Diamondrock Hospitality Earnings: Everything You Must Know Now

Diamondrock Hospitality Co. (NYSE:DRH) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company.

Diamondrock Hospitality Co. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 10% to $0.22 in the quarter versus EPS of $0.20 in the year-earlier quarter.

Revenue: Rose 20.83% to $224.2 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Diamondrock Hospitality Co. reported adjusted EPS income of $0.22 per share. By that measure, the company beat the mean analyst estimate of $0.21. It beat the average revenue estimate of $218.74 million.

Quoting Management: Mark W. Brugger, President and Chief Executive Officer of DiamondRock Hospitality Company, stated, “We are pleased with our second quarter operating results with RevPAR growing 6.7% and profit margins expanding 130 basis points, excluding hotels under renovation. We continue to see favorable lodging trends, particularly in the group segment, which led to stronger than expected performance at the Westin Boston and the Chicago Marriott Downtown.”

Key Stats (on next page)…

Revenue increased 23.66% from $181.3 million in the previous quarter. EPS increased 83.33% from $0.12 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.2 and has not changed. For the current year, the average estimate has moved down from a profit of $0.73 to a profit of $0.72 over the last ninety days.

Stocks with improving earnings metrics are worthy of your extra attention. In fact, “E = Earnings Are Increasing Quarter-Over-Quarter” is a core component of our CHEAT SHEET investing framework for this very reason. Don’t waste another minute – click here and get our CHEAT SHEET stock picks now.

(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)