Braemar Hotels & Resorts Inc.

Hello, and thank you for standing by. My name is Regina, and I will be your conference operator today. At this time, I would like to welcome everyone to the Braymore Hotels and Resorts, Inc. Fourth Quarter 2025 Results Conference Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star, then the number one on your telephone keypad. To withdraw your question, press star one again. I would now like to turn the conference over to Allison Beach, Director of Public Relations. Please go ahead.

Good morning and welcome to today's call to review results for Braemar Hotels and Resorts for the fourth quarter and full year 2025 and to update you on recent developments. On the call today will be Richard Stockton, President and Chief Executive Officer, Derek Eubanks, Chief Financial Officer, and Chris Nixon, Executive Vice President and Head of Asset Management. The results, as well as the notice of accessibility of this conference call on a listen-only basis over the Internet, were distributed yesterday in a press release. At this time, let me remind you that certain statements and assumptions in this conference call contain or are based upon forward-looking information and are being made pursuant to the safe harbor provisions of the federal securities regulations. Such forward-looking statements are subject to numerous assumptions, uncertainties, and known or unknown risks. which could cause actual results to differ materially from those anticipated. These factors are more fully discussed in the company's filings with the Securities and Exchange Commission. The forward-looking statements included in this conference call are only made as of the date of this call and the company is not obligated to publicly update or revise them. Statements made during this call do not constitute an offer to sell or a solicitation of an offer to buy any securities. Securities will be offered only by means of a registration statement and prospectus, which can be found at www.sec.gov. In addition, certain terms used in this call are non-GAAP financial measures, reconciliations of which are provided in the company's earnings release and accompanying tables or schedules, which have been filed in Form 8K with the SEC on February 26, 2026. It may also be accessed through the company's website at www.vhrreek.com. Each listener is encouraged to review those reconciliations provided in the earnings release together with all other information provided in the release. Also, unless otherwise stated, all reported results discussed in this call compare the fourth quarter and full year ended December 31st, 2025 with the fourth quarter and full year ended December 31st, 2024. I will now turn the call over to Richard Stockton. Please go ahead, Richard.

Good morning and welcome to our 2025 fourth quarter and full year earnings conference call. Before I begin, I'd like to remind you that back in August, we announced the initiation of a sale process for Braemar. The company has engaged Robert W. Baird & Co. as its financial advisor, and the sale process has been initiated. As we highlighted in the press release, there's no deadline or definitive timetable set for completion of the sale process, and there can be no assurance that this process will result in a sale of the company or its assets. In the context of evaluating all potential options to create shareholder value, We have also appointed real estate broker co-advisors to evaluate the potential for individual asset sales in conjunction with the company's sale process. We look forward to providing an update as soon as the Board of Directors has approved next steps, a specific transaction, or determines that a development warrants public disclosure. With that said, let me begin today's call by providing a brief overview. Then Derek will provide a review of our financial results, and Chris will provide an update on our asset management activity. Afterwards, we'll open the call for Q&A. We have a few key themes for today's call. First, I'm pleased to report that while our comparable fourth quarter REVPAR was flat, our portfolio delivered 1.8% growth in comparable total revenue this quarter. Our resorts continued to deliver strong growth, with comparable fourth quarter REVPAR increasing 4.1% and comparable hotel EBITDA increasing 6%. Second, we had significant renovations in process at three hotels during the quarter, which significantly impacted our portfolio results. If you exclude hotels under renovation during the quarter, our RevPod growth was 2.6% and Comparable Hotel EBITDA increased 6.4%. Finally, our full year results were strong. Comparable total revenue growth was 2.8% and Comparable Hotel EBITDA growth was 3.1%. I'm very pleased with these results given the difficult operating environment we are currently seeing in the hospitality industry. Taking a closer look at our fourth quarter, our portfolio delivered strong, comparable rev par of $340, which was in line with the prior year quarter. Importantly, renovation activity significantly impacted our portfolio results as hotels not under renovation generated comparable rev par growth of 2.6%. Nine of our 13 hotels are considered resort destinations, and our luxury resort portfolio delivered strong fourth quarter performance. our resort portfolio reported comparable rev par of $536, a 4.1% increase over the prior year period, and comparable hotel EBITDA of $32.5 million, a 6% increase over the prior year period. The brightest spots within our resort portfolio this quarter included the Ritz Carlton Sarasota, which delivered impressive comparable rev par growth of approximately 26%. Both the Four Seasons Resort Scottsdale True North and the Bartisona Hotel and Spa performed exceptionally well, with each delivering comparable repar growth of approximately 12%. And our Ritz-Carlton Reserve Dorado Beach continued to be a standout, achieving comparable repar of $1,806, which reflected a 10% growth rate over the prior year quarter. This impressive performance was offset by some softness at hotels under renovation, including the Cameo Beverly Hills, Hotel Yonville, and Park High at Beaver Creek, which impacted our overall portfolio results. During the fourth quarter, We sold the 410-room Clancy in San Francisco for $115 million, or $280,000 per key. The sale represents a 5.2% capitalization rate on net operating income for the trailing 12 months ended September 30, 2025. In conjunction with that sale, the company paid down approximately $65 million of debt and retained approximately $44 million in net proceeds after payment of transfer taxes and transaction costs. We also recently completed the rebranding and strategic repositioning of our Cameo Beverly Hills to Hilton's luxury LXR brand. This transformation reflects our commitment to delivering an elevated guest experience, aligning the property with a world-class luxury standard, and enhancing its presence in the competitive high-end hospitality market. I'm also pleased to report that to date we have redeemed approximately $149 million of our non-traded preferred stock which represents approximately 32% of the original capital raise. We expect to continue to redeem these shares as we seek to deleverage our platform and improve our cash flow per share. We are pleased with the performance of our portfolio and believe the renovations that we have recently completed will drive strong performance going forward. I will now turn the call over to Derek to take you through our financials in more detail.