Operational performance remains strained with NOI margins experiencing extreme volatility, collapsing from 38.9% in 2024Q2 to a low of 1.0% in 2025Q4.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 |
|---|
| Revenue | 1.42B | 1.41B | 1.43B | 1.34B | 1.24B | 933.87M | 601.88M | 1.27B | 1.27B | 1.24B | 1.04B | 898.31M | 803.9M | 387.99M | 365.59M | 320.5M | 160.13M | 85.21M | 11.5M |
| Revenue Growth % | -0.51% | -1.33% | 6.52% | 8.51% | 32.61% | 55.16% | -52.48% | -0.31% | 2.58% | 18.98% | 15.89% | 11.75% | 107.19% | 6.13% | 14.07% | 100.14% | 87.94% | 640.92% | - |
| Property Operating Expenses | 988.97M | 1.32B | 922.25M | 860.03M | 783.39M | 614.16M | 480.52M | 685.83M | 696.1M | 800.8M | 671.38M | 563.1M | 519.38M | 208.22M | 227.72M | 176.89M | 107.56M | 50.58M | 5.3M |
| Net Operating Income (NOI) | 433.46M | 90.08M | 509.21M | 483.77M | 455.03M | 319.71M | 121.36M | 580.77M | 574.45M | 437.82M | 369.64M | 335.21M | 284.52M | 179.77M | 137.87M | 143.61M | 52.57M | 34.63M | 6.2M |
| NOI Margin % | 30.47% | 6.38% | 35.57% | 36% | 36.74% | 34.24% | 20.16% | 45.85% | 45.21% | 35.35% | 35.51% | 37.32% | 35.39% | 46.33% | 37.71% | 44.81% | 32.83% | 40.64% | 53.91% |
| Operating Expenses | 183.68M | -160.33M | 216.46M | 236.29M | 248.55M | 232.67M | 223.4M | 229.45M | 207.78M | 202.84M | 165.19M | 147M | 134.03M | 61M | 61.98M | 83.81M | 34.86M | 25.85M | 6.4M |
| G&A Expenses | 48.59M | 0 | 42.54M | 47.4M | 42.46M | 41.04M | 29.37M | 150.2M | 130.13M | 127.22M | 99.69M | 90.56M | 85.47M | 40.32M | 40.49M | 35.4M | 6.47M | 11.75M | 4.2M |
| EBITDA | 444M | 443.04M | 483.36M | 430.72M | 388.18M | 271.51M | 97.75M | 427.03M | 441.34M | 390.89M | 333.43M | 263.48M | 145.44M | 137.57M | 128.18M | 105.41M | 47.94M | 24.72M | 2.08M |
| EBITDA Margin % | 31.21% | 31.37% | 33.77% | 32.05% | 31.34% | 29.07% | 16.24% | 33.71% | 34.74% | 31.56% | 32.03% | 29.33% | 18.09% | 35.46% | 35.06% | 32.89% | 29.94% | 29.01% | 18.06% |
| Depreciation & Amortization | 194.22M | 192.63M | 190.6M | 183.24M | 181.7M | 184.47M | 199.79M | 193.24M | 183.48M | 176.5M | 148.16M | 127.45M | 113.11M | 54.83M | 52.75M | 49.81M | 30.75M | 15.94M | 2.28M |
| D&A / Revenue % | 13.65% | 13.64% | 13.32% | 13.64% | 14.67% | 19.75% | 33.19% | 15.26% | 14.44% | 14.25% | 14.23% | 14.19% | 14.07% | 14.13% | 14.43% | 15.54% | 19.2% | 18.7% | 19.8% |
| Operating Income | 249.78M | 250.41M | 292.76M | 247.48M | 206.48M | 87.04M | -102.04M | 233.79M | 257.86M | 214.39M | 185.26M | 136.03M | 32.33M | 82.74M | 75.43M | 55.59M | 17.19M | 8.78M | -200K |
| Operating Margin % | 17.56% | 17.73% | 20.45% | 18.42% | 16.67% | 9.32% | -16.95% | 18.46% | 20.29% | 17.31% | 17.8% | 15.14% | 4.02% | 21.33% | 20.63% | 17.35% | 10.73% | 10.31% | -1.74% |
| Interest Expense | 3M | 89.5M | 77.75M | 68.86M | 59.73M | 67.75M | 70.83M | 61.19M | 51.19M | 47.34M | 40.03M | 33.13M | 23.52M | 8.45M | 6.75M | 4.37M | 931K | 1.02M | 375K |
| Interest Coverage | - | 2.97x | 3.77x | 3.59x | 3.46x | 1.28x | -1.44x | 3.82x | 5.10x | 5.44x | 5.64x | 5.68x | 1.37x | 10.87x | 11.36x | 13.93x | 19.02x | 8.63x | -0.52x |
