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SOHO

Sotherly Hotels Inc.

SOHO

Sotherly Hotels Inc. • NASDAQ
$2.17 ▲ 0.23% (+0.01)
Market Cap $44.36 M
52w High $2.18
52w Low $0.59
Dividend Yield 0%
P/E -5.28
Volume 11.48K
Outstanding Shares 20.49M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $38.013M ▼ $37.498M ▲ $-5.534M ▼ -14.559% ▼ $0 ▲ $4.912M ▼
Q2-2025 $48.794M ▲ $7.318M ▲ $1.578M ▼ 3.234% ▼ $-0.021 ▼ $12.088M ▼
Q1-2025 $48.312M ▲ $6.808M ▲ $4.685M ▲ 9.697% ▲ $0.13 ▲ $15.103M ▲
Q4-2024 $43.952M ▲ $6.749M ▲ $-1.039M ▲ -2.364% ▲ $-0.16 ▲ $9.497M ▲
Q3-2024 $40.7M $6.332M $-3.609M -8.868% $-0.29 $6.579M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $9.433M ▼ $411.381M ▲ $374.626M ▲ $36.756M ▼
Q2-2025 $10.558M ▼ $411.118M ▼ $366.835M ▼ $44.283M ▼
Q1-2025 $11.511M ▲ $418.088M ▲ $373.428M ▲ $46.066M ▲
Q4-2024 $7.328M ▼ $414.376M ▼ $372.777M ▲ $43.053M ▼
Q3-2024 $14.018M $414.955M $370.39M $45.94M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $-3.515M ▼ $-369.351K ▼ $-2.714M ▲ $6.174M ▲ $3.09M ▲ $-369.351K ▼
Q2-2025 $1.556M ▼ $1.945M ▼ $-4.413M ▼ $-3.812M ▼ $-6.279M ▼ $1.945M ▼
Q1-2025 $4.734M ▲ $8.189M ▲ $-387.45K ▲ $-3.701M ▲ $4.1M ▲ $3.885M ▼
Q4-2024 $-1.118M ▲ $4.472M ▼ $-4.308M ▲ $-3.96M ▲ $-3.795M ▲ $4.472M ▼
Q3-2024 $-3.69M $4.757M $-4.832M $-4.735M $-4.81M $4.757M

Revenue by Products

Product Q3-2024Q4-2024Q2-2025Q3-2025
Food and Beverage
Food and Beverage
 $10.00M ▲$20.00M ▲$10.00M ▼$10.00M ▲
Hotel Other
Hotel Other
 $10.00M ▲$10.00M ▲$10.00M ▲$10.00M ▲
Occupancy
Occupancy
 $30.00M ▲$60.00M ▲$30.00M ▼$30.00M ▲

Five-Year Company Overview

Income Statement

Income Statement SOHO’s income statement shows a company that has largely climbed out of its pandemic hole but is not yet on very firm footing. Sales have grown steadily from very weak levels in 2020, and hotel operations are again generating a healthy gap between revenue and day‑to‑day operating costs. Operating profits and cash earnings turned positive a few years ago and have stayed that way, which is important for a hotel REIT. However, bottom‑line net results have been choppy, swinging from losses during the pandemic to a strong profit and now hovering around roughly break‑even. That pattern suggests underlying hotel demand has recovered, but earnings quality is sensitive to interest costs, one‑off items, and the broader travel cycle. Overall, it looks like a return to “normal” operations, but not yet a comfortably profitable, low‑risk profile.

Balance Sheet

Balance Sheet The balance sheet is serviceable but tight. The hotel portfolio is sizable relative to the company’s equity, which means SOHO is heavily reliant on debt financing. Borrowings make up most of the capital structure, while the equity cushion is quite thin, even though it has improved somewhat from the lowest point. Cash on hand is modest, leaving limited room to maneuver if conditions worsen or if unexpected spending is required. Assets have drifted slightly lower over time, which can reflect sales, write‑downs, or limited reinvestment. In simple terms, SOHO carries a lot of leverage, has only a small financial buffer, and depends on stable hotel performance and willing lenders to keep things on track.

