in sales in the period. However, the Company continues to maintain a strong balance sheet and solid liquidity position, with approximately $ US 6.4 million in cash and cash equivalents and $US10.37 million in total assets as of June 30, 2026, providing a solid consolidated financial foundation to support its ongoing operations and growth initiatives. Roni Kamhi, CEO of B.I. Sky and COO of Innocan Pharma said "Building on Our Top Amazon Ranking to Expand Sales Across Multiple Channels B.I. Sky is advancing initiatives to diversify and expand its sales channels, building on its leading position on Amazon while broadening its market reach across multiple platforms. Amazon will continue to represent an important sales channel. At the same time, the Company is pursuing additional growth opportunities, including expanding its relationships with major U.S. retail and distribution networks and increasing its presence across major online retail platforms. In parallel, B.I. Sky has begun selling through its own direct-to-consumer (DTC) website, which is already operational and provides an additional platform to build direct relationships with consumers, strengthen brand engagement, and expand the reach of the Valitic® brand.I believe that its established brands, product portfolio and existing customer base provide a strong foundation for further growth. By leveraging these strengths across a broader range of sales channels, the Company aims to increase market reach, create additional revenue opportunities and strengthen its commercial performance. I expect these initiatives to support revenue growth and expand the reach and visibility of its brands over the coming year. "With a greater focus on sales execution, broader distribution and continued investment in our core strengths, we believe B.I. Sky is well positioned to strengthen its commercial performance and create long-term value for our shareholders," concluded Mr. Kamhi. FISCAL 2026 THREE MONTHS SELECT FINANCIAL RESULTS (unaudited) Consolidated Revenues totaled US$5.25 million for the three months ended June 30, 2026, On a year-over-year basis, revenues decreased 25.06% compared to the same period in the prior year. Gross Profit totaled US$4.769 million representing a decrease of 23.0% on a reported basis for the three months ended June 30, 2026. Gross Margin remained high at 90.8% despite the decline in revenues in three months ended June 30, 2026. Operating loss totaled US$0.508 million, representing an increase of 228.3% on a reported basis for the three months ended June 30, 2026. The Company's full set of unaudited condensed interim consolidated financial statements for the three and six months ended June 30, 2026, and accompanying management's discussion and analysis can be accessed by visiting the Company's website at www.innocanpharma.com and its SEDAR+ profile at www.sedarplus.ca. About Innocan: Innocan is an innovator in the pharmaceuticals and wellness sectors. In the wellness sector, Innocan develops and markets a wide portfolio of high-performance self-care and beauty products to promote a healthier lifestyle. Under this segment Innocan carries on business through its 60% owned subsidiary, BI Sky Global Ltd., which focuses on advanced, targeted online sales. www.innocanpharma.com Contact Information: For Innocan Pharma Corporation:Iris Bincovich, CEO+1 [email protected] NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE. Caution Regarding Forward-Looking Information Certain information set forth in this news release, including, without limitation, consumer growth of the Valitic brand, is forward-looking information within the meaning of applicable securities laws. By its nature, forward-looking information is subject to numerous risks and uncertainties, some of which are beyond Innocan's control. The forward-looking information contained in this news release is based on certain key expectations and assumptions made by Innocan, including expectations and assumptions concerning the anticipated benefits of the products, satisfaction of regulatory requirements in various jurisdictions and satisfactory completion of production and distribution arrangements. Forward-looking information is subject to various risks and uncertainties that could cause actual results and experience to differ materially from the anticipated results or expectations expressed in this news release. The key risks and uncertainties include but are not limited to: global and local (national) economic, political, market and business conditions; governmental and regulatory requirements and actions by governmental authorities; and potential disruption of relationships with suppliers, manufacturers, customers, business partners and competitors. There are also risks that are inherent in the nature of product distribution, including import/export matters and the failure to obtain any required regulatory and other approvals (or to do so in a timely manner). The anticipated timeline for entry to markets may change for a number of reasons, including the inability to secure necessary regulatory requirements, or the need for additional time to conclude and/or satisfy the manufacturing and distribution arrangements. As a result of the foregoing, readers should not place undue reliance on the forward-looking information contained in this news release. A comprehensive discussion of other risks that impact Innocan can be found in Innocan's public reports and filings which are available under Innocan's profile at www.sedarplus.ca. Readers are cautioned that undue reliance should not be placed on forward-looking information as actual results may vary materially from the forward-looking information. Innocan does not undertake to update, correct or revise any forward-looking information as a result of any new information, future events or otherwise, except as may be required by applicable law. View original content:https://www.prnewswire.com/news-releases/innocan-pharma-announces-second-quarter-fiscal-year-2026-results-with-revenue-of-us5-25m-cad-7-3m-302865164.html View original content: http://www.newswire.ca/en/releases/archive/August2026/31/c5299.html

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 9:00 a.m. ET Senior Vice President, Corporate Finance - Kevin Milota President and Chief Executive Officer - Jon Stanner Executive Vice President, Corporate Development - Adam Wudel Operator: Ladies and gentlemen, thank you for standing by. My name is Duncan and I will be your conference operator for today. I would like to welcome you to Summit Hotel Properties' second quarter earnings call. [Operator Instructions] Now, I'd like to turn the conference over to Kevin Milota, Senior Vice President, Corporate Finance. Please go ahead. Kevin Milota: Thank you, operator, and good morning. I'm joined today by Summit Hotel Properties' President and Chief Executive Officer, Jon Stanner; and Adam Wudel, Executive Vice President, Corporate Development. Please note that many of our comments today are considered forward-looking statements as defined by federal securities laws. These statements are subject to risks and uncertainties, both known and unknown, as described in our SEC filings. Forward-looking statements that we make today are effective only as of today, August 6, 2026, and we undertake no duty to update them later. You can find copies of our SEC filings in our earnings release, which contain reconciliations to non-GAAP financial measures referenced on this call, on our website at www.shpreit.com. Please welcome Summit Hotel Properties President and Chief Executive Officer, Jon Stanner. Jonathan Stanner: Thank you, Kevin, and good morning, everyone. Thank you for joining us today for our second quarter 2026 earnings conference call. On today's call, we will discuss our terrific second quarter results and our improved outlook for the remainder of the year that together are driving an increase to our full-year guidance ranges. We will also highlight the continued success we have had selling assets, recycling capital, enhancing the overall quality of our portfolio, and strengthening our balance sheet. Operating fundamentals were strong in the second quarter, exceeding our expectations going into the quarter, as pro forma RevPAR increased 5% year-over-year, driven by a robust 7.1% increase in average daily rate. We were particularly pleased with the breadth of demand we saw across both segments and markets. Hotel EBITDA in our pro forma portfolio increased 7.8% in the quarter, resulting in nearly 90 basis points of margin expansion, as rate-driven RevPAR growth and ongoing strong cost controls drove healthy profitability growth. Adjusted EBITDAre increased 7.7% to $54.8 million, and adjusted FFO increased 6.7% to $34.9 million, or $0.29 per share in the second quarter. The positive inflection in demand trends we first began to see in March of this year, accelerated into the second quarter and continued through July. More specifically, strengthening business transient and group demand is driving robust midweek performance, particularly in urban markets, as average daily rate in our urban portfolio increased 9% in the second quarter, driving an 8% increase in RevPAR growth and 12% increase in Hotel EBITDA. We believe the accelerating urban recovery is reflective of a broader, durable trend as corporate travel budgets are growing and group meetings remain a priority. In particular, we have seen relative recent strength in smaller group performance, both corporate and SMERF business, which will directly benefit our types of hotels. The vast majority of our urban markets saw meaningful RevPAR and EBITDA growth in the quarter, and markets outside of World Cup host markets were some of our top performers, including Cleveland, Washington, D.C., Indianapolis, Chicago, Charlotte, and New Orleans. Our urban portfolio comprises approximately half of our total rooms and Hotel EBITDA, and the positive momentum we are experiencing in this location type bodes well for our future growth. Our highest-rated demand segments continue to be our best-performing segments, as retail RevPAR increased 10%, corporate negotiated RevPAR increased 7.5%, and group RevPAR increased nearly 15% in the quarter. These results were even better when we isolate performance to midweek and in urban locations. Retail negotiated and group RevPAR all increased greater than 15% in urban locations during the quarter. We also continue to benefit from the gradual recovery in government-related demand, as transient government revenue increased 8.3% year-over-year, after being a meaningful headwind for much of the last year. While the government segment remains well below historical levels, accelerating demand patterns are expected to continue in the back half of the year. Collectively, these trends support the narrative that the recent re-acceleration in industry fundamentals is increasingly being driven by multiple demand segments across a wide variety of markets. While our portfolio clearly benefited from terrific pricing power around World Cup games, importantly, demand strength was broad-based across our portfolio, as 9 of our markets achieved 10% RevPAR growth or greater in the second quarter. RevPAR growth in our non-FIFA markets increased 4.2% in the quarter, which highlights the strength in demand we are seeing outside of special events. RevPAR growth was positive each month of the quarter with April and May up 4.5% and 1% respectively. And June accelerated to nearly 10% growth as World Cup-related demand and strong citywide calendars supported outsized ADR gains. The World Cup was a meaningful contributor to our June results, particularly our ability to drive premium pricing around game days. Across our 6 FIFA host markets, June RevPAR increased nearly 19% over last year, which exceeded our expectations coming into the event. Atlanta, Dallas, and San Francisco were our top-performing World Cup markets in June, all achieving RevPAR growth of over 20% for the month, with Hotel EBITDA increasing 43% year-over-year on a combined basis. We estimate that World Cup demand added approximately 100 basis points to our RevPAR growth in the second quarter. More importantly, as I mentioned, World Cup pricing power only amplified strong underlying trends across our portfolio, as RevPAR growth in our non-FIFA markets increased nearly 5% in June. We are also encouraged by a notable lengthening of the booking window in the second quarter. Bookings made 30-plus days out increased 6% year-over-year and 18% compared to the first quarter, while bookings made 15-plus days out increased over 300 basis points from the first quarter. Conversely, in-the-week, for-the-week bookings declined 3% and 6% year-over-year and quarter-over-quarter, respectively. This was not just a World Cup phenomenon, as these statistics are similar in both our FIFA and non-FIFA markets. The lengthening of the booking window is an encouraging trend we view as a leading indicator of demand durability. Total revenue in our pro forma portfolio increased 5.2% in the second quarter, supported by continued strength in out-of-room spending. Non-rooms revenue increased 4.9% during the quarter, driven primarily by resort and destination fees, parking, and food and beverage revenue growth. As we've discussed on previous calls, our transformational renovation of the Oceanside Fort Lauderdale Resort continues to drive tremendous growth, as total revenue for the Hotel increased 31% compared to the second quarter of last year, resulting in a nearly 80% increase in Hotel EBITDA. Once again, our operating team did a tremendous job controlling expenses and driving strong profitability growth from rate-driven RevPAR growth during the quarter. Total operating expenses increased 4% year-over-year on difficult comparisons to last year. Pro forma Hotel EBITDA increased 8% in the second quarter, representing a healthy 54% flow-through on incremental revenue. Total labor costs increased 4.3% year-over-year, reflecting modest wage growth, higher incentive compensation associated with improved hotel-level performance, and increases in hotel employee benefit costs. Contract labor declined another 4% versus the prior year, continuing the favorable trend we have discussed over the last several quarters. Overall, the labor environment remains stable, as turnover continues to be well below what we experienced in prior years. For the full year, we forecast hotel operating expenses to increase approximately 3% and expect to be able to continue to drive strong flow-through in the second half of the year. We also made meaningful progress strengthening the balance sheet during the quarter. In June, we