Company: BHR-PD
Filing Date: 2025-08-11
Form Type: 10-Q
Source: 0001574085-25-000092
Chunk: 191

Company: Braemar Hotels & Resorts Inc.
Filing Date: 2025-08-11
Form: 10-Q
Item: Part I, Item 8
Chunk 191
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 This increase is attributable to higher other hotel revenue of $4.5 million at ten comparable hotel properties. These increases were partially offset by a decrease of $2.9 million due to the sale of Hilton La Jolla Torrey Pines and an aggregate decrease of approximately $751,000 at Park Hyatt Beaver Creek Resort & Spa, The Ritz-Carlton St. Thomas, Hotel Yountville, The Clancy and Sofitel Chicago Magnificent Mile.

Rooms Expense. Rooms expense decreased $236,000, or 0.4%, to $55.5 million in the 2025 period compared to the 2024 period. This decrease is attributable to an aggregate decrease in rooms expense of $266,000 at Sofitel Chicago Magnificent Mile, Hotel Yountville and Pier House Resort & Spa, and a decrease of $2.8 million due to the sale of Hilton La Jolla Torrey Pines. These decreases were partially offset by an aggregate increase of $2.8 million at 12 comparable hotel properties.

Food and Beverage Expense. Food and beverage expense decreased $1.4 million, or 1.8%, to $76.0 million during the 2025 period compared to the 2024 period. This decrease is attributable to lower aggregate food and beverage expense of approximately $709,000 at The Ritz-Carlton St. Thomas, Cameo Beverly Hills, Park Hyatt Beaver Creek Resort & Spa, Hotel Yountville and Sofitel Chicago Magnificent Mile and a decrease of $4.6 million due to the sale of Hilton La Jolla Torrey Pines. These decreases were partially offset by an aggregate increase of approximately $3.9 million at ten comparable hotel properties.

Other Operating Expenses. Other operating expenses decreased $1.4 million, or 1.2%, to $116.8 million in the 2025 period compared to the 2024 period. Other operating expenses consist of direct expenses from departments associated with revenue streams and indirect expenses associated with support departments and incentive management fees. 

We experienced a decrease of $71,000 in direct expenses and a decrease of $1.3 million in indirect expenses and incentive management fees in the 2025 period compared to the 2024 period. Direct expenses were 4.5% of total hotel revenue in the 2025 period and 4.4% in the 2024 period. 

The decrease in direct expenses is associated with lower direct expenses of approximately $304,000 at eight comparable hotel