Cash Flow

Cash Flow Cash flow trends are more encouraging than the balance sheet. Cash generated from everyday operations has steadily improved from negative levels in 2020 to clearly positive in recent years, showing that the hotels themselves are again paying their own way. Free cash flow has also moved into positive territory as capital spending has been kept relatively lean. That discipline helps support debt service and day‑to‑day needs, but very light investment can also signal deferred maintenance or postponed upgrades, which may need to be addressed later. Overall, SOHO is now producing cash instead of burning it, but the margin for error remains limited given its debt load and modest cash reserves.

Competitive Edge

Competitive Edge Competitively, SOHO is a niche player rather than a scale leader. Its focus on upscale, full‑service hotels in the Southern U.S. gives it a clear regional identity and a brand built around “Southern Hospitality.” The company leans on well‑known national flags like Hilton and Hyatt for reservations systems, loyalty programs, and technology, while trying to differentiate through local feel, curated experiences, and personalized service such as the “Sotherly Host” concept. This offers some experiential edge versus more generic hotels. On the other hand, SOHO’s small size, concentrated geography, and reliance on franchisor systems limit its bargaining power and make it more exposed to regional downturns and competitive pressure from much larger hotel REITs and chains. Its upcoming change in ownership could alter its scale, cost structure, and overall positioning over time.

Innovation and R&D

Innovation and R&D SOHO’s innovation is more about guest experience and property repositioning than about proprietary technology or formal R&D. The company does not appear to run its own advanced tech platforms; instead it depends on the systems of its major brand partners for booking, loyalty, and property management. Where SOHO has been more active is in buying underperforming hotels, renovating and rebranding them, and layering on a curated Southern‑themed experience, including local design, custom food and beverage concepts, and small branded touches. That is a softer form of innovation, focused on atmosphere and service rather than hard tech. Looking ahead, the planned acquisition by Kemmons Wilson Hospitality Partners and Ascendant Capital Partners introduces the possibility of more data‑driven and tech‑enabled initiatives, as both sponsors have backgrounds in value‑add hospitality and, in Ascendant’s case, technology‑enabled real estate. How aggressively they modernize operations and guest‑facing technology will be a key factor in SOHO’s future differentiation.

Summary

Overall, SOHO looks like a hotel REIT that has survived a very difficult period and worked its way back to operational stability, but with a capital structure that still carries notable risk. Revenues and operating profits have recovered, and cash flows are now positive, indicating the core hotel portfolio is functioning reasonably well. At the same time, high leverage, thin equity, and limited cash leave the company sensitive to interest rates, refinancing conditions, and any downturn in travel demand. Competitively, SOHO’s strength lies in its localized, experiential “Southern Hospitality” positioning in the Southern U.S., supported by big‑brand flags but without much proprietary technology. The pending acquisition by experienced hospitality investors is a major turning point: it may bring stronger backing, more investment in renovations and technology, and a refreshed strategy, but also introduces integration and execution risks. The story at this stage is one of fragile recovery, heavy reliance on debt, and a likely strategic reset under new ownership rather than a fully matured, low‑risk REIT profile.

NEWS

October 27, 2025 · 5:30 PM UTC

SHAREHOLDER ALERT: The M&A Class Action Firm Announces An Investigation of Sotherly Hotels Inc. (NASDAQ: SOHO)

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October 27, 2025 · 5:02 PM UTC

SOHO Stock Alert: Halper Sadeh LLC Is Investigating Whether the Sale of Sotherly Hotels Inc. Is Fair to Shareholders

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October 27, 2025 · 5:00 PM UTC

Sotherly Hotels Inc. Announces Deferral of Payment of Preferred Dividends

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October 27, 2025 · 8:17 AM UTC

SOHO Stock Alert: Halper Sadeh LLC is Investigating Whether the Sale of Sotherly Hotels Inc. is Fair to Shareholders

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October 27, 2025 · 6:30 AM UTC

Sotherly Hotels Inc. to be Acquired by Joint Venture Backed by Kemmons Wilson Hospitality Partners and Ascendant Capital Partners

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