RLJ Lodging Trust Earnings: Here’s Why Investors are Happy Now

RLJ Lodging Trust (NYSE:RLJ) 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. Shares are up 0.43%.

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RLJ Lodging Trust Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $0.41 in the quarter versus EPS of $-0.06 in the year-earlier quarter.

Revenue: Rose 17.86% to $215.9 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: RLJ Lodging Trust reported adjusted EPS income of $0.41 per share. By that measure, the company beat the mean analyst estimate of $0.03. It beat the average revenue estimate of $208.11 million.

Quoting Management: “Once again our value-add strategies and well diversified portfolio resulted in outsized performance this quarter. The groundwork that we set forth in 2011 and 2012 through acquisitions, capital investments, and proactive balance sheet management continue to serve as a strong tailwind,” commented Thomas J. Baltimore, Jr., President and Chief Executive Officer. “We remain committed to being prudent capital allocators and delivering long-term shareholder value through targeted acquisitions and strategic capital investments.”

Key Stats (on next page)…

Revenue decreased 2.98% from $222.54 million in the previous quarter. EPS increased 215.38% from $0.13 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.27 to a profit $0.3. For the current year, the average estimate has moved up from a profit of $0.65 to a profit of $0.75 over the last ninety days.

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