8-K/A

Braemar Hotels & Resorts Inc. (BHR)

8-K/A 2025-11-12 For: 2025-11-06
View Original
Added on April 06, 2026

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K/A

(Amendment No. 1)

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(D)

OF THE SECURITIES EXCHANGE ACT OF 1934

Date of Report (date of earliest event reported): November 6, 2025

BRAEMAR HOTELS & RESORTS INC.

(Exact name of registrant as specified in its charter)

Maryland 001-35972 46-2488594
(State or other jurisdiction of incorporation or organization) (Commission File Number) (IRS employer identification number)
14185 Dallas Parkway
Suite 1200
Dallas
Texas 75254
(Address of principal executive offices) (Zip code)

Registrant’s telephone number, including area code: (972) 490-9600

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14-a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).

Emerging growth company    ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of each exchange on which registered
Common Stock BHR New York Stock Exchange
Preferred Stock, Series B BHR-PB New York Stock Exchange
Preferred Stock, Series D BHR-PD New York Stock Exchange

EXPLANATORY NOTE: Pursuant to Item 9.01 of Form 8-K, this Current Report on Form 8-K/A amends the Registrant’s Current Report on Form 8-K filed on November 7, 2025, for the event dated November 6, 2025, to include the pro forma financial information required by Item 9.01 (b) of Form 8-K.

ITEM 9.01     FINANCIAL STATEMENTS AND EXHIBITS.

(b) Pro Forma Financial Information.

The unaudited pro forma financial information for the Company as of and for the nine months ended September 30, 2025 and the year ended December 31, 2024, is attached hereto as Exhibit 99.1 and is incorporated by reference herein.

(d)    Exhibits

Exhibit Number         Description

99.1    Unaudited Pro Forma Financial Information of Braemar Hotels & Resorts Inc.

104    Cover Page Interactive Data File (formatted in Inline XBRL and contained in Exhibit 101)

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

BRAEMAR HOTELS & RESORTS INC.
Dated: November 12, 2025 By: /s/ Deric S. Eubanks
Deric S. Eubanks
Chief Financial Officer

Document

EXHIBIT 99.1

On November 6, 2025, Braemar Hotels & Resorts Inc. (“Braemar” or the “Company”) completed the sale of The Clancy located in San Francisco, California for approximately $108.8 million in cash, net of transfer taxes and selling expenses. Additionally, the Company repaid approximately $64.7 million on the mortgage loan, of which The Clancy was one of four hotels securing the mortgage loan.

The following unaudited pro forma financial information of the Company, as of and for the nine months ended September 30, 2025 and for the year ended December 31, 2024, has been prepared for informational purposes only and does not purport to be indicative of what would have resulted had the disposition occurred on the date indicated or what may result in the future. The unaudited pro forma consolidated balance sheet assumes the disposition closed on September 30, 2025. The unaudited pro forma consolidated statements of operations for the year ended December 31, 2024, and the nine months ended September 30, 2025, assumes the disposition closed on January 1, 2024. The unaudited pro forma financial information of the Company reflects the removal of the assets and liabilities of The Clancy and its results of operations, which contains a non-recurring gain associated with the disposition of the hotel property. The pro forma gain resulting from the disposition of The Clancy is preliminary. Therefore, the actual results may differ from the amounts reflected in the pro forma financial statements. There are no other non-recurring items associated with the transaction.

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET

September 30, 2025

(in thousands, except share and per share amounts)

