IHT Q1 HOTEL REVENUES ACHIEVE RECORD RESULTS

Rhea-AI Summary

InnSuites Hospitality Trust (NYSE American: IHT) reported record hotel revenue for Q1 FY2025, achieving $2.3 million, a 4% increase from $2.2 million in Q1 FY2024. Net income was $86,598, and the net income before non-cash depreciation was $259,640. Both Tucson and Albuquerque hotels showed strong performance, with May 2024 revenue at $644,741, totaling $2,938,711 for the first four months of FY2025. IHT's 2019 investment in UniGen Power, a clean energy developer, offers potential high returns amid rising electricity demand. The company highlights three consecutive profitable fiscal years and continued annual dividend payments for 54 years. The Annual Shareholder Meeting is scheduled for August 14, 2025.

Positive

• Q1 FY2025 hotel revenue reached a record $2.3 million, a 4% year-over-year increase.
• Net income for Q1 FY2025 was positive at $86,598.
• Net income before non-cash depreciation was $259,640.
• Revenue for Tucson and Albuquerque hotels in May 2024 was $644,741.
• Total revenue for the first four months of FY2025 was $2,938,711.
• Investment in UniGen Power could yield high returns amid growing electricity demand.
• Three consecutive profitable fiscal years.
• Continuous annual dividend payments for 54 years.

Negative

• None.

Financial Analyst

InnSuites Hospitality Trust's financial results for the first fiscal quarter of 2025 reveal a modest 4% increase in total revenue to $2.3 million compared to the same period last year. While this might not seem significant in absolute terms, maintaining growth in a mature market like hospitality during potential macroeconomic challenges shows operational resilience.

Moreover, the company reported a positive net income of $86,598, which, even after accounting for non-cash depreciation expense, resulted in a net income of $259,640. Investors often look at net income before depreciation to understand the firm's cash profitability, as depreciation is a non-cash expense that can obscure underlying performance. This indicates that IHT's core operations are profitable.

It is also noteworthy that IHT's revenue from both their Tucson and Albuquerque hotels achieved record highs in May, contributing to substantial revenue figures for the first four months of fiscal 2025. This is a positive indicator for future quarters, suggesting strong demand and effective management strategies.

From a retail investor's perspective, these results suggest operational strength and consistent profitability, making IHT a potentially stable investment in the hospitality sector.

Market Research Analyst

The company's diversification investment in UniGen Power, Inc. represents a strategic move to tap into the burgeoning clean energy market. UniGen's focus on high-efficiency clean energy generation aligns well with the increasing demand for electricity driven by the rise of electric vehicles and artificial intelligence.

However, it's important to highlight that UniGen is characterized as a 'high risk investment' with high potential returns. This means while there's significant upside if UniGen's technology succeeds and scales, the investment comes with substantial uncertainties. It's important for investors to weigh these risks against their own risk tolerance and portfolio diversification strategies.

For investors, IHT's stake in UniGen, which could potentially reach up to 20%, offers exposure to the clean energy sector without directly investing in a startup. This could be an attractive opportunity for those looking to diversify their portfolios.

Phoenix, AZ, June 18, 2024 (GLOBE NEWSWIRE) -- InnSuites Hospitality Trust (NYSE American: IHT) reported a continuation of Hotel Revenue record results in the First Fiscal Quarter of 2025, (February 1, 2024, to April 30, 2024), with Total Revenue increasing to approximately $2.3 million, which is an approximate increase of 4%, from the same prior year First Fiscal Quarter of $2.2 million.

Total Consolidated Fiscal First Quarter Net Income remained positive, at $86,598.

Consolidated Net Income before non-cash depreciation expense was $259,640 for the 2025 First Fiscal Quarter ended April 30, 2024 (February 1, 2024, through April 30, 2024).

IHT hotel operations were strong in the Fiscal Year ended January 31, 2024, and the 2025 Fiscal First Quarter, and are contributing to a solid start in the current 2025 Fiscal Second Quarter, with both the Tucson Hotel and Albuquerque Hotel achieving record results for the month of May, of the current Fiscal Year. Combined May Revenue for both hotels was an impressive $644,741, which has led to a record $2,938,711 for the first four Fiscal Months of Fiscal Year 2025.

