Sunstone Hotel Investors experienced a decline in net income and EPS in the second quarter of 2025 compared to the same period last year, primarily due to a loss on asset sale. Despite this, the company saw a slight increase in RevPAR and continued its share repurchase program, demonstrating a focus on capital recycling and shareholder value.
Net income for Q2 2025 decreased by 58.8% to $10.8 million, down from $26.1 million in Q2 2024, largely impacted by an $8.8 million loss on the sale of assets.
Diluted EPS fell significantly by 72.7% to $0.03 in Q2 2025, compared to $0.11 in Q2 2024.
RevPAR for the total portfolio increased by 2.2% to $241.22 in Q2 2025, up from $235.97 in Q2 2024, driven by solid corporate group and business travel demand.
The company repurchased 10,301,090 shares of its common stock for $90.2 million during the second quarter, as part of its capital recycling strategy.
Sunstone Hotel Investors has updated its full-year 2025 outlook, anticipating lower net income and RevPAR growth compared to previous guidance, primarily due to softer leisure demand and specific market headwinds.
Analyze how earnings announcements historically affect stock price performance