The Clancy (B) Adjustments Braemar<br>Consolidated<br>Pro Forma
ASSETS
Investment in hotel properties, gross 2,126,129 $ 119,398 $ $ 2,006,731
Accumulated depreciation (52,523) (394,564)
Investment in hotel properties, net 66,875 1,612,167
Cash and cash equivalents 72 108,821 (C) (i) 166,586
6,656 (C) (i)
(65,097) (C) (ii)
Restricted cash 7,472 40,210
Investment in securities (amortized cost of 17,279) 17,277
Accounts receivable, net of allowance 1,246 31,573
Inventories 64 4,565
Note receivable 8,747
Prepaid expenses 121 5,320
Deposit paid to Ashford Inc. 17,000
Deferred costs, net 75
Investment in unconsolidated entity 145
Derivative assets 164
Operating lease right-of-use assets 34,359
Other assets 153 19,535
Intangible assets, net 2,841
Due from third-party hotel managers 3,115 20,014
Total assets 2,009,316 $ 79,118 $ 50,380 $ 1,980,578
LIABILITIES AND EQUITY
Liabilities:
Indebtedness, net 1,164,671 $ 55,326 $ (8,443) (C) (ii) $ 1,100,902
Accounts payable and accrued expenses 5,433 144,694
Dividends and distributions payable 8,553
Due to Ashford Inc. 2,638
Due to related parties, net 1 330
Due to third-party hotel managers 1,775
Operating lease liabilities 20,007
Other liabilities 25,187
Total liabilities 60,760 (8,443) 1,304,086
5.50% Series B cumulative convertible preferred stock, .01 par value, 3,078,017 shares issued and outstanding at September 30, 2025 65,426
Series E redeemable preferred stock, 0.01 par value, 12,697,673 shares issued and outstanding at September 30, 2025 308,547
Series M redeemable preferred stock, 0.01 par value, 1,404,544 shares issued and outstanding at September 30, 2025 35,127
Redeemable noncontrolling interests in operating partnership 18,942
Equity:
Preferred stock, 0.01 value, 80,000,000 shares authorized:
8.25% Series D cumulative preferred stock, 1,600,000 shares issued and outstanding at September 30, 2025 16
Common stock, 0.01 par value, 250,000,000 shares authorized, 68,219,432 shares issued and outstanding at September 30, 2025 682
Additional paid-in capital 18,358 66,875 (C) (i) 726,874
6,656 (C) (i)
(55,326) (C) (ii)
Accumulated other comprehensive income (loss) (2)
Accumulated deficit 41,946 (C) (i) (475,219)
(1,328) (C) (ii)
Total stockholders’ equity of the Company 18,358 58,823 252,351
Noncontrolling interest in consolidated entities (3,901)
Total equity 18,358 58,823 248,450
Total liabilities and equity 2,009,316 $ 79,118 $ 50,380 $ 1,980,578

All values are in US Dollars.

See accompanying notes.

NOTES TO UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET

(A)Represents the historical consolidated balance sheet of Braemar as of September 30, 2025, as reported in its Quarterly Report on Form 10-Q for the nine months ended September 30, 2025, filed on November 7, 2025.

(B)Represents the removal of the historical balance sheet of The Clancy as of September 30, 2025.

(C)Represents adjustments for Braemar’s disposition of The Clancy as of September 30, 2025, which includes: (i) an adjustment for the cash consideration received of approximately $108.8 million, net of transfer taxes and selling expenses and cash received for hotel net working capital; and (ii) the cash paid to repay the mortgage loan partially secured by The Clancy.

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

Year Ended December 31, 2024

(in thousands, except share and per share amounts)

Braemar<br>Consolidated<br>Historical (A) The Clancy (B) Adjustments Braemar<br>Consolidated<br>Pro Forma
REVENUE
Rooms $ 452,361 $ 30,020 $ $ 422,341
Food and beverage 181,250 3,084 178,166
Other 94,793 3,285 91,508
Total hotel revenue 728,404 36,389 692,015
EXPENSES
Hotel operating expenses:
Rooms 106,465 9,606 96,859
Food and beverage 145,901 4,800 141,101
Other expenses 225,864 11,082 214,782
Management fees 23,500 1,819 21,681
Total hotel operating expenses 501,730 27,307 474,423
Property taxes, insurance and other 42,508 3,806 38,702
Depreciation and amortization 98,733 8,123 90,610
Advisory services fee 30,487 30,487
Corporate general and administrative 14,361 14,361
Total expenses 687,819 39,236 648,583
Gain (loss) on disposition of assets and hotel property 88,165 41,946 (C) (i) 130,111
OPERATING INCOME (LOSS) 128,750 (2,847) 41,946 173,543
Equity in earnings (loss) of unconsolidated entity (1,608) (1,608)
Interest income 7,135 241 6,894
Interest expense and amortization of premiums and loan costs (108,124) (6,234) (101,890)
Write-off of premiums, loan costs and exit fees (6,111) (3) (6,108)
Gain (loss) on extinguishment of debt (22) (1,328) (C) (ii) (1,350)
Unrealized gain (loss) on derivatives 585 585
INCOME (LOSS) BEFORE INCOME TAXES 20,605 (8,843) 40,618 70,066
Income tax (expense) benefit (842) (842)
NET INCOME (LOSS) 19,763 (8,843) 40,618 69,224
(Income) loss attributable to noncontrolling interest in consolidated entities (25,928) (25,928)
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership 4,472 (3,982) (C) (iv) 490
NET INCOME (LOSS) ATTRIBUTABLE TO THE COMPANY (1,693) (8,843) 36,636 43,786
Preferred dividends (40,295) (40,295)
Deemed dividends on preferred stock (8,958) (8,958)
NET INCOME (LOSS) ATTRIBUTABLE TO THE COMMON STOCKHOLDERS $ (50,946) $ (8,843) $ 36,636 $ (5,467)
INCOME (LOSS) PER SHARE - BASIC:
Net income (loss) attributable to common stockholders $ (0.77) $ (0.08)
Weighted average common shares outstanding—basic 66,500 66,500
INCOME (LOSS) PER SHARE - DILUTED:
Net income (loss) attributable to common stockholders $ (0.77) $ (0.08)
Weighted average common shares outstanding—diluted 66,500 66,500

See accompanying notes.

