Summary of BEEP Q2 2026 Earnings Call

1Key Financial Results and Metrics

Total Revenue: $8.9 million, a slight decrease from $9 million in Q2 2025, primarily due to asset sales.

Same Location Revenue: Increased by 5.6% year-over-year to $8.9 million.

Same Location NOI: Grew 12% year-over-year to $5.9 million, up from $5.2 million.

RevPAS: Reached approximately $225, the highest for a second quarter in three years.

Contract Parking Volumes: Increased by 12% year-over-year and 7% sequentially.

Adjusted EBITDA: Rose 5.5% to $4.1 million from $3.8 million in Q2 2025.

Net Debt: Reduced to $197.1 million, down from $200 million at the end of Q1 2026.

2Strategic Updates and Business Highlights

Take Private Proposal: A special committee is reviewing a proposal from BOM Asset Management, but no further comments were provided during the call.

Operational Growth: Continued focus on KPIs has led to broad-based growth, with portfolio utilization increasing to 70%, up from 65% year-over-year.

Asset Rotation Program: Cumulative proceeds exceeded $30 million, with ongoing negotiations for approximately $25 million in transactions.

Market Recovery: Notable recovery in markets like Cincinnati and Nashville, with demand drivers such as the reopening of convention centers contributing to growth.

3Forward Guidance and Outlook

Full Year 2026 Guidance:

Total revenue expected between $35 million and $38 million (approximately 4% growth at midpoint).

NOI projected between $21.5 million and $23 million (7% growth at midpoint).

Adjusted EBITDA forecasted between $15 million and $16.5 million (10% growth at midpoint).

Seasonal Expectations: Anticipation of a strong third quarter due to a busy events calendar and continued recovery in contract and transient parking.

4Bad News, Challenges, or Points of Concern

Revenue Decline: Total revenue decreased year-over-year due to asset sales, highlighting a potential risk in maintaining growth without new acquisitions or operational improvements.

Expense Management: While property taxes decreased, property operating expenses increased slightly, indicating potential challenges in managing costs amid inflationary pressures.

Market Variability: Performance varies significantly by market and asset type, which could impact overall stability and predictability of revenue streams.

5Notable Q&A Insights

Capital Recycling Plan: Management confirmed ongoing negotiations for $25 million in transactions, emphasizing a disciplined approach to asset sales.

Occupancy and Rate Strategy: The company is focused on achieving stabilized occupancy before adjusting rates, with specific examples noted in markets like Cincinnati.

Transient Revenue Growth: Growth attributed to the reopening of disrupted markets, with transient revenue expected to contribute significantly to overall revenue, potentially making up two-thirds of total revenue.

Labor Considerations: Current labor levels are deemed sufficient, with no immediate needs for increases despite rising utilization. This summary encapsulates the key takeaways from BEEP's Q2 2026 earnings call, highlighting both the positive momentum and the challenges faced by the company.