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Sotherly Hotels Inc (SOHO+1.86%). has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing an increase in total revenue to $40.7 million from $39.2 million in the same quarter the previous year. The increase is attributed to a rise in room occupancy and higher food and beverage revenues.
Hotel operating expenses for the quarter were $32.6 million, compared to $31.6 million in the same quarter of the previous year. This increase was primarily due to higher room and food and beverage expenses.
Net loss for the quarter was $3.7 million, compared to a net loss of $2.1 million in the previous year. The increase in net loss is attributed to higher interest expenses and a decrease in unrealized gains on hedging activities.
Cash provided by operating activities was $21.4 million for the nine months ended September 30, 2024. Cash used in investing and financing activities was $9.8 million and $5.3 million, respectively.
Sotherly had a working capital of $14.0 million as of September 30, 2024. The company expects its cash on hand and cash flow from operations to be adequate to fund continuing operations and routine capital expenditures.
The filing also details various financial agreements, including a $35.0 million mortgage loan secured for the Hotel Alba Tampa and a $26.25 million mortgage loan for the DoubleTree by Hilton (HLT+0.30%) Jacksonville Riverfront.
Sotherly continues to focus on maintaining its portfolio of hotels, which includes ten full-service hotels and two condominium hotels, primarily located in the southern United States.
The company has declared quarterly distributions on its preferred stock, with payments scheduled for December 16, 2024.
Sotherly is currently in compliance with all debt covenants, except for a covenant default under the mortgage on the DoubleTree by Hilton Jacksonville Riverfront, which it plans to address with a prepayment or cash collateral.
The company does not anticipate cash dividend payments to common stockholders in the near future, as it prioritizes reducing cumulative unpaid dividends on its preferred stock.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Sotherly Hotels Inc. quarterly 10-Q report dated November 18, 2024. To report an error, please email earnings@qz.com.