The company’s performance reflects a mixed landscape of rising operational costs and robust travel demand. While net loss stood at $19.3 million compared to a $55.2 million profit in the same quarter last year, Same-Property RevPAR grew by 5.6% to $206.54. Adjusted FFO per diluted share rose to $0.61, marking a 7.0% increase. Xenia’s Chairman and CEO Marcel Verbaas emphasized that the results outperformed internal expectations, driven by a diverse market presence and successful value-add projects, including the high-profile renovation of the Grand Hyatt Scottsdale Resort.

Looking ahead, Xenia has raised its full-year 2026 Adjusted EBITDAre guidance midpoint by $7 million. This upward adjustment is supported by a strong start to the third quarter, with management estimating a 10% increase in Same-Property RevPAR for July alone. To maintain balance sheet flexibility, the company continues to execute on its transaction strategy, including the recent sale of the Kimpton RiverPlace Hotel in Portland, Oregon, for $11 million.