Company: PEB
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001474098-25-000070
Chunk: 61

Company: Pebblebrook Hotel Trust
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 2
Chunk 61
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 issuance costs of redeemed preferred shares, hurricane-related costs, non-cash interest expense and deferred tax asset provision (benefit). We believe Adjusted FFO provides useful supplemental information regarding our ongoing operating performance. 

The following table reconciles net income (loss) to FFO, FFO available to common share and unit holders and Adjusted FFO available to common share and unit holders for the three months ended March 31, 2025 and 2024 (in thousands):

 For the three months ended March 31, 20252024Net income (loss)$(32,180)$(27,520)Adjustments:Real estate depreciation and amortization57,487 57,126 FFO$25,307 $29,606 Distribution to preferred shareholders and unit holders(11,795)(11,795)FFO available to common share and unit holders$13,512 $17,811 Transaction costs2 4 Non-cash ground rent on operating and capital leases1,839 1,873 Management/franchise contract transition costs5 44 Interest expense adjustment for acquired liabilities324 263 Finance lease adjustment755 745 Non-cash amortization of acquired intangibles(472)(482)Early extinguishment of debt— 1,534 Amortization of share-based compensation expense3,219 3,060 Hurricane-related costs— 150 Deferred tax provision (benefit)(3,105)— Unrealized loss on investment2,662 — Adjusted FFO available to common share and unit holders$18,741 $25,002 

EBITDA is defined as earnings before interest, income taxes, depreciation and amortization. We calculate EBITDAre in accordance with standards established by Nareit. EBITDAre is defined as EBITDA as adjusted for gain on sale of hotel properties and impairment loss. Adjusted EBITDAre is defined as EBITDAre, as adjusted for transaction costs, non-cash ground rent on operating and capital leases, management/franchise contract transition costs, non-cash amortization of acquired intangibles, gain on insurance settlement, amortization of share-based compensation expense and hurricane-related costs. Hotel EBITDA is defined as Adjusted EBITDAre plus corporate general and administrative expenses less interest income, business interruption insurance income and other. We believe that EBITDA, EBITDAre, Adjusted EBITDAre and Hotel EBITDA