Adjusted EBITDA for the quarter was $183 million and adjusted FFO per share was $0.64, both exceeding expectations.
July preliminary RevPAR declined approximately 4%, including renovation disruption at Royal Palm South Beach.
Q2 RevPAR was relatively flat year-over-year excluding Royal Palms South Beach, which suspended operations for renovation.
Q3 RevPAR is expected to decline by approximately 4% to 5%, with group pace down 14%, the weakest quarter of the year.
Q4 RevPAR growth is expected to reaccelerate to 3% to 5%, supported by an 18% increase in group revenue pace.
The sale of Hyatt Centric Fisherman's Wharf for $80 million at a 64x 2024 EBITDA multiple demonstrated strong underlying real estate value.
Total expense growth was just 40 basis points for the quarter or 1% excluding Royal Palm South Beach, marking the second consecutive quarter with expense growth of approximately 1% or less.
Total hotel revenues for the quarter were $645 million and hotel adjusted EBITDA was $191 million, with an adjusted EBITDA margin of 29.6%.
Adjusted EBITDA was $73.5 million, exceeding the high end of outlook, with Progressive Leasing adjusted EBITDA at $69.7 million or 12.2% of revenue.
Four Technologies delivered over 200% revenue growth and 167% GMV growth year-over-year, achieving profitability in Q1 and Q2 2025.
Gross margin for Progressive Leasing was 32.4%, down 15 basis points year-over-year, impacted by increased 90-day purchase option utilization and Big Lots loss.
Non-GAAP EPS was $1.02, significantly exceeding the outlook range of $0.75 to $0.85 per share.
PROG Holdings delivered revenue and earnings above the high end of guidance in Q2 2025, with consolidated revenue of $604.7 million, representing low single-digit growth year-over-year.
Progressive Leasing segment GMV was $413.9 million, down 8.9% year-over-year due to Big Lots bankruptcy and tightening actions, but up approximately 1% excluding Big Lots impact.
SG&A expenses increased to $78.9 million or 13.8% of revenue, reflecting investments in technology and sales enablement.
Write-offs came in at 7.5%, 20 basis points better than last year, within the targeted annual range of 6% to 8%.
Dafinchi