InnSuites Hospitality Trust (IHT) investor relations material

Executive summary

• H1 FY2027 revenue rose 1% YoY to $4.03M; consolidated net loss narrowed 39% to $222K, while operating results remained loss-making.

• Two hotels in Tucson and Albuquerque generated higher occupancy and RevPAR; outlook calls for stable occupancy and modest rate improvement.

• A post-quarter $3.0M related-party debt conversion into equity reduced indebtedness and supported efforts to restore NYSE American listing compliance.

Financial highlights

• H1 revenue was $4.030M vs. $4.005M YoY; operating loss narrowed to $7K from $16K.

• H1 consolidated net loss was $222K vs. $362K; loss attributable to controlling interests was $249K vs. $512K, with EPS of $(0.03) vs. $(0.06).

• Q2 revenue increased 2% to $1.837M; consolidated net loss narrowed 26% to $297K, and controlling-interest loss per share improved to $(0.02) from $(0.04).

• Adjusted EBITDA was $347K in H1 vs. $138K YoY; Q2 Adjusted EBITDA was $74K vs. $(74)K.

• Operating cash flow was $(147)K in H1 vs. $127K provided in the prior-year period; cash ended at $247K.

Outlook and guidance

• FY2027 expectations: stable domestic travel, hotel occupancy and room rates, with stable or moderately improving hotel profitability; modest rate gains anticipated.

• Stable-to-moderately improving revenue and operating margins anticipated, subject to oil prices, economic conditions, inflation and cost controls.

• Sale of one or both hotels remains a strategic goal within 36 months; no timing or sale outcome is assured.

• Planned remaining FY2027 hotel capital spending is lower after substantial refurbishments at both properties.