Note 15 - Segment Information

3 Months Ended

Mar. 31, 2025

Notes to Financial Statements

Segment Reporting Disclosure [Text Block]

15.         Segment Information

Management evaluates the Company's hotels as a single reportable segment as a result of aggregating multiple operating segments, because all of the Company's hotels have similar economic characteristics and provide similar services to similar types of customers. Our single reportable segment comprises the structure used by our Chief Executive Officer, Chief Operating Officer and Chief Financial Officer, who collectively have been determined to be our Chief Operating Decision Maker ("CODM"), to make key operating decisions and assess performance. Our CODM evaluates our single reportable segment's operating performance based on individual hotel property net income (loss) before interest expense, income tax expense, depreciation and amortization, corporate general and administrative expense, impairment loss, loss on early extinguishment of debt, other charges, interest and other income, and gains or losses on sales of hotel properties ("Adjusted Hotel EBITDA"). Our single reportable segment's assets are consistent with total assets included in the Company's consolidated balance sheets.

The following table includes revenue, significant hotel operating expenses, and Adjusted Hotel EBITDA for the Company’s hotels, reconciled to Net income (loss) (in thousands):

	For the three months ended
	March 31,
	2025			2024
Revenue:
Room	$	62,418		$	62,483
Food and beverage		1,659			1,846
Other		4,281			3,836
Total hotel property level revenue (1)		68,358			68,165
Expenses:
Room		14,828			15,133
Food and beverage		1,437			1,483
Telephone		311			319
Other hotel operating		1,025			819
General and administrative		6,911			7,166
Franchise and marketing fees		5,431			5,489
Advertising and promotions		1,607			1,343
Utilities		3,153			3,009
Repairs and maintenance		3,959			3,954
Management fees paid to related parties		2,290			2,309
Insurance		827			820
Property taxes, ground rent and insurance		5,744			5,293
Total hotel property level expenses		47,523			47,137
Adjusted Hotel EBITDA	$	20,835		$	21,028
Reconciliation of Adjusted Hotel EBITDA to net income (loss)
Interest expense, including amortization of deferred fees		(6,852	)		(7,307	)
Depreciation and amortization		(15,032	)		(15,255	)
Corporate general and administrative		(4,606	)		(4,594	)
Other charges		(7	)		(50	)
Interest and other income		63			846
Gain on sale of hotel properties		7,118			(152	)
Net income (loss)	$	1,519		$	(5,484	)

(1) The difference between total hotel property level revenue and total revenue on the consolidated statements of operations is due to reimbursable costs from related parties of $0.3 million and $0.3 million for the three months ended March 31, 2025 and 2024, respectively.