Apple Hospitality REIT, Inc. (NYSE: APLE)

Apple Hospitality REIT, Inc. is a self advised real estate investment trust that invests in income producing real estate, primarily in the lodging sector, across the United States. As of December 31 2025 the company owned 217 hotels comprising 29,583 guest rooms located in 37 states and the District of Columbia. Substantially all of these hotels operate under Marriott or Hilton brand names. The company’s common shares trade on the New York Stock Exchange under the ticker APLE. The company concentrates on acquiring rooms focused hotels that have diverse demand generators, strong brand recognition and the potential for high operating margins.

The company generates revenue primarily from the rental of hotel rooms to guests, which includes room revenue and associated ancillary services such as food and beverage, parking and other hotel amenities. Revenue is driven by occupancy levels, average daily rate and revenue per available room across its portfolio of hotels. Hotel level revenue is collected by the company through its ownership interest, while day to day operations are managed under contracts with independent hotel management companies.

The company operates through the following segments.

• Reportable Segment: The segment consists of the company’s hotel portfolio, focusing on the acquisition, ownership and management of lodging properties that are predominantly rooms focused and affiliated with leading brands such as Marriott and Hilton, to generate room related income and support long term shareholder value. The segment also emphasizes reinvestment in existing properties to maintain competitive advantage and actively pursues selective acquisitions and dispositions to optimize portfolio quality.

Apple Hospitality REIT, Inc. ranks among the largest hospitality real estate investment trusts in the United States when measured by number of hotels and guest rooms. Its competitive advantages stem from a diversified geographic footprint, a broad mix of upscale and upper midscale brands, long standing relationships with major hotel franchisors and a disciplined approach to capital allocation and leverage management. The company maintains a leverage ratio of total debt net of cash to total capitalization of 35.5% as of December 31 2025, which provides financial flexibility relative to many peers. The company’s scale allows it to negotiate favorable terms with vendors and to attract experienced third party managers who seek to align incentives through variable fee structures. With properties spread across 37 states and the District of Columbia, the company limits its exposure to localized economic downturns or demand shifts.

The company serves a broad base of travelers that includes both leisure and business guests, ranging from individual travelers to groups attending conferences or events. Its customers are drawn from domestic and international sources, although the company does not own or operate any properties outside the United States. The company’s hotels cater to transient guests seeking short term stays as well as groups attending conferences, weddings or other events. Brand loyalty programs and affiliation with major hotel chains help drive repeat visitation and strengthen relationships with frequent travelers.