refinanced our primary corporate credit facility with a new $650 million senior unsecured facility, extending the maturity date of the facility to June of 2031 and lowering our borrowing costs by 20 basis points at our current leverage point. In addition, in May, we amended the mortgage loan encumbering our AC and Element Miami Brickell hotels to reduce the interest rate spread by 30 basis points. When accounting for our swap portfolio, approximately 50% of our pro rata share of debt is fixed, and including our 3 series of preferred stock, we are over 60% fixed on a pro rata basis. The overall health of our balance sheet is strong, as we currently have significant corporate liquidity with nothing outstanding on our revolving credit facility and no debt maturities until 2028, giving us flexibility to pursue a variety of value creation opportunities going forward. We also continue to successfully sell assets and recycle capital. In late July, we closed on the previously announced sale of our wholly-owned Courtyard and Residence Inn Dallas Arlington South hotels for a combined sale price of $19 million. We strategically retained ownership of those hotels through the FIFA demand window before closing the transaction, which allowed us to capture robust event-driven demand in the Arlington submarket prior to disposition. The 2 hotels achieved combined RevPAR growth of over 45% and EBITDA growth of nearly 85% in the month of June. The sale price represented a 5.4% capitalization rate based on trailing 12-month net operating income as of May 31st, prior to FIFA-related demand, and we eliminated $7.6 million of near-term capital needs at the 2 hotels. This transaction reflects our ongoing commitment to recycling capital out of lower-growth assets and assets with outsized capital needs, and redeploying proceeds to strengthen the balance sheet, increase liquidity, and enhance the quality of our portfolio. Since 2023, the company has sold 15 hotels for nearly $220 million at a blended capitalization rate of less than 5% and eliminated nearly $70 million of capital requirements. The combined RevPAR for the sold hotels was $86, which is an approximate 30% discount to our current pro forma portfolio. The hotel transaction environment is improving as we have seen a notable recent pickup in activity. During the second quarter, we repurchased approximately 49,000 common shares at a weighted average price of $4.27 per share. Including our repurchase activity in the first quarter, through June 30th, we repurchased 1.5 million shares for $6.2 million, or a weighted average price of $4.17 per share. And since the inception of the program, we've repurchased 5.1 million shares, which represents over 4% of total shares and units outstanding for $21.6 million at an average price of $4.26 per share. On July 28, 2026, our Board of Directors declared a quarterly common dividend of $0.08 per share, representing an annualized dividend yield of approximately 4.6% based on the August 4th closing stock price. The Board also declared the regular quarterly dividends on our Series E, Series F, and Series Z preferred securities. The current common dividend continues to represent a modest payout ratio relative to trailing 12-month AFFO and reflects our ongoing objective of balancing shareholder returns with reinvestment and balance sheet discipline. Turning to our outlook for the remainder of the year, in our earnings press release yesterday, we increased our full-year guidance ranges for RevPAR growth, adjusted EBITDAre, adjusted FFO, and FFO per share. For the full year, we now expect pro forma RevPAR growth of 1.75% to 3.25%, an increase of 75 basis points at the midpoint. Adjusted EBITDAre of $175 million to $182 million. Adjusted FFO of $95.5 million to $103 million. And Adjusted FFO per share of $0.79 to $0.85. As a reminder, our previous RevPAR growth, EBITDA, and FFO ranges included the ownership of the recently sold Courtyard and Residence Inn Arlington hotels, which were expected to contribute approximately $500,000 in the last 5 months of 2026. This contribution has been removed and the revised midpoints of our EBITDA and FFO per share ranges are increasing $3.5 million and $0.02 per share respectively after adjusting for these asset sales. Approximately $2 million of our EBITDA guidance increase is the result of stronger-than-expected second quarter results, while the remaining $1.5 million reflects our higher expectations for the second half of the year. Operating trends have continued to improve into the third quarter, as preliminary July RevPAR growth is expected to finish at approximately 6%. We expect full-year 2026 Hotel EBITDA margins to range from down 25 basis points to up 25 basis points, or essentially flat at the midpoint, which includes approximately 25 basis points of headwinds from higher property taxes. We believe the revised ranges appropriately reflect both the better-than-expected results we achieved in the second quarter and the more favorable outlook we have for the balance of the year, while remaining mindful that the operating environment is dynamic and our long-term visibility remains limited. We expect pro rata interest expense, excluding the amortization of deferred financing costs, to be $58 million to $62 million, and preferred distributions, including the Series E, Series F, and Series Z securities, to be $18.5 million. There are no additional acquisitions, dispositions, share repurchases, or capital markets activities assumed in the company's full-year outlook beyond those already reflected as of August 5, 2026. From a capital expenditure perspective, our guidance assumes pro rata capital expenditures range between $55 million to $65 million for the year. Current renovation activity includes projects at our Courtyard Scottsdale, Homewood Suites Tucson, Hyatt Place Mesa, and Hyatt House Orlando Universal. Finally, I'd note that the pro rata fee income we earn under the GIC joint ventures covers approximately 15% of our annual cash corporate G&A expense, prior to factoring in any potential promote distributions that we may earn over the course of the year. In summary, we're incredibly encouraged by our recent operating trends and our second quarter financial results. More importantly, we believe the long-term outlook for the lodging industry is profoundly favorable, as new hotel supply growth is expected to remain well below historical averages for several more years. And consumer prioritization of travel and experiences provides a secular tailwind that we expect to persist. The ongoing recovery in business travel is increasingly benefiting our urban-centric portfolio, supported by the breadth and depth of demand we are experiencing across our highest-rated segments. We believe these dynamics support continued top-line growth and margin expansion through the balance of 2026 and beyond. With a strengthened balance sheet, high-quality portfolio, and accelerating operating momentum, we believe Summit is exceptionally well-positioned to deliver strong shareholder returns going forward. And with that, operator, we'd be happy to open the line for questions. Operator: [Operator Instructions] Your first question comes from the line of Austin Wurschmidt from KeyBanc Capital Markets. Austin Wurschmidt: So Jon, you hit on a little bit of the kind of durable demand trends that you're seeing across the business. And some of the segments that outperformed during the quarter, retail you mentioned, group was another. I guess what's the opportunity going forward to continue to shift mix and really drive rate and flow-through to the bottom line towards the back half of the year? Jonathan Stanner: Yes. Austin, I think you kind of highlighted a lot of the trends that we saw really going back to March of this year, which was a remixing of the business. And this is a reversal of kind of what we dealt with through a lot of 2025 when we were more heavily reliant on some of the discount channels, the OTA channels, and lower-rated transient business. I do think the opportunity is to continue to see more of what we saw in the second quarter. As we alluded to in the prepared remarks, this was, you know, much more than just kind of a World Cup-driven event in the quarter. Our strongest segments were our highest-rated segments. I do think we continue to expect very strong demand and pricing power on the corporate side, both from a group and a transient perspective. And as I said, these -- particularly these smaller groups, we've seen really strong pickup from in the quarter, and our expectation is for that to continue. Obviously, the quarter -- the second quarter was all kind of rate-driven RevPAR growth. We do expect our RevPAR growth in the back half of the year to continue to be mostly rate-driven, although maybe a little more balanced than what we saw in the second quarter. Austin Wurschmidt: Can you frame up a little bit of the magnitude of that opportunity to get back to more historical norms or maybe where the trend that you were on prior to kind of last year's disruption and, you know, you mentioned kind of having to rely more heavily on discount channels and lower-rated transient? Jonathan Stanner: Yes. Well, I think, you know, when we look at it by segment, obviously, BT has lagged in the recovery, really going all the way back to the pandemic. To me, that still feels like where the incremental growth opportunity has been. And I think, you know, we've gotten away a lot in the industry from comparing to 2019 levels, but I do think that has been the slowest segment to recover. You're seeing tremendous momentum there. Some of it is all the growth we're seeing in the technology world. A lot of it's driven by the strength and kind of the AI build-out. And we are definitely benefiting from that to some degree. You know, the other thing that is benefiting our portfolio that has been driven a little bit by easier year-over-year comps is growth in government. And so government was down meaningfully really starting kind of March 1st of last year. It trended down, you know, 20% to 25% through the year. We were up a little over 8% in the quarter. We do expect that to be kind of another leg of growth for us in the back half of the year. Austin Wurschmidt: And then just last one for me, switching gears a little bit, with the transaction market thawing, more opportunities to recycle capital out of some of the less core markets on a maybe larger scale than you have been able to do in recent years, or are you still limited to those smaller deals? That's it for me. Jonathan Stanner: Yes. Well, look, I think we alluded to this again in the prepared remarks. We have seen more activity in the transaction market, which has been encouraging. And I think we've always felt like the catalyst for more activity was better operating fundamentals. And clearly, we started to see that. And so I do think it kind of broadens the aperture in terms of what we can look at. I still feel where we sit today, you know, the most effective transaction for us has been this kind of 1 or 2 portfolio, maybe 3 asset type of portfolio deal where we take a very targeted approach and very often are finding more local regional buyers. I wouldn't say that, that has changed yet, but as you alluded to, the financing markets remain very, very strong and we see more activity in the transaction market, I do think it broadens what we can look at there. Operator: Your next question comes from the line of Michael Bellisario from Baird. Michael Bellisario: Just on the demand front, how are you thinking about sort of just the market and segment rotation, customer segment rotation that occurred in June because of the World Cup? And I understand your performance was broad-based, as you mentioned, but trying to understand just how you and your operators are thinking about sort of the underlying demand run rate ex-World Cup. Jonathan Stanner: Yes, I'd say a couple things. When we look at our second quarter, we attributed about 100 basis points of 5% RevPAR growth specifically to the World Cup. I think as kind of everyone has been well documented, as the World Cup was really a rate-driven event and kind of a last-minute transient rate-driven event. We even saw some modest occupancy declines in a lot of the World Cup markets. And so I think as we look forward, we think the magnitude of the World Cup effect will be less or was less in the month of July than it was certainly in the month of June. It will be less in the third quarter than it was in the second quarter. We think the opportunity is a lot of kind of what we saw really through beginning kind of March 1st through July, which was better performance in retail and our highest-rated segments, retail, corporate negotiated rates in particular, and then some on kind of the smaller group opportunity. I think that's where the opportunity lies for the back half of the year. And we would expect those trends to continue. And as I said, you know, in response to Austin's call, we are coming off relatively easy government comps, and that's providing another tailwind from a segmentation perspective. It is replacing some of the lower-rated business. And so if you look at our channel mix, we were actually down year-over-year in the second quarter in our OTA mix, which was very much an intentional strategy. Michael Bellisario: That's helpful. And then just as mentioned, I think it was what, 5% RevPAR or 6% for the month? Any specific commentary sort of post-World Cup that you can point to, just in sort of the sustainability of the sort of pre-World Cup trends you saw too? And that's all for me. Jonathan Stanner: Yes, as you alluded to, July, our preliminary numbers are up 6%. We think that a portion of that was World Cup demand, but I do think a lot of the trends that we saw in the second quarter have continued into the end of the third quarter, specifically in July, a lot of the strength that we just alluded to. For the third quarter, we're currently pacing up, you know, roughly mid-single digits. A little bit softer in August, but September much stronger. And so we're very encouraged by the recent trends that we've seen and think a lot of them will persist in the back half of the year. Operator: Your next question comes from the line of R.J. Milligan from Raymond James. R.J. Milligan: Jon, I was wondering if maybe you could talk about expectations for expenses in the back half of the year and maybe some of the puts and takes as we think about '27. Jonathan Stanner: Yes, sure. We do think -- the first thing I would say is I think the team continues to do a very good job controlling expenses. Our expense growth was up 4% in the