These are all positive signs for InnSuites, as progress continues while the Travel Industry, and InnSuites Hospitality Trust (IHT) specifically, continue to grow and thrive.

InnSuites Hospitality Trust (IHT), in late 2019, made a diversification investment in new development privately held UniGen Power, Inc. (UniGen), a company developing a patented, high profit potential, efficient clean energy generation innovation. With the continued influx and popularity of electric cars, as well as growing needs of artificial intelligence, increased demand for electricity over the next five years is projected to approximately double. IHT holds convertible bonds and warrants that, when fully exercised, could result in IHT holding an approximately up to 20% or more ownership stake in UniGen.

UniGen is currently concentrating on its next round of capital raising.

UniGen is a high risk investment offering high potential investment return if and when successful.

IHT management believes that due to real estate held on the books of IHT at book values believed to be significantly below current market value and due to the high clean energy diversification profit potential ahead, the IHT future looks bright.

IHT’s strong hotel operating results are reflected in three successful, consecutive profitable Fiscal Years, even after accounting for substantial non-cash depreciation expense.

Fiscal Year 2025 extended IHT’s uninterrupted, continuous annual dividends to 54 years, since 1971, with semi-annual dividends paid February 5, 2024, and anticipated for July 31, 2024.

The IHT Annual Shareholder Meeting has been announced, and will be held at the IHT Corporate Office, on August 14, 2025, at 1 PM.

For more information, visit www.innsuitestrust.com and www.innsuites.com.

Forward-Looking Statements

With the exception of historical information, matters discussed in this news release may include “forward-looking statements” within the meaning of the federal securities laws. All statements regarding IHT’s review and exploration of potential strategic, operational, and structural alternative diversification investments, and expected associated costs and benefits, as well as statements related to continuation of its 54 years of uninterrupted payment of annual dividends, are forward-looking. Actual developments and business decisions may differ materially from those expressed or implied by such forward-looking statements. Important factors, among others, that could cause IHT’s actual results and future actions to differ materially from those described in forward-looking statements include the uncertain outcome, impact, effects and results of IHT’s success in finding potential qualified purchasers for its hospitality real estate, or a reverse merger partner, continuation of growth of hospitality revenues and/or profit growth, timely collection of receivables, the success of and timing of the UniGen clean energy diversification innovation, the continuation of semi-annual dividends in the year(s) ahead, and other risks discussed in IHT’s SEC filings. IHT expressly disclaims any obligation to update any forward-looking statement contained in this news release to reflect events or circumstances that may arise after the date hereof, all of which are expressly qualified by the foregoing, other than as required by applicable law.

FOR FURTHER INFORMATION:

Marc Berg, Executive Vice President
602-944-1500
email: mberg@innsuites.com

INNSUITES HOTEL CENTRE
1730 E. NORTHERN AVENUE, #122
Phoenix, Arizona 85020
Phone: 602-944-1500

FAQ

What were the Q1 FY2025 revenues for IHT?

InnSuites Hospitality Trust reported Q1 FY2025 revenues of $2.3 million, a 4% increase from the prior year's $2.2 million.

What was IHT's net income for Q1 FY2025?

IHT reported a net income of $86,598 for Q1 FY2025.

How did Tucson and Albuquerque hotels perform in May 2024?

Tucson and Albuquerque hotels achieved a combined May 2024 revenue of $644,741.

What is the total revenue for IHT in the first four months of FY2025?

Total revenue for the first four months of FY2025 was $2,938,711.

What is the potential ownership stake of IHT in UniGen Power?

IHT could hold up to a 20% or more ownership stake in UniGen Power through convertible bonds and warrants.

How many consecutive profitable fiscal years has IHT reported?

IHT has reported three consecutive profitable fiscal years.

How long has IHT been paying annual dividends?

IHT has been paying annual dividends for 54 years.

When is the IHT Annual Shareholder Meeting scheduled for 2025?

The IHT Annual Shareholder Meeting is scheduled for August 14, 2025.