| Non-Operating Income | 14.05M | -15.41M | 0 | 0 | 0 | 0 | 0 | -3.55M | -2.98M | -26.99M | -40.61M | -52.18M | -133.26M | -9.04M | -1.17M | -5.28M | -19.38M | 0 | -6K |
| Pretax Income | 172.8M | 176.32M | 215.01M | 178.62M | 146.75M | 19.3M | -172.88M | 172.6M | 206.67M | 183.34M | 145.08M | 118.19M | 8.8M | 83.34M | 69.85M | 51.22M | -2.6M | 2.81M | 2.2M |
| Pretax Margin % | 12.15% | 12.48% | 15.02% | 13.29% | 11.85% | 2.07% | -28.72% | 13.63% | 16.27% | 14.8% | 13.94% | 13.16% | 1.09% | 21.48% | 19.11% | 15.98% | -1.63% | 3.3% | 19.13% |
| Income Tax | 960K | 959K | 947K | 1.14M | 1.94M | 468K | 332K | 679K | 587K | 847K | 431K | 898K | 1.97M | 1.42M | 1.17M | 1.07M | 1.45M | -8.07M | 2.77M |
| Effective Tax Rate % | 0.56% | 0.54% | 0.44% | 0.64% | 1.32% | 2.43% | -0.19% | 0.39% | 0.28% | 0.46% | 0.3% | 0.76% | 22.37% | 1.71% | 1.67% | 2.09% | -55.7% | -286.95% | 126.14% |
| Net Income | 171.84M | 175.36M | 214.06M | 177.49M | 144.81M | 18.83M | -173.21M | 171.92M | 206.09M | 182.49M | 144.65M | 117.29M | 6.83M | 115.22M | 75.48M | 69.99M | 16.26M | 16.85M | 2.2M |
| Net Margin % | 12.08% | 12.42% | 14.95% | 13.21% | 11.69% | 2.02% | -28.78% | 13.57% | 16.22% | 14.73% | 13.9% | 13.06% | 0.85% | 29.7% | 20.65% | 21.84% | 10.15% | 19.78% | 19.13% |
| Net Income Growth % | -10.14% | -18.08% | 20.61% | 22.57% | 669.09% | 110.87% | -200.75% | -16.58% | 12.93% | 26.16% | 23.33% | 1616.49% | -94.07% | 52.66% | 7.84% | 330.51% | -3.54% | 666.09% | - |
| Funds From Operations (FFO) | 366.06M | 367.99M | 404.67M | 360.73M | 326.5M | 203.3M | 26.58M | 365.16M | 389.57M | 358.99M | 292.81M | 244.74M | 119.94M | 170.05M | 128.22M | 119.8M | 47.01M | 32.79M | 4.48M |
| FFO Margin % | 25.74% | 26.05% | 28.27% | 26.84% | 26.36% | 21.77% | 4.42% | 28.83% | 30.66% | 28.98% | 28.13% | 27.24% | 14.92% | 43.83% | 35.07% | 37.38% | 29.35% | 38.48% | 38.93% |
| FFO Growth % | -15.27% | -9.06% | 12.18% | 10.48% | 60.6% | 664.89% | -92.72% | -6.27% | 8.52% | 22.6% | 19.64% | 104.04% | -29.46% | 32.62% | 7.03% | 154.87% | 43.35% | 632.41% | - |
| FFO per Share | 1.55 | 1.55 | 1.68 | 1.57 | 1.43 | 0.90 | 0.12 | 1.63 | 1.70 | 1.61 | 1.53 | 1.36 | 0.64 | 1.86 | 1.40 | 1.31 | 0.62 | 0.99 | 0.56 |
| FFO Payout Ratio % | 62.49% | 62.1% | 60.23% | 66.06% | 42.72% | 3.34% | 253.5% | 73.58% | 70.82% | 74.63% | 78.23% | 93.62% | 194.6% | 89.14% | 227.02% | 133.89% | 251.3% | 174.84% | 0% |
| EPS (Diluted) | 0.73 | 0.74 | 0.89 | 0.77 | 0.63 | 0.08 | -0.77 | 0.77 | 0.90 | 0.82 | 0.76 | 0.65 | 0.04 | 1.26 | 0.83 | 0.77 | 0.21 | 0.52 | 0.01 |
| EPS Growth % | -7.59% | -16.85% | 15.58% | 22.22% | 657.21% | 110.81% | -200% | -14.44% | 9.76% | 7.89% | 16.92% | 1675.96% | -97.1% | 51.81% | 7.79% | 266.67% | -59.62% | - | - |
| EPS (Basic) | - | 0.74 | 0.89 | 0.77 | 0.63 | 0.08 | -0.77 | 0.77 | 0.90 | 0.82 | 0.76 | 0.65 | 0.04 | 1.26 | 0.83 | 0.77 | 0.21 | 0.52 | 0.01 |
| Diluted Shares Outstanding | 236.11M | 237.79M | 241.26M | 229.33M | 228.95M | 226.36M | 223.54M | 223.91M | 229.66M | 223.53M | 190.86M | 180.26M | 186.91M | 91.39M | 91.31M | 91.44M | 75.9M | 33.02M | 7.93M |
Softening domestic travel demand
