$SVC

HOSPITALITY PROPERTIES TRUST

CIK:0000945394|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenues:
Hotel operating revenues	$ 320,071	$ 404,405	$ 584,646	$ 739,368
Rental income	100,903	99,031	200,779	199,247
Total revenues	420,974	503,436	785,425	938,615
Expenses:
Hotel operating expenses	264,654	328,913	507,298	634,753
Net lease operating expenses	6,046	5,439	13,486	11,067
Depreciation and amortization	77,083	75,030	152,926	164,130
General and administrative	11,093	10,218	19,889	19,774
Transaction related costs	463	1,345	2,972	1,456
Loss on asset impairment	189,097	17,654	217,192	54,721
Total expenses	548,436	438,599	913,763	885,901
(Loss) gain on sale of real estate, net	(383)	(156)	972	590
Interest income	1,165	822	2,108	2,071
Interest expense (including amortization of debt issuance costs, discounts and premiums of $18,822, $9,900, $37,671 and $18,580, respectively)	(87,655)	(102,679)	(184,202)	(204,196)
Loss on early extinguishment of debt, net	(9,383)	0	(61,254)	0
Loss before income tax benefit (expense) and equity in losses of an investee	(223,718)	(37,176)	(370,714)	(148,821)
Income tax benefit (expense)	132	(457)	(1,049)	(1,300)
Equity in losses of an investee	(252)	(526)	(3,253)	(4,473)
Segment profit (loss)	(223,838)	(38,159)	(375,016)	(154,594)
Other comprehensive (loss) income:
Equity interest in investee’s unrealized (losses) gains	(71)	155	(57)	308
Other comprehensive (loss) income	(71)	155	(57)	308
Comprehensive loss	$ (223,909)	$ (38,004)	$ (375,073)	$ (154,286)
Weighted average common shares outstanding (basic) (in shares)	128,085	33,148	80,944	33,135
Weighted average common shares outstanding (diluted) (in shares)	128,085	33,148	80,944	33,135
Net loss per common share (basic) (in dollars per share)	$ (1.75)	$ (1.15)	$ (4.63)	$ (4.67)
Net loss per common share (diluted) (in dollars per share)	$ (1.75)	$ (1.15)	$ (4.63)	$ (4.67)

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash flows from operating activities:
Net loss	$ (375,016)	$ (154,594)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization	152,926	164,130
Net amortization of debt issuance costs, discounts and premiums as interest	37,671	18,580
Straight line rental income	(3,309)	(6,561)
Loss on early extinguishment of debt, net	61,254	0
Loss on asset impairment	217,192	54,721
Equity in losses of an investee	3,253	4,473
Gain on sale of real estate, net	(972)	(590)
Other non-cash income, net	(985)	(990)
Changes in assets and liabilities:
Due from related persons	(17,508)	(25,308)
Other assets	(242)	587
Accounts payable and other liabilities	(25,286)	(17,456)
Due to related persons	(5,136)	1,201
Net cash provided by operating activities	43,842	38,193
Cash flows from investing activities:
Real estate improvements	(76,863)	(107,991)
Hotel managers’ purchases with restricted cash	(3,870)	(2,064)
Real estate acquisitions and deposits	(9,708)	(31,353)
Net proceeds from sale of real estate	20,366	47,101
Net cash used in investing activities	(70,075)	(94,307)
Cash flows from financing activities:
Proceeds from mortgage notes payable, net of discounts	744,980	0
Repayment of mortgage notes payable	(1,489)	(979)
Repayments of senior unsecured notes	(1,596,104)	0
Borrowings under variable funding note	0	45,000
Borrowings under revolving credit facility	50,000	50,000
Repayments of revolving credit facility	(25,000)	(100,000)
Payment of debt issuance costs	(23,132)	(5,866)
Repurchase of common shares	(80)	(63)
Issuance of common shares, net	541,798	0
Distributions to common shareholders	(8,152)	(3,333)
Net cash used in financing activities	(317,179)	(15,241)
Decrease in cash and cash equivalents and restricted cash	(343,412)	(71,355)
Cash and cash equivalents and restricted cash at beginning of period	372,088	157,386
Cash and cash equivalents and restricted cash at end of period	$ 28,676	$ 86,031

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands

Jun. 30, 2026

Dec. 31, 2025

Real estate properties:

Land

$ 1,730,113

$ 1,750,799

Buildings, improvements and equipment

5,861,871

6,198,233

Total real estate properties, gross

7,591,984

7,949,032

Accumulated depreciation

(2,432,406)

(2,442,966)

Total real estate properties, net

5,159,578

5,506,066

Acquired real estate leases and other intangibles, net

92,320

100,044

Assets of properties held for sale

121,977

94,366

Cash and cash equivalents

5,511

346,813

Restricted cash

23,165

^[1]

25,275

Equity method investment

108,486

111,796

Due from related persons

17,749

241

Other assets, net

309,699

306,979

Total assets

5,838,485

6,491,580

LIABILITIES AND SHAREHOLDERS’ EQUITY

Unsecured debt, net

1,702,603

3,233,683

Secured debt, net

2,876,434

2,100,745

Liabilities of properties held for sale

3,161

5,329

Total liabilities

5,032,030

5,845,456

Commitments and contingencies

Shareholders’ equity:

Common shares of beneficial interest, $.01 par value; 900,000,000 and 200,000,000 shares authorized, respectively; 129,527,433 and 33,614,025 shares issued and outstanding, respectively

1,295

336

Additional paid in capital

5,107,313

4,564,716

Cumulative other comprehensive income

2,011

2,068

Cumulative net income

1,617,637

1,992,653

Cumulative common distributions

(5,921,801)

(5,913,649)

Total shareholders’ equity

806,455

646,124

Total liabilities and shareholders’ equity

5,838,485

6,491,580

Nonrelated Party

LIABILITIES AND SHAREHOLDERS’ EQUITY

Accounts payable and other liabilities and due to related persons

437,188

458,908

Accounts payable and other liabilities and due to related persons

$ 12,644

$ 46,791

[1]	Restricted cash consists of amounts escrowed pursuant to the terms of our hotel management agreements to fund capital improvements at our hotels and amounts escrowed as required by certain of our debt agreements.