Liquidity remains supported by a $353.1 million cash reserve as of 2026Q1, though FFO conversion quality remains inconsistent, highlighted by an FFO/NI ratio of -75.10 in the most recent quarter.
| 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 |
|---|
| Cash from Operations | 253.71M | 243.8M | 285.42M | 315.14M | 256.52M | 42.96M | -168.71M | 397.32M | 394.83M | 260.6M | 331.36M | 328.91M | 298.83M | 251.39M | 176.13M | 134.12M | 64.08M | 28.85M | 76.98M |
| Operating CF Growth % | 20.03% | -14.58% | -9.43% | 22.85% | 497.1% | 125.46% | -142.46% | 0.63% | 51.51% | -21.36% | 0.74% | 10.07% | 18.87% | 42.72% | 31.33% | 109.31% | 122.09% | -62.52% | - |
| Operating CF / Revenue % | 18.63% | 18.06% | 20.84% | 23.77% | 21.49% | 5.47% | -36.31% | 25.34% | 22.42% | 19.21% | 28.57% | 28.95% | 26.94% | 25.91% | 20.62% | 17.67% | 11.75% | 5.98% | 13.95% |
| Net Income | 24.8M | 30.85M | 68.19M | 76.62M | 42.22M | -311.09M | -408.8M | 129.38M | 190.86M | 75.74M | 201.31M | 219.81M | 136.48M | 114.18M | 41.32M | 11.71M | -22.62M | -168M | -29.32M |
| Depreciation & Amortization | 188.65M | 186.36M | 184.94M | 184.06M | 188.14M | 185.69M | 191.76M | 209.53M | 238.56M | 184.9M | 162.5M | 156.23M | 144.29M | 127.43M | 126.8M | 131.71M | 0 | 98.88M | 0 |
| Stock-Based Compensation | 14.65M | 15.34M | 20.8M | 24.29M | 21.66M | 17.05M | 12.4M | 11.46M | 12.25M | 10.61M | 5.99M | 13M | 15.09M | 13.08M | 8.63M | 3.28M | 0 | 0 | 0 |
| Other Non-Cash Items | 17.89M | 11.12M | -1.57M | 5.88M | -1.33M | 16.54M | 9.79M | 31.13M | -31.48M | -7.05M | -41.77M | -22.7M | 14.78M | -7.43M | 8.6M | -19.5M | 81.11M | 103M | 112.65M |
| Working Capital Changes | 7.5M | 135K | 13.05M | 24.29M | 5.83M | -12.04M | -25.3M | 22.65M | -23.75M | -43.74M | -3.67M | 3.13M | -11.17M | 4.97M | -9.12M | 4.97M | 5.59M | -5.04M | -5.23M |
| Cash from Investing | -62.07M | -57.36M | -275.73M | -134.75M | -135.51M | -24.63M | -66.69M | 530.41M | 277.11M | 64.98M | 173.37M | -38.1M | -611.18M | -262.07M | -363.83M | -347.01M | -786.61M | -198.03M | -130.4M |
| Acquisitions (Net) | 0 | 0 | -158.75M | 0 | -59.31M | -331K | -100K | -603K | -350K | -24.88M | 0 | -143.77M | -631.64M | -208.19M | -247.05M | -236.86M | 0 | -145.31M | 0 |
| Purchase of Investments | 0 | 0 | 0 | 0 | 0 | -175.01M | -100K | 0 | -350K | 0 | -11.75M | -143.77M | 13.88M | -58.71M | -9.91M | 236.86M | 0 | -12.92M | 0 |
| Sale of Investments | 0 | 0 | 0 | 0 | 0 | 198.64M | 5.17M | 0 | 475.06M | 12.79M | 269.19M | 255.55M | 7.25M | 2.66M | 207K | 207K | 68K | 0 | 0 |
| Other Investing | -62.07M | -57.36M | -116.98M | -134.75M | -76.21M | 331K | 1.68M | 531.01M | 277.74M | 77.29M | 173.65M | 106.33M | -624K | 2.36M | -106.73M | -16.77M | 58.26M | -19.18M | -4.09M |
| Cash from Financing | -176.57M | -177.7M | -131.69M | -161.45M | -298.49M | -239.25M | 243.03M | -385.42M | -946.18M | -190.38M | -182.25M | -419.08M | 242.56M | 227.07M | -6.68M | 255.67M | 838.6M | 164.37M | 125.71M |
| Dividends Paid | -116.44M | -116.48M | -94.93M | -74.31M | -38.4M | -31.82M | -86.12M | -253.71M | -257.79M | -176.72M | -164.36M | -170.09M | -125.14M | -97.32M | -68.75M | -43.91M | -60.04M | -33.1M | -92.58M |
| Common Dividends | -91.33M | -91.36M | -69.81M | -49.19M | -13.29M | -6.7M | -61M | -228.29M | -231.19M | -169.94M | -164.36M | -170.09M | -125.14M | -97.32M | -68.75M | -43.85M | -59.97M | -33.04M | -92.52M |
| Debt Issuance (Net) | -3.04M | -1000K | 0 | 1000K | -1000K | -1000K | 1000K | 1000K | -1000K | -1000K | 1000K | -1000K | 1000K | 1000K | 1000K | -1000K | 1000K | 1000K | 1000K |
| Share Repurchases | -11.34M | -32.15M | -31.01M | -80.37M | -61.24M | -2.54M | -64.25M | -125.22M | -25.4M | -5.66M | -18.77M | -237.21M | -6.11M | -4.03M | -2.35M | -702K | -28.97M | -39K | -6.41M |
| Other Financing | -15.09M | -630K | -5.75M | -8.11M | -3.85M | -13.49M | -3.23M | -8.89M | -2.34M | -2.74M | -6.47M | -2.19M | 226.53M | 321.86M | -7.5M | 119.83M | 793.33M | 48.56M | 202.21M |