As reported in recent financial filings, Apple Hospitality REIT has experienced a contraction in top-line growth, with quarterly revenue figures showing a -1.33% year-over-year trend that suggests the post-pandemic recovery in domestic travel demand has largely plateaued across its secondary and suburban market portfolio.
The shift from positive growth in early 2024 to consistent negative revenue prints in 2025 indicates that the company's select-service model is struggling to maintain pricing power. Investors should monitor whether this deceleration reflects a broader cooling in corporate travel budgets or specific competitive pressures within the upscale niche.
Based on the company's reported figures, FFO per share has exhibited significant quarterly volatility, dropping from a peak of $0.50 in 2024Q2 to $0.33 in 2026Q1, which raises questions regarding the long-term stability of cash distributions in a period of declining operational performance.
The divergence between FFO and AFFO suggests that recurring capital expenditures, likely driven by brand-mandated renovations, are consuming a larger portion of cash flow than previously anticipated. This trend warrants further investigation into whether the current dividend payout ratio remains adequately covered by true recurring cash generation.
According to the provided income statement data, NOI margins have experienced extreme fluctuations, collapsing from 38.9% in 2024Q2 to a low of 1.0% in 2025Q4, which suggests that the company's operating cost structure is highly sensitive to even minor shifts in occupancy and revenue.
The extreme variance in NOI margin implies that fixed property-level costs, such as insurance and labor, are disproportionately impacting profitability when top-line growth stalls. Analysts should interpret these margin swings as a potential indicator of limited operational leverage in the current inflationary environment.
Financial statements indicate that the gap between FFO and AFFO remains substantial, with 2025Q3 showing $99.0M in FFO compared to $84.7M in AFFO, suggesting that significant capital is being diverted to maintain brand standards rather than being available for shareholder returns or debt reduction.
This persistent gap implies that the company is effectively trapped in a cycle of mandatory reinvestment to satisfy Marriott and Hilton brand requirements. Investors should be cautious, as this 'CapEx cliff' may limit the company's ability to pivot or acquire new assets without resorting to dilutive financing.
Quick answers to the most common questions about buying APLE stock.
For fiscal year 2025, Apple Hospitality REIT, Inc. (APLE) reported total revenue of $1.41B. This represents a 12181.6% increase compared to $11.5M in 2008.
Apple Hospitality REIT, Inc. (APLE) is profitable, generating $175.4M in net income for the fiscal year ending 2025 with a net profit margin of 12.4%.
Apple Hospitality REIT, Inc. (APLE) reported an operating income of $250.4M, resulting in an operating profit margin of 17.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Apple Hospitality REIT, Inc. (APLE) generated $90.1M in gross profit for the year, representing a gross profit margin of 6.4%. This demonstrates the company's core pricing power and production efficiency.