DiamondRock Hospitality Company Earnings Recaps
Q3 2026
Nov 5, 2026
DiamondRock’s third-quarter results were positive, but the +0.8% share move was roughly flat. RevPAR and earnings grew, while management also noted higher-than-expected expenses and gave only a partial view of its increased 2026 guidance in the available transcript.
Key takeaways
- Comparable RevPAR rose 6.6% and total RevPAR 6.5%; occupancy increased 200 basis points and rate improved 3.8%.
- Hotel adjusted EBITDA grew 12.5%, with 166 basis points of margin expansion. Adjusted FFO per share was $0.32, up more than 10% year over year.
- Transient revenue increased 8.3%, while group revenue rose 1%; group room nights declined modestly, offset by a 2.8% rate increase.
- Resort RevPAR grew 8.4% and urban RevPAR 5.8%. Total expenses rose 3.9%, higher than management expected in absolute dollars, largely due to stronger business volumes.
- The company raised its 2026 RevPAR growth outlook to 4.75%–5.25%, up 175 basis points at the midpoint. It ended the quarter at 3x net debt to EBITDA and acquired the Bellmoor Inn & Spa for $31 million on October 1.
Q3 2025
Nov 8, 2025
DiamondRock Hospitality's Q3 2025 results surpassed expectations, driven by strong out-of-room revenue growth and effective cost management, despite a slight decline in RevPAR.
Key takeaways
- Corporate adjusted EBITDA reached $79.1 million, while adjusted FFO per share was $0.29, exceeding projections.
- Out-of-room revenues increased by 5.1%, contributing to a total RevPAR growth of 1.5%.
- Urban properties achieved RevPAR growth of 0.6%, with strong performance noted in September, highlighting a recovery trend.
- Successful refinancing efforts have led to a fully unencumbered portfolio, improving financial flexibility.
- The company continues to repurchase shares and expects a quarterly dividend consistent with a reduced payout ratio, targeting sustainable capital allocation.