quarter. We do expect expenses for the full year to come in around 3% up year-over-year. That does imply slightly tighter expense growth in the back half of the year than the first half of the year. I will say our second quarter was our most difficult comp from an expense growth perspective. So relative to our expectations coming into the quarter, our expenses actually beat expectations, even though they were 4% year-over-year. And again, some of that has to do with the year-over-year comp. As I said, I expect us to be able to continue to tightly control expenses in the back half of the year. As we look out beyond that, we do feel like things are pretty stable. Labor is obviously our largest expense line. Our labor costs have been trending up about 4% in the first half of the year. A lot of the wage adjustments do get reflected there and so we think that moderates in the back half of the year. And we feel pretty good about the trajectory that we're on even as we look out into next year, we feel like things are actually pretty stable on the expense front at this point. R.J. Milligan: That's helpful. And I guess in the quarter, bought back a [indiscernible] stock at much lower stock price. I'm just curious how you're thinking about buybacks here today versus issuing equity. How do you feel about your cost of capital? Jonathan Stanner: Yes. Well, look, I think the first thing I would say is it's been a very positive development to see all the stocks appreciate fairly meaningfully over the last quarter. As you alluded to, we did buy some stock back early in the quarter when we saw a pretty meaningful dislocation. I think what we've seen is just kind of an improved confidence level around the trajectory of our portfolio in particular and kind of the broader industry at large. I don't think that our capital allocation priorities have changed at all. You know, we've obviously been very focused on selling non-core assets at attractive prices, using the proceeds from that to deleverage the balance sheet, reinvest in the portfolio and buy back stock when we've seen kind of these kind of obvious enormous dislocations in the stock price like we saw in the first part of the second quarter. And from a very near-term perspective, I do expect us to continue to be a net seller of assets, R.J. Operator: [Operator Instructions] It seems that as of the moment, we don't have any questions queued up. So that concludes our question and answer session. I will now be passing the call over to Jon Stanner, CEO, for closing remarks. Jonathan Stanner: All right. Well, thank you all for joining us today. We look forward to speaking with many of you over the coming weeks and months. Have a great day. Thank you. Operator: Thank you everyone for attending this call. You may now disconnect. 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Interested in Summit Hotel Properties, Inc.? Here are five stocks we like better. Summit Hotel Properties exceeded its second-quarter expectations, with RevPAR up 5%, hotel EBITDA up 7.8%, adjusted EBITDAre up 7.7% to $54.8 million and adjusted FFO up 6.7% to $34.9 million, or $0.29 per share. Growth was driven by stronger urban, business-transient and group demand, with urban RevPAR rising 8% and higher-rated customer segments posting notable gains. World Cup activity boosted second-quarter RevPAR by approximately 100 basis points, but management said demand was broad-based across non-host markets as well. The company raised its full-year outlook for RevPAR, adjusted EBITDAre and adjusted FFO, while strengthening its balance sheet through debt refinancing and continuing portfolio sales. New guidance calls for adjusted EBITDAre of $175 million to $182 million and adjusted FFO per share of $0.79 to $0.85. 3 REITs With Big Dividend Growth and Sustainable Payouts Summit Hotel Properties (NYSE:INN) reported second-quarter results that exceeded its expectations, citing broad-based demand growth, stronger pricing and continued expense controls. The company raised its full-year guidance for RevPAR, adjusted EBITDAre and adjusted funds from operations after reporting improving trends through July. President and Chief Executive Officer Jon Stanner said pro forma revenue per available room, or RevPAR, rose 5% year over year in the second quarter, led by a 7.1% increase in average daily rate. Pro forma hotel EBITDA increased 7.8%, producing nearly 90 basis points of margin expansion. → Sandisk Just Delivered a Blowout Quarter—Here's Why the Stock Is Falling How to Invest in Hotel Stocks Adjusted EBITDAre increased 7.7% to $54.8 million, while adjusted FFO rose 6.7% to $34.9 million, or $0.29 per share. Stanner said business-transient and group demand strengthened during the quarter, especially in midweek periods and urban markets. Average daily rate in Summit's urban portfolio rose 9%, contributing to an 8% increase in urban RevPAR and a 12% increase in hotel EBITDA. → 4 Oil and Gas ETF Plays as Prices Stay Sky-High Hotel Stocks - Best Hotel Stocks Invest In The company said its urban portfolio represents approximately half of its rooms and hotel EBITDA. Cleveland, Washington, D.C., Indianapolis, Chicago, Charlotte and New Orleans were among the stronger urban markets during the quarter. Higher-rated customer segments led performance. Retail RevPAR increased 10%, corporate-negotiated RevPAR rose 7.5%, and group RevPAR grew nearly 15%. In urban locations, retail, negotiated and group RevPAR each increased by more than 15%, according to the company. → No Hangover: Revisiting Microsoft One Week After Earnings Government-related demand also improved. Transient government revenue increased 8.3% from a year earlier, though Stanner said the segment remained below historical levels. During the question-and-answer session, he said government business had declined 20% to 25% beginning in March 2025, creating easier year-over-year comparisons as demand recovers. Stanner said corporate travel, including smaller corporate and SMERF groups, remains an opportunity for the company. He also cited technology-sector growth and AI-related development as contributors to business-transient demand. World Cup-related travel contributed to June results, particularly through premium pricing around match days. Across Summit's six FIFA host markets, June RevPAR increased nearly 19% year over year. Atlanta, Dallas and San Francisco each delivered RevPAR growth of more than 20% during the month, while their combined hotel EBITDA rose 43%. Summit estimated that World Cup demand added approximately 100 basis points to its second-quarter RevPAR growth. However, Stanner emphasized that performance extended beyond those markets: RevPAR in non-FIFA markets increased 4.2% during the quarter and nearly 5% in June. Nine company markets recorded RevPAR growth of at least 10% in the second quarter. April RevPAR rose 4.5%, May increased 1%, and June grew nearly 10%. The company also reported a longer booking window. Bookings made more than 30 days in advance increased 6% from a year earlier and 18% from the first quarter, while shorter-term bookings declined. Stanner said the trend occurred in both FIFA and non-FIFA markets and could be an indicator of more durable demand. Preliminary July RevPAR growth was expected to be approximately 6%. For the third quarter, the company was pacing at roughly mid-single-digit growth, with August softer and September stronger, Stanner said. Pro forma total revenue rose 5.2% in the second quarter, including a 4.9% increase in non-room revenue from resort and destination fees, parking, and food and beverage. At the renovated Oceanside Fort Lauderdale Resort, total revenue increased 31% and hotel EBITDA increased nearly 80% from the prior-year quarter. Total operating expenses increased 4%. Labor costs rose 4.3%, reflecting wage increases, higher incentive compensation and employee benefit costs, while contract labor declined 4%. Summit expects full-year hotel operating expenses to rise approximately 3%. In June, the company refinanced its primary corporate credit facility with a $650 million senior unsecured facility maturing in June 2031. The refinancing reduced borrowing costs by 20 basis points at its current leverage level. Summit also amended the mortgage loan on its AC and Element Miami Brickell hotels, reducing the interest-rate spread by 30 basis points. Stanner said the company had no borrowings outstanding on its revolving credit facility and no debt maturities until 2028. Approximately 50% of pro rata debt was fixed-rate when accounting for swaps, rising above 60% when preferred stock is included. Summit sold the Courtyard and Residence Inn Dallas Arlington South hotels in late July for a combined $19 million. The sale represented a 5.4% capitalization rate based on trailing 12-month net operating income through May 31 and eliminated $7.6 million of near-term capital requirements. The hotels posted combined June RevPAR growth of more than 45% and EBITDA growth of nearly 85% before their sale. Since 2023, Summit has sold 15 hotels for nearly $220 million, at a blended capitalization rate below 5%, and eliminated nearly $70 million of capital requirements, Stanner said. Summit raised its full-year outlook to pro forma RevPAR growth of 1.75% to 3.25%, adjusted EBITDAre of $175 million to $182 million, adjusted FFO of $95.5 million to $103 million, and adjusted FFO per share of $0.79 to $0.85. The revised guidance excludes expected contributions from the recently sold Arlington hotels. After accounting for the dispositions, the midpoint of adjusted EBITDAre guidance increased by $3.5 million and adjusted FFO per-share guidance increased by $0.02. About $2 million of the EBITDA guidance increase reflected stronger-than-expected second-quarter results, while $1.5 million reflected improved expectations for the second half. The company expects full-year hotel EBITDA margins to range from a 25-basis-point decline to a 25-basis-point increase, including an estimated 25-basis-point headwind from higher property taxes. Its outlook assumes no additional acquisitions, dispositions, share repurchases or capital-markets activity beyond actions reflected as of Aug. 5. Summit Hotel Properties is a real estate investment trust (REIT) that acquires, owns and operates branded select-service hotels and extended-stay properties across the United States. The company focuses on upper-midscale and upscale lodging segments, targeting established national brands to combine the operational efficiencies of limited-service properties with strong franchise affiliation. The company's portfolio comprises over thirty hotels carrying well-known flags such as Marriott, Hilton, Hyatt and IHG. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Summit Hotel Properties Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Performance exceeded expectations in Q2, driven by a 7.1% increase in average daily rate (ADR) and a significant positive inflection in demand trends that began in March. The urban portfolio, representing approximately half of total rooms, saw an 8% RevPAR increase as corporate travel budgets grew and group meetings remained a priority. Management attributed the strong results to a strategic shift away from discount OTA channels toward higher-rated segments, including retail, corporate negotiated, and group business. The World Cup provided a meaningful boost to June results, contributing approximately 100 basis points to Q2 RevPAR growth, particularly through premium pricing in host markets. Operational efficiency improved as contract labor declined for several consecutive quarters and turnover remained well below historical levels, supporting 90 basis points of margin expansion. Capital recycling remains a core strategy, evidenced by the sale of two Arlington hotels at a 5.4% cap rate after capturing peak World Cup demand. The booking window notably lengthened, with 30-plus day bookings up 6% year-over-year, which management views as a leading indicator of demand durability. Full-year RevPAR growth guidance was raised by 75 basis points at the midpoint to 1.75% to 3.25%, reflecting Q2 outperformance and a favorable second-half outlook. Management expects RevPAR growth in the back half of the year to remain primarily rate-driven, though with a more balanced contribution from occupancy than seen in Q2. Government-related demand is projected to be a growth tailwind in the second half of the year as the portfolio laps easier year-over-year comparisons. Hotel operating expenses are forecasted to increase approximately 3% for the full year, with management expecting to maintain strong flow-through despite property tax headwinds. The company intends to remain a net seller of assets in the near term, focusing on recycling capital out of lower-growth properties with high capital requirements. Refinanced the primary corporate credit facility into a new $650 million senior unsecured facility, extending maturity to 2031 and lowering borrowing costs by 20 basis points. The sale of 15 hotels since 2023 has eliminated nearly $70 million in future capital requirements while focusing the portfolio on higher RevPAR assets. Approximately 60% of the company's pro rata share of debt and preferred stock is now fixed-rate, providing protection against interest rate volatility. Share repurchase activity continued with 1.5 million shares bought back year-to-date through June 30th at a weighted average price of $4.17 per share. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management expects to continue the reversal of 2025 trends by reducing reliance on discount OTA channels in favor of corporate and small group business. Smaller group performance, both corporate and SMERF, is showing strong pickup and is expected to be a primary driver for the remainder of the year. While the World Cup was a significant June event, management emphasized that non-FIFA markets still grew RevPAR by 4.2% in Q2, showing broad-based strength. Preliminary July RevPAR growth of 6% suggests that the underlying demand recovery is persisting even as the specific event-driven impact tapers off. The transaction market is thawing due to improved operating fundamentals and strong financing markets, broadening the potential for asset sales. Summit continues to find the most success with targeted sales of 1-3 asset portfolios to local or regional buyers rather than large-scale portfolio deals. Management expects expense growth to moderate in the second half of the year as they move past the most difficult year-over-year comparisons from Q2. Labor costs, which rose 4.3% in Q2, are expected to stabilize as wage adjustments are fully reflected and turnover remains low.

