PHOENIX, AZ,– InnSuites Hospitality Trust (NYSE American IHT). InnSuites Hospitality Trust (IHT) reported consolidated net income of $11,106,000 for the fiscal year ended January 31, 2019, compared with consolidated net income for the prior fiscal year of $6,808,000, an increase of $4,298,000 or 63%. Fiscal 2019 annual net income profit before non-cash depreciation expense of $1.24 million was $12.35 million. Revenues from continuing operations for the fiscal year ended January 31, 2019 increased to $6,169,000, up 10.8% from the prior fiscal year. Net income per share (basic) for the fiscal year ended January 31, 2019 was $ 1.20 per share, compared to the prior fiscal year’s $ 0.71 per share, an increase of 69%. Fully diluted net income per share for the fiscal year ended January 31, 2019 was $0.89 per share, compared to the prior fiscal year’s fully diluted earnings of $0.52 per share, an increase of 71%.
Preliminary operating results reported to management for IHT’s hotel properties for the first fiscal year quarter ended April 30, 2019, compared to the quarter ended April 30, 2018, indicate that occupancy was up approximately 4.1%, average daily rate (“ADR”) was up approximately 8.5%, and Revenue Per Available Room (“REVPAR”) was up approximately 8.8%.
On May 30, 2019 IHT’s Board of Trustees approved a one cent semi-annual dividend, payable on July 31, 2019, on shares held of record a July 19, 2019. This continues IHT’s recent practice of paying total annual dividends of two cents per share, payable one cent each semi-annually on July 31 and January 31. This dividend continues 49 consecutive uninterrupted fiscal years during which IHT has paid dividends, since the formation of IHT and the initial listing of its shares on the New York Stock Exchange in 1971.
Part of IHT’s business strategy is to complete the orderly sale of its hospitality real estate (carried on the books at depreciated values) in the current strong economic environment. IHT currently owns equity positions in two hotels, and plans to sell one hotel per year in each of the next two years.
As another part of IHT’s business strategy, management is actively seeking a larger privately or publicly held company that is not listed on the NYSE American as a potential partner for a reverse merger. IHT has begun limited discussions with potential candidates.
With the exception of historical information, the 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 alternatives and expected associated costs and benefits 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 review of strategic, operational and structural alternatives, IHT’s success in finding potential qualified purchasers for its hospitality real estate, or a reverse merger partner, 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.