Thu, Nov 14, 11:03 AM (126 days ago)
Stirling Hotels & Resorts, Inc. (ticker: SHRI) reported its Q3 2024 results, revealing a net loss of $1,225,000 for the quarter and $1,985,000 for the nine months ended September 30, 2024. Total revenue for Q3 was $4,285,000, a decline from $4,353,000 in Q3 2023, primarily due to a decrease in average daily rate (ADR) despite a slight increase in occupancy. Operating expenses were $4,813,000, up from $4,038,000 in Q3 2023, driven by higher depreciation and advisory service fees. The company's equity in Stirling REIT OP, LP showed a loss of $1,225,000 for Q3, attributed to increased expenses and interest costs. Cash flow from operations was positive at $540,000 for the nine months, but investing activities consumed $4.6 million for capital improvements. The company maintains a strong liquidity position with $4.1 million in cash and cash equivalents. Looking ahead, the company is focused on its ongoing private offering and plans to qualify as a REIT in 2025, which could enhance its capital structure and operational flexibility.