Sotherly Hotels Financials
This page shows Sotherly Hotels (SOHOO) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 17 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Heavy leverage leaves SOHOO operating profit serving debt first, with interest costs dominating equity results despite positive cash generation.
Over the recent period, operating cash flow stayed positive even as net income slipped to a-$7.7M loss, showing that non-cash depreciation was doing much of the cash-conversion work. That buffer was overwhelmed by a rising interest burden: interest expense of$24.8M sat well above operating income of$12.7M , so lenders captured the operating improvement before equity did.
The margin pattern points to a shrinking operating cushion, not a collapse in activity: revenue dipped only modestly from FY2024 while gross margin fell to
The balance sheet has very little equity shock absorber: cash was just
Financial Health Signals
Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →
Health score ≠ stock price. This rates the quality of Sotherly Hotels's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Sotherly Hotels has an operating margin of 7.2%, meaning the company retains $7 of operating profit per $100 of revenue. This results in a moderate score of 43/100, indicating healthy but not exceptional operating efficiency. This is down from 11.3% the prior year.
Sotherly Hotels's revenue declined 3% year-over-year, from $181.9M to $176.4M. This contraction results in a growth score of 35/100.
Sotherly Hotels has elevated debt relative to equity (D/E of 11.15), meaning the company relies heavily on borrowed funds. This high leverage results in a low score of 0/100, reflecting increased financial risk.
Sotherly Hotels generates a -27.2% ROE, indicating limited profit relative to shareholders' investment. This results in a returns score of 0/100. This is down from 3.0% the prior year.
Sotherly Hotels passes 2 of 9 financial strength tests. 2 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), neither operating efficiency signal passes.
For every $1 of reported earnings, Sotherly Hotels generates $-1.34 in operating cash flow ($10.3M OCF vs -$7.7M net income). This mixed ratio suggests some earnings may rely on non-cash accounting items.
Sotherly Hotels earns $0.5 in operating income for every $1 of interest expense ($12.7M vs $24.8M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.
Key Financial Metrics
Earnings & Revenue
Sotherly Hotels generated $176.4M in revenue in fiscal year 2025. This represents a decrease of 3.0% from the prior year.
Sotherly Hotels's EBITDA was $32.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 19.2% from the prior year.
Sotherly Hotels reported -$7.7M in net income in fiscal year 2025. This represents a decrease of 690.2% from the prior year.
Sotherly Hotels earned $-0.77 per diluted share (EPS) in fiscal year 2025. This represents a decrease of 126.5% from the prior year.
Cash & Balance Sheet
Sotherly Hotels held $7.0M in cash against $315.2M in long-term debt as of fiscal year 2025.
Sotherly Hotels had 20M shares outstanding in fiscal year 2025. This represents an increase of 3.2% from the prior year.
Margins & Returns
Sotherly Hotels's gross margin was 24.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 1.7 percentage points from the prior year.
Sotherly Hotels's operating margin was 7.2% in fiscal year 2025, reflecting core business profitability. This is down 4.2 percentage points from the prior year.
Sotherly Hotels's net profit margin was -4.4% in fiscal year 2025, showing the share of revenue converted to profit. This is down 5.1 percentage points from the prior year.
Sotherly Hotels's ROE was -27.2% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is down 30.2 percentage points from the prior year.