Second Quarter Operating Income Increased 27.3% to $28.9 Million; Adjusted EBITDAre Increased 7.7% to $54.8 Million Second Quarter Pro Forma RevPAR Increased 5.0%, Led by Robust ADR Growth of 7.1% Strengthened Balance Sheet with Refinanced $650 Million Senior Credit Facility and Sale of Two Additional Hotels AUSTIN, Texas, Aug. 5, 2026 /PRNewswire/ -- Summit Hotel Properties, Inc. (NYSE: INN) (the "Company"), today announced results for the three and six months ended June 30, 2026. "We were pleased with our strong second quarter results and are increasingly optimistic about the outlook for our business. Operating fundamentals accelerated in the quarter and exceeded our expectations as pro forma RevPAR increased 5.0 percent year-over-year driven by a 7.1 percent increase in average rates. Demand strength was broad based across segments and markets reflecting the quality of our portfolio, and our team did a terrific job capitalizing on a more favorable environment driving hotel EBITDA growth of 7.8 percent compared to the second quarter of last year. Our outlook for the remainder of the year continues to improve as the positive inflection of industry fundamentals proves durable, and we have increased our full year 2026 guidance ranges to reflect this more positive outlook," said Jonathan Stanner, President and Chief Executive Officer. "We also continue to make progress strengthening our balance sheet. During the quarter, we refinanced our primary corporate credit facility, extending its maturity date and lowering borrowing costs, and separately negotiated a reduction in the interest rate spread on our Miami Brickell mortgage loan. We have no debt maturities until 2028 and significant liquidity. Subsequent to quarter end, we closed on the previously announced sale of two wholly-owned hotels as we continue to successfully recycle capital to reduce leverage, build capacity for future growth, and enhance the quality of our portfolio," continued Mr. Stanner. Second Quarter 2026 Summary Net Income: Net income attributable to common stockholders was $3.9 million, or $0.04 per diluted share, compared to net loss of $1.6 million, or $0.02 per diluted share, for the second quarter of 2025. Pro Forma RevPAR: Pro forma RevPAR increased 5.0 percent to $136.06 compared to the second quarter of 2025. Pro forma ADR increased 7.1 percent to $178.42 compared to the same period in 2025, and pro forma occupancy decreased 1.9 percent to 76.3 percent. Pro Forma Hotel EBITDA(1): Pro forma hotel EBITDA increased 7.8 percent to $72.5 million from $67.3 million in the same period in 2025. Pro forma hotel EBITDA margin expanded 88 basis points to 36.4 percent in the second quarter. Adjusted EBITDAre(1): Adjusted EBITDAre increased 7.7 percent to $54.8 million from $50.9 million in the second quarter of 2025. Adjusted FFO(1): Adjusted FFO increased 6.7 percent to $34.9 million, or $0.29 per diluted share, compared to $32.7 million, or $0.27 per diluted share, in the second quarter of 2025. Year-to-Date 2026 Summary Net Loss: Net loss attributable to common stockholders was $6.6 million, or $0.06 per diluted share, compared to net loss of $6.3 million, or $0.06 per diluted share, in the same period of 2025. Pro Forma RevPAR: Pro forma RevPAR increased 2.7 percent to $131.34 compared to the same period of 2025. Pro forma ADR increased 4.4 percent to $177.67, and pro forma occupancy decreased 1.6 percent to 73.9 percent. Pro Forma Hotel EBITDA(1): Pro forma hotel EBITDA increased 2.6 percent to $135.9 million from $132.4 million. Adjusted EBITDAre(1): Adjusted EBITDAre increased 3.2 percent to $99.0 million from $95.9 million in the same period of 2025. Adjusted FFO(1): Adjusted FFO increased to $60.4 million, or $0.50 per diluted share, compared to $60.1 million, or $0.49 per diluted share, in the same period of 2025. The Company's results for the three and six months ended June 30, 2026 and 2025 are as follows (in thousands, except per share amounts and metrics): Transaction Activity Subsequent to quarter end, on July 22, 2026, we closed on the previously announced sale of the wholly-owned 103-guestroom Courtyard by Marriott, Dallas (Arlington South), TX and the 96-guestroom Residence Inn by Marriott, Dallas (Arlington South), TX for a combined selling price of $19.0 million. The combined sale price represents a 5.9 percent capitalization rate based on the net operating income for the trailing twelve months ended June 30, 2026, and after consideration of approximately $7.6 million of foregone near-term required capital expenditures. These hotels benefited from significant FIFA World Cup driven demand in June and July, during which the Company continued to own the hotels. Based on the net operating income for the trailing twelve months prior to FIFA World Cup demand, the sale price represents a 5.4 percent capitalization rate after consideration of foregone near-term required capital expenditures. Since 2023, the Company and its affiliates have sold, or are under contract to sell, 15 hotels for a combined sales price of approximately $219 million at a blended capitalization rate of approximately 4.7 percent, inclusive of an estimated $68 million of foregone capital needs, based on the trailing twelve-month net operating income at the time of each sale. The combined RevPAR for the sold hotels was $86, which is an approximate 30.0 percent discount to the current pro forma portfolio. Capital Markets Activity Senior Credit FacilityOn June 29, 2026, the Company closed on a $650 million Senior Credit Facility to refinance the previous 2023 Senior Credit Facility. The 2026 Senior Credit Facility is comprised of a $400 million senior unsecured revolving credit facility, a $200 million senior unsecured term loan, and a $50 million senior unsecured delayed draw term loan. The amended and restated credit agreement provides for a fully extended maturity date of June 2031. The pricing grid for the current facility ranges from 140 to 230 basis points for the Revolver and 135 to 225 basis points for the Term Loan and Delayed Draw Term Loan, each over the applicable adjusted Term SOFR rate. At the Company's current leverage, pricing on the new senior unsecured facility improved by 20 basis points, resulting in immediate interest savings and earnings accretion. Other terms of the agreement are similar to the Company's previous credit facility agreement. Brickell Mortgage LoanOn May 15, 2026, the Company, together with its joint venture partner, amended the terms of the $58 million mortgage loan to reduce the interest rate spread from 260 basis points to 230 basis points, over the applicable Term SOFR rate. Other terms of the agreement remain unchanged. The mortgage loan provides for a fully extended maturity date of May 2030. Stock RepurchasesDuring the second quarter, the Company repurchased approximately 49,000 shares for an aggregate purchase price of $0.2 million, or a weighted average price of approximately $4.27 per share. During the six months ended June 30, 2026, the Company repurchased 1.5 million common shares under its share repurchase program for an aggregate purchase price of $6.2 million, or a weighted average price of approximately $4.17 per share. Since the inception of our share repurchase program in 2025, we have repurchased approximately 5.1 million shares (approximately 4.2 percent of total shares and units outstanding) at an average price of $4.26 per share. As of June 30, 2026, approximately $28.4 million remained available for repurchase under this program. Balance Sheet Summary On a pro rata basis as of June 30, 2026, the Company had the following outstanding indebtedness: Outstanding debt of $1.1 billion with a weighted average interest rate of 5.46 percent. After giving effect to interest rate derivative agreements, $539.2 million, or 51 percent, of our outstanding debt had a fixed interest rate, and $525.0 million, or 49 percent, had a variable interest rate. Unrestricted cash and cash equivalents of $29.3 million. As of June 30, 2026, the Company's pro rata weighted average term to maturity was approximately 3.7 years, including extension options, and had only $5.0 million outstanding under its Revolving Credit Facility. Subsequent to the sale of the Courtyard by Marriott, Dallas (Arlington South), TX and the Residence Inn by Marriott, Dallas (Arlington South), TX, the Company paid off the outstanding balance of the Revolving Credit Facility. Common and Preferred Dividend Declaration On July 28, 2026, the Company declared a quarterly cash dividend of $0.08 per share on its common stock and per common unit of limited partnership interest in Summit Hotel OP, LP. The quarterly dividend of $0.08 per share represents an annualized dividend yield of 4.6 percent, based on the closing price of shares of the common stock on August 4, 2026. In addition, the Board of Directors declared a quarterly cash dividend of: $0.390625 per share on its 6.25% Series E Cumulative Redeemable Preferred Stock $0.3671875 per share on its 5.875% Series F Cumulative Redeemable Preferred Stock $0.328125 per unit on its 5.25% Series Z Cumulative Perpetual Preferred Units The dividends are payable on August 31, 2026, to holders of record as of August 17, 2026. 2026 Outlook The Company's updated outlook for the full year 2026 is based on 92 lodging assets owned as of August 5, 2026. Our previous guidance ranges incorporated ownership of the recently sold Courtyard by Marriott, Dallas (Arlington South), TX and Residence Inn by Marriott, Dallas (Arlington South), TX hotels which were expected to contribute approximately $0.5 million of hotel EBITDA in the remaining five months of 2026. These hotels are no longer included in our updated guidance ranges. Based on actual results for the first six months of the year and recent operating trends, the Company is increasing the low and high end of its guidance ranges for pro forma RevPAR growth, Adjusted EBITDAre, Adjusted FFO, and Adjusted FFO per share. There are no additional acquisitions, dispositions, share repurchases, or capital markets activities assumed in the Company's full year 2026 outlook. Second Quarter 2026 Earnings Conference Call The Company will conduct its quarterly conference call on August 6, 2026, at 9:00 AM ET. To access the conference call, please dial +1 (800) 715-9871 and enter passcode 8328053 when prompted. A live webcast of the conference call can be accessed using this link. A replay of the webcast will be available in the Investors section of the Company's website, www.shpreit.com, until October 31, 2026. Supplemental Disclosures In conjunction with this press release, the Company has furnished a financial supplement with additional disclosures on its website. Visit www.shpreit.com for more information. The Company has no obligation to update any of the information provided to conform to actual results or changes in portfolio, capital structure, or future expectations. About Summit Hotel Properties Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded lodging facilities with efficient operating models primarily in the upscale segment of the lodging industry. As of August 5, 2026, the Company's portfolio consisted of 92 assets, 50 of which are wholly owned, with a total of 14,027 guestrooms located in 24 states. For additional information, please visit the Company's website, www.shpreit.com, and follow on X at @SummitHotel_INN. Forward-Looking Statements This press release contains statements that are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "seek," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," "forecast," "continue," "plan," "likely," "would" or other similar words or expressions. Forward-looking statements are based on certain assumptions and can include future expectations, future plans and strategies, financial and operating projections, or other forward-looking information. Examples of forward-looking statements include the following: the Company's ability to realize growth from the deployment of renovation capital; projections of the Company's revenues and expenses, capital expenditures or other financial items; descriptions of the Company's plans or objectives for future operations, acquisitions, dispositions, financings, redemptions or services; forecasts of the Company's future financial performance and potential increases in average daily rate, occupancy, RevPAR, room supply and demand, EBITDAre, Adjusted EBITDAre, FFO and AFFO; the Company's outlook with respect to pro forma RevPAR, pro forma RevPAR growth, RevPAR, RevPAR growth, AFFO, AFFO per diluted share and unit and renovation capital deployed; and descriptions of assumptions underlying or relating to any of the foregoing expectations regarding the timing of their occurrence. These forward-looking statements are subject to various risks and uncertainties, not all of which are known to the Company and many of which are beyond the Company's control, which could cause actual results to differ materially from such statements. These risks and uncertainties include, but are not limited