DiamondRock Hospitality Q4 FFO Down

(RTTNews) - DiamondRock Hospitality Co.(DRH) reported that its fourth-quarter funds from operations declined to $32.20 million from last year's $54.04 million. Adjusted FFO per share was $0.17 down from $0.29 last year. Analysts polled by Thomson Reuters expected the company to report earnings of $0.19 per share for the quarter. Analysts' estimates typically exclude special items.

Net income for the quarter was $29.56 million or $0.15 per share, up from $16.63 million or $0.08 per share in the same quarter last year.

Total revenues for the quarter declined to $201.47 million from $259.23 million last year. Twelve analysts estimated revenues of $208.60 million for the quarter.

The company expects to spend about $95 million on capital improvements at its hotels in 2014, of which approximately $45 million relates to the completion of 2013 capital projects in early 2014 and about $50 million relates to new 2014 capital projects.

The company's Board declared a quarterly dividend of $0.085 per share to stockholders of record as of December 31, 2013. The dividend was paid on January 10, 2014. The Company increased its quarterly dividend for 2014 by 21% and its Board of Directors declared a dividend of $0.1025 per share for stockholders of record as of March 31, 2014.

For full year 2014, the company expects Adjusted FFO to be in the range of $169 million - $176 million, and Adjusted FFO per share of $0.86 - $0.90. Analysts project annual earnings per share of $0.89.

The company's outlook assumes the Hilton Garden Inn Times Square Central opens in August 2014.