Summit Hotel Properties Reports Second Quarter 2020 Results

AUSTIN, Texas - Summit Hotel Properties, Inc. (NYSE: INN) (the "Company"), today announced results for the second quarter ended June 30, 2020.

"The lodging industry experienced an unprecedented decline in demand during the second quarter as the spread of COVID-19 forced widespread shutdowns and eliminated the majority of non-essential travel. We were pleased with our ability to quickly adapt and navigate through this very challenging operating environment, allowing us to keep nearly all of our hotels open and gain considerable market share during the quarter. Occupancy and RevPAR levels improved sequentially throughout the quarter driven predominately by weekend leisure demand, particularly outside of core urban markets," said Dan Hansen, the Company's Chairman, President and Chief Executive Officer. "As RevPAR trends have improved from trough levels in April, our monthly cash burn rate has been reduced by nearly 40%, and with approximately $270 million of liquidity, we have 38 months of runway at current RevPAR levels. Despite the effects of the current pandemic, we remain bullish on the prospects of our business and believe our actions in response to the crisis position us well to take advantage of opportunities as we enter the recovery," commented Mr. Hansen.

Second Quarter 2020 Summary

• Net Income: Net loss attributable to common stockholders was $54.1 million, or ($0.52) per diluted share, compared with net income of $45.2 million, or $0.43 per diluted share, in the same period of 2019.
• Pro Forma RevPAR: Pro forma revenue per available room ("RevPAR") decreased 83.0 percent to $23.20 from the same period in 2019. Pro forma average daily rate ("ADR") decreased 42.5 percent to $95.57 compared to the same period in 2019, and pro forma occupancy decreased 70.5 percent to 24.3 percent.
• Same-Store RevPAR: Same-store RevPAR decreased 83.3 percent to $22.44 from the same period in 2019. Same-store ADR decreased 42.6 percent to $94.30 compared to the same period in 2019, and same-store occupancy decreased 70.9 percent to 23.8 percent.
• Pro Forma Hotel EBITDA: Pro forma hotel EBITDA was ($10.0) million compared to $60.9 million in the same period in 2019.
• Adjusted EBITDAre: Adjusted EBITDAre was ($12.8) million compared to $52.4 million in the same period of 2019.
• Adjusted FFO: AFFO was ($25.9) million, or ($0.25) per diluted share, compared to $38.6 million, or $0.37 per diluted share, in the same period of 2019.

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