to, the state of the U.S. economy, supply and demand in the hotel industry, and other factors as are described in greater detail in the Company's filings with the Securities and Exchange Commission ("SEC"). Unless legally required, the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. For information about the Company's business and financial results, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of the Company's Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC, and its quarterly and other periodic filings with the SEC. The Company undertakes no duty to update the statements in this release to conform the statements to actual results or changes in the Company's expectations. $ 0.40 AFFO per common share and Common Unit$ 0.29$ 0.27$ 0.50$ 0.49Weighted-average diluted common shares and Common Units121,154123,125121,511123,742 Non-GAAP Financial Measures We disclose certain "non-GAAP financial measures," which are measures of our historical financial performance. Non-GAAP financial measures are financial measures not prescribed by Generally Accepted Accounting Principles ("GAAP"). These measures are as follows: (i) Funds From Operations ("FFO") and Adjusted Funds from Operations ("AFFO"), (ii) Earnings before Interest, Taxes, Depreciation and Amortization ("EBITDA"), Earnings before Interest, Taxes, Depreciation and Amortization for Real Estate ("EBITDAre"), Adjusted EBITDAre, and hotel EBITDA (as described below). We caution investors that amounts presented in accordance with our definitions of non-GAAP financial measures may not be comparable to similar measures disclosed by other companies, since not all companies calculate these non-GAAP financial measures in the same manner. Our non-GAAP financial measures should be considered along with, but not as alternatives to, net income (loss) as a measure of our operating performance. Our non-GAAP financial measures may include funds that may not be available for our discretionary use due to functional requirements to conserve funds for capital expenditures, property acquisitions, debt service obligations and other commitments and uncertainties. Although we believe that our non-GAAP financial measures can enhance the understanding of our financial condition and results of operations, these non-GAAP financial measures are not necessarily better indicators of any trend as compared to a comparable measure prescribed by GAAP such as net income (loss). Funds From Operations ("FFO") and Adjusted FFO ("AFFO") As defined by Nareit, FFO represents net income or loss (computed in accordance with GAAP), excluding preferred dividends, gains (or losses) from sales of real property, impairment losses on real estate assets, items classified by GAAP as extraordinary, the cumulative effect of changes in accounting principles, plus depreciation and amortization related to real estate assets, and adjustments for unconsolidated partnerships, and joint ventures. AFFO represents FFO excluding amortization of deferred financing costs, franchise fees, equity-based compensation expense, debt transaction costs, premiums on redemption of preferred shares, losses from net casualties, non-cash lease expense, non-cash interest income and non-cash income tax related adjustments to our deferred tax assets. Unless otherwise indicated, we present FFO and AFFO applicable to our common shares and common units. We present FFO and AFFO because we consider FFO and AFFO an important supplemental measure of our operational performance and believe it is frequently used by securities analysts, investors, and other interested parties in the evaluation of REITs, many of which present FFO and AFFO when reporting their results. FFO and AFFO are intended to exclude GAAP historical cost depreciation and amortization, which assumes that the value of real estate assets diminishes ratably over time. Historically, however, real estate values have risen or fallen with market conditions. Because FFO and AFFO exclude depreciation and amortization related to real estate assets, gains and losses from real property dispositions and impairment losses on real estate assets, FFO and AFFO provide performance measures that, when compared year over year, reflect the effect to operations from trends in occupancy, guestroom rates, operating costs, development activities and interest costs, providing perspective not immediately apparent from net income. Our computation of FFO differs slightly from the computation of Nareit-defined FFO related to the reporting of corporate depreciation and amortization expense. Our computation of FFO may also differ from the methodology for calculating FFO used by other equity REITs and, accordingly, may not be comparable to such other REITs. FFO and AFFO should not be considered as an alternative to net income (loss) (computed in accordance with GAAP) as an indicator of our liquidity, nor is it indicative of funds available to fund our cash needs, including our ability to pay dividends or make distributions. Where indicated in this release, FFO is based on our computation of FFO and not the computation of Nareit-defined FFO unless otherwise noted. EBITDA, EBITDAre, Adjusted EBITDAre, and Hotel EBITDA In September 2017, Nareit proposed a standardized performance measure, called EBITDAre, which is based on EBITDA and is expected to provide additional relevant information about REITs as real estate companies in support of growing interest among generalist investors. The conclusion was reached that, while dedicated REIT investors have long been accustomed to utilizing the industry's supplemental measures such as FFO and net operating income ("NOI") to evaluate the investment quality of REITs as real estate companies, it would be helpful to generalist investors for REITs as real estate companies to also present EBITDAre as a more widely known and understood supplemental measure of performance. EBITDAre is intended to be a supplemental non-GAAP performance measure that is independent of a company's capital structure and will provide a uniform basis for one measurement of the enterprise value of a company compared to other REITs. EBITDAre, as defined by Nareit, is calculated as EBITDA, excluding: (i) loss and gains on disposition of property and (ii) asset impairments, if any. We believe EBITDAre is useful to an investor in evaluating our operating performance because it provides investors with an indication of our ability to incur and service debt, to satisfy general operating expenses, to make capital expenditures and to fund other cash needs or reinvest cash into our business. We also believe it helps investors meaningfully evaluate and compare the results of our operations from period to period by removing the effect of our asset base (primarily depreciation and amortization) from our operating results. We make additional adjustments to EBITDAre when evaluating our performance because we believe that the exclusion of certain additional non-recurring or unusual items described below provides useful supplemental information to investors regarding our on-going operating performance. We believe that the presentation of Adjusted EBITDAre, when combined with the primary GAAP presentation of net income, is useful to an investor in evaluating our operating performance because it provides investors with an indication of our ability to incur and service debt, to satisfy general operating expenses, to make capital expenditures and to fund other cash needs or reinvest cash into our business. We also believe it helps investors meaningfully evaluate and compare the results of our operations from period to period by removing the effect of our asset base (primarily depreciation and amortization) from our operating results. With respect to hotel EBITDA, we believe that excluding the effect of corporate-level expenses and non-cash items provides a more complete understanding of the operating results over which individual hotels and operators have direct control. We believe the property-level results provide investors with supplemental information on the on-going operational performance of our hotels and effectiveness of the third-party management companies operating our business on a property-level basis. We caution investors that amounts presented in accordance with our definitions of EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA may not be comparable to similar measures disclosed by other companies, since not all companies calculate these non-GAAP measures in the same manner. EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA should not be considered as an alternative measure of our net income (loss) or operating performance. EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA may include funds that may not be available for our discretionary use due to functional requirements to conserve funds for capital expenditures and property acquisitions and other commitments and uncertainties. Although we believe that EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA can enhance your understanding of our financial condition and results of operations, these non-GAAP financial measures are not necessarily a better indicator of any trend as compared to a comparable GAAP measure such as net income (loss). Above, we include a quantitative reconciliation of EBITDA, EBITDAre, adjusted EBITDAre and hotel EBITDA to the most directly comparable GAAP financial performance measure, which is net income (loss) and operating income (loss). View original content to download multimedia:https://www.prnewswire.com/news-releases/summit-hotel-properties-reports-second-quarter-2026-results-302844060.html

AUSTIN, Texas, July 28, 2026 /PRNewswire/ -- Summit Hotel Properties, Inc. (NYSE: INN) (the "Company"), announced today that its Board of Directors has authorized, and the Company has declared, a cash dividend for the second quarter ended June 30, 2026, of $0.08 per share of common stock of the Company and per common unit of limited partnership interest in Summit Hotel OP, LP, the Company's operating partnership. The Company's second quarter common dividend represents an annualized dividend yield of 4.6 percent based on the closing price of shares of the common stock on July 27, 2026. The Board of Directors has also authorized, and the Company has declared, a cash dividend of $0.390625 per share of the Company's 6.25% Series E Cumulative Redeemable Preferred Stock for the dividend period ending on August 31, 2026, and a cash dividend of $0.3671875 per share of the Company's 5.875% Series F Cumulative Redeemable Preferred Stock for the dividend period ending on August 31, 2026. Additionally, the Board of Directors has authorized a cash distribution, and the Company has declared on behalf of the operating partnership, distributions of $0.328125 per unit pertaining to the operating partnership's unregistered 5.25% Series Z Cumulative Perpetual Preferred Units for the distribution period ending on August 31, 2026. The dividends are payable on August 31, 2026, to holders of record as of August 17, 2026. About Summit Hotel Properties Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded lodging properties with efficient operating models primarily in the Upscale segment of the lodging industry. As of June 30, 2026, the Company's portfolio consisted of 94 assets, 52 of which are wholly owned, with a total of 14,226 guestrooms located in 24 states. For additional information, please visit the Company's website, www.shpreit.com, and follow the Company on X, formerly Twitter, at @SummitHotel_INN. Forward Looking Statements This press release contains statements that are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "seek," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," "forecast," "continue," "plan," "likely," "would" or other similar words or expressions. These forward-looking statements relate to the payment of dividends. Forward-looking statements are based on certain assumptions and can include future expectations, future plans and strategies, financial and operating projections or other forward-looking information. These forward-looking statements are subject to various risks and uncertainties, not all of which are known to the Company and many of which are beyond the Company's control, which could cause actual results to differ materially from such statements. These risks and uncertainties include, but are not limited to, the state of the U.S. economy, supply and demand in the hotel industry and other factors as are described in greater detail in the Company's filings with the Securities and Exchange Commission, including, without limitation, the Company's Annual Report on Form 10-K for the year ended December 31, 2025. Unless legally required, the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. View original content to download multimedia:https://www.prnewswire.com/news-releases/summit-hotel-properties-declares-second-quarter-2026-dividends-302836813.html