Capital Allocation
SOHOO Income Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | $41.3M+8.6% | $38.0M-22.1% | $48.8M+1.0% | $48.3M+9.9% | $44.0M+8.0% | $40.7M-19.7% | $50.7M+8.9% | $46.5M |
| Cost of Revenue | N/A | $31.2M-10.5% | $34.9M-1.4% | $35.4M | N/A | $32.6M-6.8% | $35.0M+2.4% | $34.2M |
| Gross Profit | N/A | $6.8M-51.1% | $13.9M+7.5% | $12.9M | N/A | $8.1M-48.5% | $15.7M+27.0% | $12.4M |
| R&D Expenses | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| SG&A Expenses | N/A | $1.4M-39.7% | $2.3M+21.6% | $1.9M | N/A | $1.5M-6.9% | $1.6M-17.5% | $1.9M |
| Operating Income | -$506K-198.3% | $515K-92.2% | $6.6M+7.6% | $6.1M+56.0% | $3.9M+123.3% | $1.8M-81.1% | $9.3M+63.9% | $5.7M |
| Interest Expense | N/A | $5.6M+1.3% | $5.5M+0.9% | $5.4M | N/A | $5.3M+6.8% | $5.0M+2.3% | $4.9M |
| Income Tax | N/A | $12K-19.4% | $15K+329.7% | $3K | N/A | $67K+288.2% | $17K-5.0% | $18K |
| Net Income | -$8.5M-55.0% | -$5.5M-447.9% | $1.6M-66.3% | $4.7M+519.2% | -$1.1M+69.0% | -$3.6M-178.2% | $4.6M+245.8% | $1.3M |
| EPS (Diluted) | $-0.51-37.8% | $-0.37-1750.0% | $-0.02-115.4% | $0.13+186.7% | $-0.15+48.3% | $-0.29-323.1% | $0.13+533.3% | $-0.03 |
SOHOO Balance Sheet
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $407.9M-0.8% | $411.4M+0.1% | $411.1M-1.7% | $418.1M+0.9% | $414.4M-0.1% | $415.0M+3.3% | $401.7M-0.7% | $404.7M |
| Current Assets | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Cash & Equivalents | $7.0M-25.7% | $9.4M-10.7% | $10.6M-8.3% | $11.5M+57.1% | $7.3M-47.7% | $14.0M-25.9% | $18.9M-35.4% | $29.3M |
| Inventory | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Accounts Receivable | $4.8M-27.3% | $6.7M+11.3% | $6.0M-10.0% | $6.7M+42.4% | $4.7M+46.6% | $3.2M-43.2% | $5.6M-19.5% | $7.0M |
| Goodwill | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Total Liabilities | $379.7M+1.3% | $374.6M+2.1% | $366.8M-1.8% | $373.4M+0.2% | $372.8M+0.6% | $370.4M+5.4% | $351.5M-1.6% | $357.2M |
| Current Liabilities | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Long-Term Debt | $315.2M-1.7% | $320.5M+2.1% | $313.9M-0.4% | $315.3M-0.4% | $316.5M-0.5% | $318.1M-0.7% | $320.2M-1.5% | $325.1M |
| Total Equity | $28.3M-23.1% | $36.8M-17.0% | $44.3M-3.9% | $46.1M+7.0% | $43.1M-6.3% | $45.9M-10.8% | $51.5M+5.5% | $48.8M |
| Retained Earnings | -$145.4M-6.2% | -$136.9M-5.8% | -$129.4M-0.3% | -$129.0M+2.0% | -$131.7M-2.4% | -$128.7M-4.6% | -$123.1M+2.1% | -$125.7M |
SOHOO Cash Flow Statement
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $555K+248.4% | -$374K-119.2% | $1.9M-76.2% | $8.2M+83.1% | $4.5M-6.0% | $4.8M-44.6% | $8.6M+6.3% | $8.1M |
| Capital Expenditures | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Free Cash Flow | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Investing Cash Flow | -$3.2M-19.2% | -$2.7M+38.6% | -$4.4M-1039.0% | -$387K+91.0% | -$4.3M+10.8% | -$4.8M-77.2% | -$2.7M-19.8% | -$2.3M |
| Financing Cash Flow | $1.6M-74.6% | $6.2M+262.0% | -$3.8M-3.0% | -$3.7M+6.5% | -$4.0M+16.4% | -$4.7M+42.0% | -$8.2M-207.6% | $7.6M |
| Dividends Paid | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Share Buybacks | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
SOHOO Financial Ratios
| Metric | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 | Q2'24 | Q1'24 |
|---|---|---|---|---|---|---|---|---|
| Gross Margin | N/A | 17.9%-10.6pp | 28.5%+1.7pp | 26.7% | N/A | 19.9%-11.1pp | 31.0%+4.4pp | 26.6% |
