DALLAS - Ashford Hospitality Trust, Inc. (NYSE: NYSE:AHT), a real estate investment trust specializing in upscale, full-service hotels, has reported preliminary results for the fourth quarter of 2024, showcasing a moderate increase in revenue per available room (RevPAR). The company announced today an approximate 3.0% rise in RevPAR for the quarter compared to the same period in 2023. According to InvestingPro analysis, AHT currently trades at an attractive P/E ratio of 2.02 and appears undervalued based on comprehensive Fair Value calculations.
The company's occupancy rate for the quarter stood at around 66%, with an average daily rate of $190, culminating in a RevPAR of approximately $126. Breaking down the quarterly performance, October 2024 saw a RevPAR increase of about 4.5% compared to October 2023, November 2024 witnessed a slight 0.4% increase over November 2023, and December 2024 experienced a 3.8% rise from December 2023. With trailing twelve-month revenue of $1.22 billion and a strong current ratio of 2.52, the company maintains solid liquidity despite the volatile hospitality market environment.
Stephen Zsigray, President and CEO of Ashford (NYSE:AINC) Trust, expressed satisfaction with the fourth-quarter performance, attributing the success to robust corporate and group demand and the company's diversified portfolio. Zsigray also highlighted the impact of the GRO AHT initiative, which has been instrumental in growing ancillary revenue streams, resulting in a total hotel revenue increase of approximately 4.4% for the quarter and 6.9% for December.
The company further mentioned the upcoming closure of its Series J and Series K non-traded preferred stock offering on March 31, 2025. Since the offering's inception in 2022, Ashford Trust has raised approximately $185 million in gross proceeds, with 6,799,638 shares of Series J and 601,175 shares of Series K preferred stock outstanding as of December 31, 2024.
This report is based on a press release statement from Ashford Hospitality Trust, Inc. and is intended to provide investors with a summary of the company's preliminary results for the fourth quarter of 2024. The forward-looking statements in the press release are made as of the date of the release and are subject to risks and uncertainties that could cause actual results to differ materially. For deeper insights into AHT's financial health and growth prospects, including 14 additional ProTips and comprehensive valuation metrics, visit InvestingPro, where you'll find detailed Pro Research Reports covering what really matters for smarter investment decisions.
In other recent news, Ashford Hospitality Trust has announced some significant developments. The company recently reported a revenue of $1.21 billion and a healthy current ratio of 2.52. The board of directors is undergoing a reshuffle, with Alan Tallis resigning from his position, effective from December 31, 2024. This change aligns with the company's broader strategy to streamline operations and enhance financial performance.
In addition to the board reshuffle, Ashford Hospitality Trust is also set to sell the Courtyard Boston Downtown for $123 million, a move that is part of the company's broader strategy and is expected to finalize in January 2025. The sale is expected to help deleverage the company's BAML Highland Pool (NASDAQ:POOL) loan and reduce capital expenditure obligations.
During its third-quarter earnings call for 2024, the company shared insights into its financial results and recent developments. The company's leadership, including CFO Deric Eubanks, President and CEO Stephen Zsigray, and Chris Nixon, Executive Vice President and Head of Asset Management, discussed performance and made forward-looking statements. These recent developments highlight Ashford Hospitality Trust's ongoing efforts to navigate market uncertainties while managing assets effectively.
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