HERZLIYA, Israel and CALGARY, AB, May 27, 2026 /PRNewswire/ -- Innocan Pharma Corporation (CSE: INNO) (FSE: IP4) (OTC: INNPF) (the "Company" or "Innocan"), a pharmaceutical technology company focusing on developing innovative drug delivery platform technologies, is pleased to announce its financial consolidated results for the three months ended March 31, 2026 and provide a company update. Iris Bincovich, CEO of Innocan, said: "Innocan is making meaningful progress across both its pharmaceutical and cosmetics segments, with continued sales growth and sustained profitability. We believe this continues to build on the great potential of Innocan diversified Platform: Pharma • Veterinary • Wellness and investors should be paying attention to the potential upside this company has: Proprietary Injectable Platform- LPT-CBD enables exact dosing and ~4-week sustained release a differentiated non-opioid approach to chronic pain. 505(b)(2) Regulatory Path - FDA agreed to a 505(b)(2) abbreviated submission pending a scientific bridge — accelerating route to approval US$271B Combined Addressable Market** - Human chronic pain (US$109B), animal pain (US$2.2B) and global beauty / personal care (US$161B) opportunity. Animal Health Near-Term Catalyst - CVM INAD number assigned; 3-year sponsor fee waiver. ~US$1.07B U.S. dog osteoarthritis opportunity. Cash-Generating Wellness Engine - FY25 revenues of US$26.6M at ~90% gross margins Defensible IP & World-Class Team- 31 granted & pending patents across 8 families. In line with our strategic priorities, we have decided to defer the Company's proposed initial public offering in the United States to a later time and focus our resources on scaling our core operations in our core markets. FISCAL 2026 THREE MONTHS SELECT FINANCIAL RESULTS (unaudited) *Consolidated Revenues totaled US$6.465 million for the three months ended March 31, 2026, representing a strong sequential increase of 29.7% compared to the fourth quarter of 2025 (US$4.99 million), reflecting continued momentum across the Company's operations. On a year-over-year basis, revenues decreased 17.07% compared to the same period in the prior year. Gross Profit totaled US$5.89 million representing a decrease of 17.2% on a reported basis for the three months ended March 31, 2026, and representing an increase of 32.97% compared to previous quarter, the last quarter of 2025 totaled $4.43. Gross Margin remained high at 91.1% despite the decline in revenues in three months ended March 31, 2026. Operating loss totaled US$0.786 million, representing an increase of 261.1% on a reported basis for the three months ended March 31, 2026, and representing a decrease of 14.67% compared to previous quarter, the last quarter of 2025 totaled $0.921. Revenues totaled US$6.465 million for the three months ended March 31, 2026, representing a strong sequential increase of 29.7% compared to the fourth quarter of 2025 (US$4.99 million), reflecting continued momentum across the Company's operations. On a year-over-year basis, revenues decreased 17.07% compared to the same period in the prior year. Gross Profit totaled US$5.89 million representing a decrease of 17.2% on a reported basis for the three months ended March 31, 2026, and representing an increase of 32.97% compared to previous quarter, the last quarter of 2025 totaled $4.43. Gross Margin remained high at 91.1% despite the decline in revenues in three months ended March 31, 2026. Operating loss totaled US$0.786 million, representing an increase of 261.1% on a reported basis for the three months ended March 31, 2026, and representing a decrease of 14.67% compared to previous quarter, the last quarter of 2025 totaled $0.921. "We are very encouraged by the strong sequential revenue growth of nearly 30% in the first quarter of 2026, particularly given the continued volatility and uncertainty across global markets. These results reflect the resilience of B.I. Sky Global's business model, the dedication of our team, and the effectiveness of our strategic initiatives focused on operational execution and market expansion. While the broader market environment remains challenging and unstable, we continue to see positive momentum across our operations and remain focused on building long-term sustainable growth. We believe the significant quarter-over-quarter improvement demonstrates our ability to adapt, execute, and capture opportunities even during periods of economic uncertainty. We proactively developed and implemented strategic responses across all segments of the company and optimizing our operations, resulting in meaningful cost savings and improved gross profit performance. These initiatives have strengthened our operational efficiency and positioned the Company to outperform as market conditions" said Roni Kamhi, CEO of B.I. Sky Global and COO of Innocan Pharma. The Company's full set of unaudited condensed interim consolidated financial statements for the three months ended March 31, 2026, and accompanying management's discussion and analysis can be accessed by visiting the Company's website at www.innocanpharma.com and its SEDAR+ profile at www.sedarplus.ca. ** Sources: Global Market Insights, Mordor Intelligence, Straits Research, Zion Market Research, CDC, British Journal of Anaesthesia, ERS, GMI Insights. Figures rounded. About Innocan Innocan is a pharmaceutical company that operates under two main segments: Pharmaceuticals and Consumer Wellness. In the Pharmaceuticals segment, Innocan focuses on developing innovative drug delivery platform technologies based on advanced cannabinoids science, to treat various conditions to improve patients' quality of life. This segment includes its primary drug delivery technology, LPT-CBD loaded liposome platform facilitating exact dosing and the prolonged and controlled release of CBD into the blood stream. The LPT delivery platform research is in the preclinical trial phase for two indications: pain management and epilepsy. In the Consumer Wellness segment, Innocan develops and markets a wide portfolio of innovative and high-performance self-care products to promote a healthier lifestyle. Under this segment, Innocan is a 60% shareholder in the joint venture company, BI Sky Global Ltd., which company focuses on advanced targeted online sales. https://innocanpharma.com/ For further information, please contact: For Innocan Pharma Corporation:Iris Bincovich, CEO+1-516-210-4025+972-54-3012842+442037699377info@innocanpharma.com NEITHER THE CANADIAN SECURITIES EXCHANGE NOR ITS REGULATION SERVICES PROVIDER HAVE REVIEWED OR ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE. Cautionary note regarding forward-looking information Certain information set forth in this news release, including, without limitation, information regarding research and development, collaborations, the filing of potential applications with the FDA and other regulatory authorities, the potential achievement of future regulatory milestones, the potential for treatment of conditions and other therapeutic effects resulting from research activities and/or the Company's products, requisite regulatory approvals and the timing for market entry is forward-looking information within the meaning of applicable securities laws. By its nature, forward-looking information is subject to numerous risks and uncertainties, some of which are beyond Innocan's control. The forward-looking information contained in this news release is based on certain key expectations and assumptions made by Innocan, including expectations and assumptions concerning the anticipated benefits of the products, satisfaction of regulatory requirements in various jurisdictions and satisfactory completion of requisite production and distribution arrangements. Forward-looking information is subject to various risks and uncertainties which could cause actual results and experience to differ materially from the anticipated results or expectations expressed in this news release. The key risks and uncertainties include but are not limited to: general global and local (national) economic, market and business conditions; governmental and regulatory requirements and actions by governmental authorities; and relationships with suppliers, manufacturers, customers, business partners and competitors. There are also risks that are inherent in the nature of product distribution, including import / export matters and the failure to obtain any required regulatory and other approvals (or to do so in a timely manner) and availability in each market of product inputs and finished products. The anticipated timeline for entry to markets may change for a number of reasons, including the inability to secure necessary regulatory requirements, or the need for additional time to conclude and/or satisfy the manufacturing and distribution arrangements. As a result of the foregoing, readers should not place undue reliance on the forward-looking information contained in this news release concerning the timing of launch of product distribution. A comprehensive discussion of other risks that impact Innocan can also be found in Innocan's public reports and filings which are available under Innocan's profile at www.sedarplus.ca. Readers are cautioned that undue reliance should not be placed on forward-looking information as actual results may vary materially from the forward-looking information. Innocan does not undertake to update, correct or revise any forward looking information as a result of any new information, future events or otherwise, except as may be required by applicable law. Logo - https://mma.prnewswire.com/media/2570689/Innocan_Pharma_Logo.jpg View original content:https://www.prnewswire.com/news-releases/innocan-pharma-posts-strong-q1-2026-results-with-revenue-surging-29-7-to-us6-47m-302783539.html View original content: http://www.newswire.ca/en/releases/archive/May2026/27/c0957.html

Summit’s Q1 results beat expectations as pro forma RevPAR rose 0.2% for the quarter with a sharp March acceleration (+4.1% RevPAR, +5.6% average rate), and management now expects RevPAR gains to be predominantly rate‑driven for the remainder of the year. Management bolstered liquidity and returned capital, repaying the $288M convertible note, closing asset sales (e.g., Hilton Garden Inn Longview for $12.3M and two Dallas hotels for $19M), and repurchasing about 1.4M shares in Q1 (≈5M shares since 2025). The company raised full‑year guidance to RevPAR growth 0.5–3%, Adjusted EBITDA $170M–$181M, and Adjusted FFO $0.75–$0.85, while non‑rooms revenue grew roughly 10% YoY, led by food & beverage and other ancillary fees. Interested in Summit Hotel Properties, Inc.? Here are five stocks we like better. 3 REITs With Big Dividend Growth and Sustainable Payouts Summit Hotel Properties (NYSE:INN) reported first-quarter 2026 results that management said exceeded expectations, supported by improving demand trends as the quarter progressed and a sharp acceleration in March. President and CEO Jon Stanner said the company saw “a meaningful sequential improvement in operating fundamentals throughout the quarter,” with pro forma RevPAR turning positive and rising 20 basis points year over year. Stanner said the RevPAR outcome was more than 200 basis points better than the company had communicated on its fourth-quarter 2025 call, driven by broad-based strength across markets and demand segments. “Operating fundamentals improved each month as the quarter progressed,” he said, noting that January and February declines were offset by March RevPAR growth of 4.1%, which was driven by a 5.6% increase in average rate. → Corning Beats Q1 Estimates but Drops 9% on Guidance Miss How to Invest in Hotel Stocks Management repeatedly pointed to March as the quarter’s key turning point. Stanner said March represented “a relatively clean calendar comparison” despite “the lingering government shutdown and highly publicized TSA wait times,” and he added that April trends continued in a similar direction. Stanner said the company’s strongest performance came from higher-rated demand segments, allowing Summit to “yield out a portion of lower rated business in a reversal of the prevailing pricing trends we experienced for most of last year.” He highlighted an improving business transient backdrop, with negotiated segment RevPAR up 3% for the quarter and up 10% in March. Summit cited double-digit March RevPAR growth in 12 markets, including Baltimore, Charlotte, Cleveland, Miami, Pittsburgh, San Francisco, and Washington, D.C. → Meta Posted Its Best Sales Growth Since 2021—So Why Did Shares Fall? Hotel Stocks - Best Hotel Stocks Invest In Executive Vice President and CFO Trey Conkling said first-quarter pro forma RevPAR increased 0.2% year over year, “driven exclusively by growth in average daily rate.” Conkling said nearly all segments posted year-over-year gains, with retail and negotiated segments delivering RevPAR growth of 7% and 8% for the quarter, respectively, and accelerating to 11% and 16% in March. On the mix of future growth, Stanner said Summit now expects RevPAR gains to be “predominantly rate driven” for the remainder of the year. He told analysts that the company’s initial