The company’s performance benefited from a 7.0% increase in comparable RevPAR and tight control over operating expenses, which grew by only 1.8% during the period. CEO Jeffrey J. Donnelly credited the results to the firm's '2.0 strategy,' noting that free cash flow has climbed 30% over the last twelve months. A one-time $6.9 million boost from settled property tax appeals in Chicago also contributed to the quarterly gains.
In section Releases
DiamondRock Hospitality Raises Full-Year Guidance Amid Dividend Hike
Bethesda-based DiamondRock Hospitality Company reported a 135.7% surge in net income for the second quarter of 2026, reaching $90.5 million. Bolstered by strong group and transient demand across its 34-hotel portfolio, the lodging REIT has increased its full-year guidance and boosted its quarterly common dividend by 22%.
DiamondRock continues to refine its asset base, finalizing the $33 million sale of the Courtyard New York Manhattan/Fifth Avenue in May. Management now expects full-year 2026 Adjusted EBITDA to fall between $310 million and $320 million, a notable upgrade from previous projections. The company remains active in capital management, having authorized a $300 million share repurchase program earlier this year, while maintaining a flexible balance sheet with $106 million in unrestricted cash.
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