BRAEMAR HOTELS & RESORTS INC. AND SUBSIDIARIES

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

Nine Months Ended September 30, 2025

(in thousands, except share and per share amounts)

Braemar<br>Consolidated<br>Historical (A) The Clancy (B) Adjustments Braemar<br>Consolidated<br>Pro Forma
Revenue
Rooms $ 331,617 $ 27,536 $ $ 304,081
Food and beverage 133,996 2,544 131,452
Other 72,840 2,444 70,396
Total hotel revenue 538,453 32,524 505,929
Expenses
Hotel operating expenses:
Rooms 80,232 8,097 72,135
Food and beverage 106,662 3,775 102,887
Other expenses 168,587 8,529 160,058
Management fees 16,891 1,626 15,265
Total hotel operating expenses 372,372 22,027 350,345
Property taxes, insurance and other 26,568 2,824 23,744
Depreciation and amortization 69,919 4,565 65,354
Advisory services fee 21,717 21,717
Corporate general and administrative 4,407 4,407
Total operating expenses 494,983 29,416 465,567
Gain (loss) on disposition of assets and hotel properties 40,970 40,970
Operating income (loss) 84,440 3,108 81,332
Interest income 4,901 209 4,692
Other income (expense) (1,250) (1,250)
Interest expense and amortization of loan costs (75,376) (3,691) (71,685)
Write-off of premiums, loan costs and exit fees (1,833) (122) (1,711)
Gain (loss) on extinguishment of debt (1,553) (1,553)
Unrealized gain (loss) on derivatives (301) (301)
Income (loss) before income taxes 9,028 (496) 9,524
Income tax (expense) benefit (474) (93) (C) (iii) (567)
Net income (loss) 8,554 (496) (93) 8,957
(Income) loss from consolidated entities attributable to noncontrolling interests 361 361
Net (income) loss attributable to redeemable noncontrolling interests in operating partnership 2,358 (28) (C) (iv) 2,330
Net income (loss) attributable to the Company 11,273 (496) (121) 11,648
Preferred dividends (26,928) (26,928)
Deemed dividend on preferred stock (11,086) (11,086)
Net income (loss) available to common stockholders $ (26,741) $ (496) $ (121) $ (26,366)
Income (loss) per share – basic:
Income (loss) attributable to common stockholders $ (0.40) $ (0.39)
Weighted average common shares outstanding—basic 67,419 67,419
Income (loss) per share – diluted:
Income (loss) attributable to common stockholders $ (0.40) $ (0.39)
Weighted average common shares outstanding—diluted 67,419 67,419

See accompanying notes.

NOTES TO UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(A)Represents the historical consolidated statement of operations of Braemar for the year ended December 31, 2024, as reported in its Annual Report on Form 10-K for the year ended December 31, 2024, filed on March 12, 2025 and the historical consolidated statement of operations of Braemar for the nine months ended September 30, 2025, as reported in its Quarterly Report on Form 10-Q for the nine months ended September 30, 2025, filed on November 7, 2025.

(B)Represents the removal of the historical consolidated statements of operations of The Clancy for the year ended December 31, 2024 and the nine months ended September 30, 2025.

(C)Represents adjustments for the Company’s sale of The Clancy, which includes: (i) the estimated non-recurring gain on the disposition of The Clancy for the year ended December 31, 2024; (ii) an adjustment for the write-off of deferred loan costs and fees associated with loan paydown; (iii) additional estimated tax expense for the nine months ended September 30, 2025 associated with the hotel no longer being part of the consolidated group; and (iv) the net (income) loss allocated to redeemable noncontrolling interests in operating partnership related to the disposition of The Clancy, including the estimated non-recurring gain for the year ended December 31, 2024, based on an ownership percentage of 8.05% for the year ended December 31, 2024, and 6.91% for the nine months ended September 30, 2025. There is no additional estimated tax effect associated with the hotel no longer being part of the consolidated group for the year ended December 31, 2024. The pro forma gain and the related tax effects, resulting from the disposition of The Clancy are preliminary. The actual results may differ from the amounts reflected in the pro forma financial statements.

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