expectations had been closer to a 60/40 rate-versus-occupancy split, but that has shifted toward rate. → Is Oracle Undervalued as Cloud Growth Accelerates? Summit said the first quarter faced several portfolio-specific headwinds, including a difficult Super Bowl comparison in New Orleans (where the company owns six hotels), weakness in government demand tied to DOGE-related travel cuts, and disruption from Winter Storm Fern and civil unrest in Minneapolis. Stanner estimated these items created an “approximately 140 basis point headwind” to first-quarter RevPAR growth, concentrated in January and February. He said government demand trends are improving as comparisons ease, with government-related demand down 12% year over year in the first quarter—better than the “20%+ declines” experienced through most of 2025. Conkling said government-related demand within the qualified segment “inflected positively” in March, with approximately 3% RevPAR growth for the month. In Q&A, Stanner said March government-related revenue was up 3% and that second-quarter government pace is currently trending up “mid-single digits,” compared with the company’s earlier expectation that government demand would be roughly flat once it reached the second quarter. He described the improvement as “fairly broad-based,” while noting strength in markets including Tucson and Washington, D.C. Government demand represents roughly 5% to 7% of the company’s total guest room and revenue mix, Stanner said. Conkling cited strong results in San Francisco and South Florida. In San Francisco, he said the company’s three hotels benefited from a strong citywide calendar and major demand events, including the J.P. Morgan Healthcare Conference in January, the Super Bowl in February, and RSA in March. Conkling said RevPAR in San Francisco increased 27% for the quarter, and management expects momentum to continue into the second quarter, particularly June, supported by technology conferences, Pride, and World Cup-related activity. In South Florida, Conkling said Miami and Fort Lauderdale hotels delivered RevPAR growth of more than 14%, driven by a 9% increase in average daily rate. He attributed Miami’s results to peak season demand, January events such as the NHL Winter Classic and the College Football Playoff National Championship, and a more condensed spring break calendar tied to Easter shifting into early April. Conkling also highlighted the repositioning of the Oceanside Fort Lauderdale Beach. He said the hotel generated first-quarter revenue growth of 56% and EBITDA growth of 90%, helped by renovated rooms and expanded food-and-beverage amenities. Group demand is also accelerating at the property due to its location next to the Fort Lauderdale Aquatic & Diving Center, he said. Across the portfolio, Conkling said non-rooms revenue increased 10% year over year, with food-and-beverage revenue a meaningful contributor. He noted that food-and-beverage revenue at the Oceanside Fort Lauderdale Beach increased four-fold year over year and drove the majority of the company’s overall increase in food-and-beverage sales. He also cited growth in marketplace sales, parking income, and resort and amenity fees. On capital allocation, Stanner said Summit closed the previously announced sale of a 122-room Hilton Garden Inn in Longview, Texas, owned in a joint venture with GIC, for $12.3 million at a 6.8% capitalization rate based on trailing 12-month NOI after considering foregone near-term CapEx. He also said the company entered into an agreement in April to sell its wholly owned Courtyard and Residence Inn Dallas Arlington South hotels for a combined $19 million, reflecting a 5% cap rate on the same basis. The transaction is expected to close in the third quarter, and Stanner said the timing would allow Summit to capture demand from FIFA matches in the market. Summit continued share repurchases in the first quarter, buying back 1.4 million shares for $6 million at a weighted average price of about $4.17 per share. As of March 31, the company had about $29 million remaining under the program. Since launching the program in 2025, Stanner said Summit has repurchased about 5 million shares, or roughly 4% of shares outstanding, at an average price of $4.26 per share. Conkling said the company fully repaid its $288 million 1.5% convertible senior notes that matured in mid-February, using a $275 million delayed draw term loan and the corporate revolver. Pro forma for the refinancing, he said Summit has no debt maturities until 2028. Including swaps, about 50% of pro rata debt is fixed, and including preferred equity, the capital structure is “over 60% fixed” on a pro rata basis, he said. The board declared a quarterly common dividend of $0.08 per share on April 23, 2026. Conkling said this represents a dividend yield of about 6.4% based on an annualized $0.32 per share dividend, and he described the payout ratio as modest relative to trailing 12-month AFFO. For the first quarter, Conkling reported Adjusted EBITDA of $44.2 million and Adjusted FFO of $25.5 million, or $0.21 per share. He said RevPAR index increased to 116% of fair share. Management raised full-year guidance. Conkling said Summit now expects: RevPAR growth: 0.5% to 3% Adjusted EBITDA: $170 million to $181 million Adjusted FFO: $0.75 to $0.85 per share Conkling said the company expects nominal expense growth of about 3% for 2026 and hotel EBITDA margins ranging from flat to down 75 basis points, including about 25 basis points of headwind from higher property taxes. He also guided to pro rata interest expense (excluding amortization of deferred financing costs) of $58 million to $62 million and preferred distributions of $18.5 million. Looking ahead, Stanner said the company expects April RevPAR to rise about 3.5% and said second-quarter revenue pace is trending about 4% ahead of the same time last year, with particularly strong pace in June tied to World Cup demand. He also cited expected incremental demand from U.S. 250th anniversary celebrations in Boston, Washington, D.C., and Baltimore. Summit Hotel Properties is a real estate investment trust (REIT) that acquires, owns and operates branded select-service hotels and extended-stay properties across the United States. The company focuses on upper-midscale and upscale lodging segments, targeting established national brands to combine the operational efficiencies of limited-service properties with strong franchise affiliation. The company's portfolio comprises over thirty hotels carrying well-known flags such as Marriott, Hilton, Hyatt and IHG. The article "Summit Hotel Properties Q1 Earnings Call Highlights" was originally published by MarketBeat.

First Quarter Operating Income of $14.1 Million; AFFO of $25.5 Million or $0.21 per Share Increased 2026 Outlook as Sequential RevPAR Improvement Results in Positive First Quarter RevPAR Growth Accretive Capital Recycling Continues with Agreement to Sell the Courtyard and Residence Inn Dallas (Arlington South) AUSTIN, Texas, April 30, 2026 /PRNewswire/ -- Summit Hotel Properties, Inc. (NYSE: INN) (the "Company"), today announced results for the three months ended March 31, 2026. "Operating fundamentals improved meaningfully in the first quarter as positive RevPAR growth in the quarter exceeded our expectations by over 200 basis points. Encouragingly, we experienced sequential improvements in demand within the quarter culminating with March RevPAR growth of over 4%. These positive trends have continued into the second quarter as rate-driven revenue growth has been broad based across markets and segments of our portfolio. Our outlook for the remainder of the year is increasingly positive as we approach what is expected to be a robust summer of travel demand, highlighted by a record setting special events calendar and current operating trends that support an increase to our full year 2026 guidance ranges," said Jonathan Stanner, President and Chief Executive Officer. "We also continue to successfully allocate capital as we entered into an agreement to sell two wholly-owned assets for $19 million at an implied capitalization rate of 5.0 percent, inclusive of foregone capital investment needs, and repurchased an additional 1.4 million shares during the quarter. Since the inception of our share repurchase program, we have repurchased approximately 5 million shares (approximately 4% of total share outstanding) at an average price of $4.26 per share. Our balance sheet remains well positioned with ample liquidity and no debt maturities until 2028," continued Mr. Stanner. First Quarter 2026 Summary Net Loss: Net loss attributable to common stockholders was $10.4 million, or $0.10 per diluted share, compared to net loss of $4.7 million, or $0.04 per diluted share, for the first quarter of 2025. Pro forma RevPAR: Pro forma RevPAR increased 0.2 percent to $126.57 compared to the first quarter of 2025. Pro forma ADR increased 1.5 percent to $176.85 compared to the same period in 2025, and pro forma occupancy decreased 1.3 percent to 71.6 percent. Pro Forma Hotel EBITDA(1): Pro forma hotel EBITDA decreased to $63.4 million from $65.1 million in the same period in 2025. Adjusted EBITDAre(1): Adjusted EBITDAre decreased to $44.2 million from $45.0 million in the first quarter of 2025. Adjusted FFO(1): Adjusted FFO decreased to $25.5 million, or $0.21 per diluted share, compared to $27.4 million, or $0.22 per diluted share, in the first quarter of 2025. The Company's results for the three months ended March 31, 2026 and 2025 are as follows (in thousands, except per share amounts and metrics): Transaction Activity In April 2026, we entered into a purchase and sale agreement to sell the wholly-owned 103-guestroom Courtyard by Marriott, Dallas (Arlington South), TX and the 96-guestroom Residence Inn, Dallas (Arlington South), TX for a combined selling price of $19.0 million. The sales price for the transaction represents a 5.0 percent capitalization rate based on the net operating income for the trailing twelve months ended March 31, 2026, and after consideration of foregone near-term required capital expenditures. The transaction is expected to close in the third quarter of 2026. In February 2026, the Company completed the sale of the 122-guestroom Hilton Garden Inn Longview, Texas, which was owned by the Company's joint venture with GIC, for $12.3 million. The sales price for the transaction represented a 6.8 percent capitalization rate based on the net operating income for the trailing twelve months ended January 31, 2026, and after consideration of foregone near-term required capital expenditures. Since 2023, the Company and its affiliates have sold, or are under contract to sell, 15 hotels for a combined sales price of approximately $218 million at a blended capitalization rate of approximately 4.6 percent, inclusive of an estimated $68 million of foregone capital needs, based on the trailing twelve-month net operating income at the time of each sale. The combined RevPAR for the sold hotels was $86, which is an approximate 30 percent discount to the current pro forma portfolio. Capital Markets Activity Repayment of Convertible Notes On February 17, 2026, the Company fully repaid its $287.5 million 1.5% Convertible Notes utilizing its $275.0 million Delayed Draw Term Loan and Corporate Revolver. Stock Repurchases During the first quarter, the Company repurchased 1.4 million common shares under its share repurchase program for an aggregate purchase price of $6.0 million, or a weighted average price of approximately $4.17 per share. As of March 31, 2026, approximately $28.6 million remained available for repurchase under this program. Since the inception of our share repurchase program in 2025, we have repurchased approximately 5.0 million shares (approximately 4% of total share outstanding) at an average price of $4.26 per share. Balance Sheet Summary On a pro rata basis as of March 31, 2026, the Company had the following outstanding indebtedness: Outstanding debt of $1.1 billion with a weighted average interest rate of 5.53 percent. After giving effect to interest rate derivative agreements, $539.2 million, or 50 percent, of our outstanding debt had a fixed interest rate, and $545.0 million, or 50 percent, had a variable interest rate. Unrestricted cash and cash equivalents of $34.8 million. Common and Preferred Dividend Declaration On April 23, 2026, the Company declared a quarterly cash dividend of $0.08 per share on its common stock and per common unit of limited partnership interest in Summit Hotel OP, LP. The quarterly dividend of $0.08 per share represents an annualized dividend yield of 6.4 percent, based on the closing price of shares of the common stock on April 29, 2026. In addition, the Board of Directors declared a quarterly cash dividend of: $0.390625 per share on its 6.25% Series E Cumulative Redeemable Preferred Stock $0.3671875 per share on its 5.875% Series F Cumulative Redeemable Preferred Stock $0.328125 per unit on its 5.25% Series Z Cumulative Perpetual Preferred Units The dividends are payable on May 29, 2026, to holders of record as of May 15, 2026. 