| Operating Margin | -1.2%-2.6pp | 1.4%-12.1pp | 13.5%+0.8pp | 12.7%+3.7pp | 8.9%+4.6pp | 4.3%-14.0pp | 18.3%+6.2pp | 12.2% |
| Net Margin | -20.6%-6.2pp | -14.4%-17.7pp | 3.2%-6.5pp | 9.7%+12.2pp | -2.5%+6.3pp | -8.9%-18.0pp | 9.1%+6.2pp | 2.9% |
| Return on Equity | -30.1%-15.2pp | -14.9%-18.5pp | 3.6%-6.6pp | 10.2%+12.8pp | -2.6%+5.3pp | -7.9%-16.8pp | 9.0%+6.2pp | 2.7% |
| Return on Assets | -2.1%-0.8pp | -1.3%-1.7pp | 0.4%-0.7pp | 1.1%+1.4pp | -0.3%+0.6pp | -0.9%-2.0pp | 1.1%+0.8pp | 0.3% |
| Current Ratio | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| Debt-to-Equity | 11.15+2.4 | 8.72+1.6 | 7.09+0.2 | 6.84-0.5 | 7.35+0.4 | 6.92+0.7 | 6.22-0.4 | 6.66 |
| FCF Margin | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
Frequently Asked Questions
What is Sotherly Hotels's annual revenue?
Sotherly Hotels (SOHOO) reported $176.4M in total revenue for fiscal year 2025. This represents a -3.0% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Sotherly Hotels's revenue growing?
Sotherly Hotels (SOHOO) revenue declined by 3% year-over-year, from $181.9M to $176.4M in fiscal year 2025.
Is Sotherly Hotels profitable?
No, Sotherly Hotels (SOHOO) reported a net income of -$7.7M in fiscal year 2025, with a net profit margin of -4.4%.
What is Sotherly Hotels's EBITDA?
Sotherly Hotels (SOHOO) had EBITDA of $32.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.
How much debt does Sotherly Hotels have?
As of fiscal year 2025, Sotherly Hotels (SOHOO) had $7.0M in cash and equivalents against $315.2M in long-term debt.
What is Sotherly Hotels's gross margin?
Sotherly Hotels (SOHOO) had a gross margin of 24.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.
What is Sotherly Hotels's operating margin?
Sotherly Hotels (SOHOO) had an operating margin of 7.2% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.
What is Sotherly Hotels's net profit margin?
Sotherly Hotels (SOHOO) had a net profit margin of -4.4% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Sotherly Hotels's return on equity (ROE)?
Sotherly Hotels (SOHOO) has a return on equity of -27.2% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Sotherly Hotels's operating cash flow?
Sotherly Hotels (SOHOO) generated $10.3M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Sotherly Hotels's total assets?
Sotherly Hotels (SOHOO) had $407.9M in total assets as of fiscal year 2025, including both current and long-term assets.
What is Sotherly Hotels's debt-to-equity ratio?
Sotherly Hotels (SOHOO) had a debt-to-equity ratio of 11.15 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Sotherly Hotels's return on assets (ROA)?
Sotherly Hotels (SOHOO) had a return on assets of -1.9% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Sotherly Hotels's Piotroski F-Score?
Sotherly Hotels (SOHOO) has a Piotroski F-Score of 2 out of 9, indicating weak financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Sotherly Hotels's earnings high quality?
Sotherly Hotels (SOHOO) has an earnings quality ratio of -1.34x, considered mixed quality. This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
Can Sotherly Hotels cover its interest payments?
Sotherly Hotels (SOHOO) has an interest coverage ratio of 0.5x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.
How financially healthy is Sotherly Hotels?
Sotherly Hotels (SOHOO) scores 13 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.