| Net Change in Cash | 15.06M | 8.74M | -122M | 18.94M | -177.48M | -220.92M | 7.63M | 542.32M | -274.23M | 135.2M | 322.48M | -128.27M | -69.79M | 216.39M | -194.37M | 42.78M | 116.07M | -4.8M | 72.28M |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 442.06M | 433.32M | 555.33M | 536.39M | 713.87M | 934.79M | 927.16M | 384.84M | 659.08M | 523.88M | 134.19M | 262.46M | 332.25M | 115.86M | 310.23M | 267.45M | 151.38M | 156.18M | 83.9M |
| Cash at End | 387.46M | 442.06M | 433.32M | 555.33M | 536.39M | 713.87M | 934.79M | 927.16M | 384.84M | 659.08M | 456.67M | 134.19M | 262.46M | 332.25M | 115.86M | 310.23M | 267.45M | 151.38M | 156.18M |
| Free Cash Flow | 253.71M | 117.39M | 285.42M | 315.14M | 256.52M | -5.3M | -242.04M | 397.32M | 394.56M | 260.38M | 331.08M | 328.25M | 298.79M | 251.2M | 175.79M | -196.33M | -780.86M | 8.24M | -49.33M |
| FCF Growth % | 42.32% | -58.87% | -9.43% | 22.85% | 4938.16% | 97.81% | -160.92% | 0.7% | 51.53% | -21.36% | 0.86% | 9.86% | 18.94% | 42.9% | 189.54% | 74.86% | -9576.43% | 116.7% | - |
| FCF / Revenue % | 18.63% | 8.7% | 20.84% | 23.77% | 21.49% | -0.67% | -52.09% | 25.34% | 22.4% | 19.2% | 28.54% | 28.89% | 26.94% | 25.89% | 20.58% | -25.87% | -143.13% | 1.71% | -8.94% |
Urban market demand volatility
As reported in financial statements, RLJ's GAAP net income frequently diverges from FFO, as evidenced by the 2026Q1 net loss of $349,000 despite generating $46.8M in FFO, highlighting the significant impact of non-cash depreciation charges on the company's reported bottom-line profitability metrics.
The persistent gap between GAAP net income and FFO underscores the necessity of focusing on cash-based metrics for this REIT. Investors should monitor this divergence, as it suggests that reported earnings are heavily influenced by accounting conventions rather than the actual cash-generating capacity of the hotel portfolio.
Based on reported figures, RLJ's dividend payout ratio relative to AFFO has fluctuated significantly, ranging from 0.19 in 2024Q2 to 0.51 in 2025Q4, which suggests that the company's ability to cover distributions is sensitive to seasonal cash flow volatility and recurring capital expenditure requirements.
While the dividend appears covered by AFFO, the wide variance in payout ratios warrants further investigation into the stability of the company's cash flow. The inconsistency in AFFO generation may indicate that the dividend policy is subject to the cyclical nature of the lodging industry rather than a fixed, predictable payout model.
According to recent SEC filings, RLJ's recurring capital expenditures, including tenant improvements and maintenance, reached $38.6M in 2024Q2, which significantly reduced the available free cash flow and highlights the ongoing reinvestment required to maintain brand standards across the company's urban-focused hotel portfolio.
The high level of capital intensity suggests that a substantial portion of operating cash flow must be reinvested to keep assets competitive. This ongoing requirement may limit the company's flexibility to pursue external growth or increase shareholder returns during periods of softer RevPAR performance.
As indicated by the provided data, the ratio of FFO to GAAP operating cash flow has shown extreme volatility, with the FFO/NI ratio reaching -75.10 in 2026Q1, suggesting that the conversion of operating cash into FFO is subject to significant quarterly accounting and operational adjustments.
This lack of stability in FFO conversion may imply that the company's cash flow quality is susceptible to lumpy revenue recognition or timing differences in working capital. Analysts should monitor whether this volatility is a structural feature of the portfolio or a temporary byproduct of recent asset management initiatives.
Quick answers to the most common questions about buying RLJ stock.
RLJ Lodging Trust (RLJ) generated $243.8M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
RLJ Lodging Trust (RLJ) generated $117.4M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
RLJ Lodging Trust (RLJ) spent $0.0M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, RLJ Lodging Trust (RLJ) returned $116.5M to shareholders via cash dividends and spent $32.1M on share repurchases. This shows the company's commitment to returning capital to its equity investors.