2026 Outlook The Company's updated outlook for the full year 2026 is based on the 94 lodging assets owned as of March 31, 2026, including the Courtyard by Marriott and Residence Inn Dallas (Arlington South) for which we have entered into an agreement to sell the two hotels. The sale is expected to close in the third quarter and will result in approximately $500,000 of foregone Hotel EBITDA from the closing date through the end of the year, which is not reflected in the updated guidance ranges. Based on first quarter actual results and recent operating trends, the Company is increasing the low end and implied midpoint of its guidance ranges. There are no additional acquisitions, dispositions, share repurchases, or capital markets activities assumed in the Company's full year 2026 outlook. First Quarter 2026 Earnings Conference Call The Company will conduct its quarterly conference call on May 1, 2026, at 12:00 PM ET. Supplemental Disclosures In conjunction with this press release, the Company has furnished a financial supplement with additional disclosures on its website. Visit www.shpreit.com for more information. The Company has no obligation to update any of the information provided to conform to actual results or changes in portfolio, capital structure, or future expectations. About Summit Hotel Properties Summit Hotel Properties, Inc. is a publicly traded real estate investment trust focused on owning premium-branded lodging facilities with efficient operating models primarily in the upscale segment of the lodging industry. As of April 30, 2026, the Company's portfolio consisted of 94 assets, 52 of which are wholly owned, with a total of 14,226 guestrooms located in 24 states. For additional information, please visit the Company's website, www.shpreit.com, and follow on X at @SummitHotel_INN. Forward-Looking Statements This press release contains statements that are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "seek," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," "forecast," "continue," "plan," "likely," "would" or other similar words or expressions. Forward-looking statements are based on certain assumptions and can include future expectations, future plans and strategies, financial and operating projections, or other forward-looking information. Examples of forward-looking statements include the following: the Company's ability to realize growth from the deployment of renovation capital; projections of the Company's revenues and expenses, capital expenditures or other financial items; descriptions of the Company's plans or objectives for future operations, acquisitions, dispositions, financings, redemptions or services; forecasts of the Company's future financial performance and potential increases in average daily rate, occupancy, RevPAR, room supply and demand, EBITDAre, Adjusted EBITDAre, FFO and AFFO; the Company's outlook with respect to pro forma RevPAR, pro forma RevPAR growth, RevPAR, RevPAR growth, AFFO, AFFO per diluted share and unit and renovation capital deployed; and descriptions of assumptions underlying or relating to any of the foregoing expectations regarding the timing of their occurrence. These forward-looking statements are subject to various risks and uncertainties, not all of which are known to the Company and many of which are beyond the Company's control, which could cause actual results to differ materially from such statements. These risks and uncertainties include, but are not limited to, the state of the U.S. economy, supply and demand in the hotel industry, and other factors as are described in greater detail in the Company's filings with the Securities and Exchange Commission ("SEC"). Unless legally required, the Company disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise. For information about the Company's business and financial results, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of the Company's Annual Report on Form 10-K for the year ended December 31, 2025, filed with the SEC, and its quarterly and other periodic filings with the SEC. The Company undertakes no duty to update the statements in this release to conform the statements to actual results or changes in the Company's expectations. Non-GAAP Financial Measures We disclose certain "non-GAAP financial measures," which are measures of our historical financial performance. Non-GAAP financial measures are financial measures not prescribed by Generally Accepted Accounting Principles ("GAAP"). These measures are as follows: (i) Funds From Operations ("FFO") and Adjusted Funds from Operations ("AFFO"), (ii) Earnings before Interest, Taxes, Depreciation and Amortization ("EBITDA"), Earnings before Interest, Taxes, Depreciation and Amortization for Real Estate ("EBITDAre"), Adjusted EBITDAre, and hotel EBITDA (as described below). We caution investors that amounts presented in accordance with our definitions of non-GAAP financial measures may not be comparable to similar measures disclosed by other companies, since not all companies calculate these non-GAAP financial measures in the same manner. Our non-GAAP financial measures should be considered along with, but not as alternatives to, net income (loss) as a measure of our operating performance. Our non-GAAP financial measures may include funds that may not be available for our discretionary use due to functional requirements to conserve funds for capital expenditures, property acquisitions, debt service obligations and other commitments and uncertainties. Although we believe that our non-GAAP financial measures can enhance the understanding of our financial condition and results of operations, these non-GAAP financial measures are not necessarily better indicators of any trend as compared to a comparable measure prescribed by GAAP such as net income (loss). Funds From Operations ("FFO") and Adjusted FFO ("AFFO") As defined by Nareit, FFO represents net income or loss (computed in accordance with GAAP), excluding preferred dividends, gains (or losses) from sales of real property, impairment losses on real estate assets, items classified by GAAP as extraordinary, the cumulative effect of changes in accounting principles, plus depreciation and amortization related to real estate assets, and adjustments for unconsolidated partnerships, and joint ventures. AFFO represents FFO excluding amortization of deferred financing costs, franchise fees, equity-based compensation expense, debt transaction costs, premiums on redemption of preferred shares, losses from net casualties, non-cash lease expense, non-cash interest income and non-cash income tax related adjustments to our deferred tax assets. Unless otherwise indicated, we present FFO and AFFO applicable to our common shares and common units. We present FFO and AFFO because we consider FFO and AFFO an important supplemental measure of our operational performance and believe it is frequently used by securities analysts, investors, and other interested parties in the evaluation of REITs, many of which present FFO and AFFO when reporting their results. FFO and AFFO are intended to exclude GAAP historical cost depreciation and amortization, which assumes that the value of real estate assets diminishes ratably over time. Historically, however, real estate values have risen or fallen with market conditions. Because FFO and AFFO exclude depreciation and amortization related to real estate assets, gains and losses from real property dispositions and impairment losses on real estate assets, FFO and AFFO provide performance measures that, when compared year over year, reflect the effect to operations from trends in occupancy, guestroom rates, operating costs, development activities and interest costs, providing perspective not immediately apparent from net income. Our computation of FFO differs slightly from the computation of Nareit-defined FFO related to the reporting of corporate depreciation and amortization expense. Our computation of FFO may also differ from the methodology for calculating FFO used by other equity REITs and, accordingly, may not be comparable to such other REITs. FFO and AFFO should not be considered as an alternative to net income (loss) (computed in accordance with GAAP) as an indicator of our liquidity, nor is it indicative of funds available to fund our cash needs, including our ability to pay dividends or make distributions. Where indicated in this release, FFO is based on our computation of FFO and not the computation of Nareit-defined FFO unless otherwise noted. EBITDA, EBITDAre, Adjusted EBITDAre, and Hotel EBITDA In September 2017, Nareit proposed a standardized performance measure, called EBITDAre, which is based on EBITDA and is expected to provide additional relevant information about REITs as real estate companies in support of growing interest among generalist investors. The conclusion was reached that, while dedicated REIT investors have long been accustomed to utilizing the industry's supplemental measures such as FFO and net operating income ("NOI") to evaluate the investment quality of REITs as real estate companies, it would be helpful to generalist investors for REITs as real estate companies to also present EBITDAre as a more widely known and understood supplemental measure of performance. EBITDAre is intended to be a supplemental non-GAAP performance measure that is independent of a company's capital structure and will provide a uniform basis for one measurement of the enterprise value of a company compared to other REITs. EBITDAre, as defined by Nareit, is calculated as EBITDA, excluding: (i) loss and gains on disposition of property and (ii) asset impairments, if any. We believe EBITDAre is useful to an investor in evaluating our operating performance because it provides investors with an indication of our ability to incur and service debt, to satisfy general operating expenses, to make capital expenditures and to fund other cash needs or reinvest cash into our business. We also believe it helps investors meaningfully evaluate and compare the results of our operations from period to period by removing the effect of our asset base (primarily depreciation and amortization) from our operating results. We make additional adjustments to EBITDAre when evaluating our performance because we believe that the exclusion of certain additional non-recurring or unusual items described below provides useful supplemental information to investors regarding our on-going operating performance. We believe that the presentation of Adjusted EBITDAre, when combined with the primary GAAP presentation of net income, is useful to an investor in evaluating our operating performance because it provides investors with an indication of our ability to incur and service debt, to satisfy general operating expenses, to make capital expenditures and to fund other cash needs or reinvest cash into our business. We also believe it helps investors meaningfully evaluate and compare the results of our operations from period to period by removing the effect of our asset base (primarily depreciation and amortization) from our operating results. With respect to hotel EBITDA, we believe that excluding the effect of corporate-level expenses and non-cash items provides a more complete understanding of the operating results over which individual hotels and operators have direct control. We believe the property-level results provide investors with supplemental information on the on-going operational performance of our hotels and effectiveness of the third-party management companies operating our business on a property-level basis. We caution investors that amounts presented in accordance with our definitions of EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA may not be comparable to similar measures disclosed by other companies, since not all companies calculate these non-GAAP measures in the same manner. EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA should not be considered as an alternative measure of our net income (loss) or operating performance. EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA may include funds that may not be available for our discretionary use due to functional requirements to conserve funds for capital expenditures and property acquisitions and other commitments and uncertainties. Although we believe that EBITDA, EBITDAre, adjusted EBITDAre, and hotel EBITDA can enhance your understanding of our financial condition and results of operations, these non-GAAP financial measures are not necessarily a better indicator of any trend as compared to a comparable GAAP measure such as net income (loss). Above, we include a quantitative reconciliation of EBITDA, EBITDAre, adjusted EBITDAre and hotel EBITDA to the most directly comparable GAAP financial performance measure, which is net income (loss) and operating income (loss). View original content to download multimedia:https://www.prnewswire.com/news-releases/summit-hotel-properties-reports-first-quarter-2026-results-302759170.html