Chatham Lodging Trust (CLDT) investor relations material

Executive summary

• Delivered strong Q1 2026 results with record RevPAR and margin gains, driven by robust tech sector demand, successful integration of six newly acquired Hilton-branded hotels for $92 million, and portfolio expansion to 39 hotels in 18 states and D.C.

• Raised full-year guidance by approximately 15% since February and increased the quarterly dividend by 11% to $0.10 per share, following a 28% increase in 2025.

• Aggressively repurchased shares, buying back 2.2 million shares (4% of equity) at an average price of $7.04, with $6.6 million spent in Q1 2026 and an additional 195,000 shares repurchased in April.

• Net loss attributable to common shareholders was $6.3 million, compared to a $0.5 million loss in Q1 2025, primarily due to prior-year asset sale gains.

• Portfolio diversification enhanced by new acquisitions in Kentucky, Missouri, and Illinois, and four hotels were sold in 2025.

Financial highlights

• Q1 2026 hotel EBITDA was $21.4 million; adjusted EBITDA $18.4 million; adjusted FFO $10.1 million or $0.20 per share, all up year-over-year.

• Total revenue was $67.5 million, down 1.6% from $68.6 million in Q1 2025, mainly due to asset sales.

• GOP margin reached 42.2%, hotel EBITDA margin 31.8%–32%, both up year-over-year due to expense control and property tax refunds.

• Comparable hotel EBITDA grew 5% and margins gained 135 basis points year-over-year.

• Net cash provided by operating activities was $13.3 million, up from $4.2 million in Q1 2025.

Outlook and guidance

• 2026 guidance: RevPAR $140–$142 (0–2% growth), adjusted EBITDA $95.3M–$99.6M, adjusted FFO per share $1.21–$1.29, hotel EBITDA margins 35%.

• Q2 2026 RevPAR expected to increase 1%–2%; guidance reflects new acquisition but excludes future share repurchases or acquisitions.

• Plans to invest $20.5 million in renovations and improvements during the rest of 2026; full-year CapEx budget is $27 million.

• Short-term liquidity needs expected to be met through cash balances and credit facility availability.

• Conservative approach to event-driven upside; easier comps expected in several markets in the second half.