Sotherly Hotels : Annual Meeting Presentation April 2024

Annual Meeting Presentation

A p r i l 3 0 , 2 0 2 4

N O N - G A A P F I N A N C I A L M E A S U R E S

This presentation includes disclosure of the non-GAAP measure hotel EDITDA. The Company considers hotel EBITDA to be a key supplemental measure of the Company's performance, and should be considered along with, but not as an alternative to, net income as a measure of the Company's operating performance. Hotel EBITDA does not represent cash generated from operating activities determined by GAAP and should not be considered as an alternative to net income, cash flow from operations or any other operating performance measure prescribed by GAAP. Hotel EBITDA is not a measure of the Company's liquidity, nor is hotel EBITDA indicative of funds available to fund the Company's cash needs, including its ability to make cash distributions. Please refer to the Company's filings with the SEC and its earnings releases, which are available at www.sotherlyhotels.com, for disclosure of the Company's net income, for reconciliations of hotel EBITDA to net income and for additional detail on the Company's use of non-GAAP measures. Reconciliations of hotel EBITDA to net income are also available in the appendix of this presentation.

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BOARD & BARREL @ HOTEL BALLAST WILMINGTON

PART & PARCEL @ THE WHITEHALL HOUSTON

F O R W A R D - L O O K I N G S T A T E M E N T S

This presentation includes "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934 and Section 27A of the Securities Act of 1933. Although the Company believes that the expectations and assumptions reflected in the forward- looking statements are reasonable, these statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions, which are difficult to predict and many of which are beyond the Company's control. Therefore, actual outcomes and results may differ materially from what is expressed, forecasted or implied in such forward- looking statements. Economic conditions generally and the real estate market specifically, management and performance of the Company's hotels, plans for hotel renovations, financing plans, supply and demand for hotel rooms in the Company's current and proposed market areas, the Company's ability to acquire additional properties and the risk that potential acquisitions may not perform in accordance with expectations, legislative/regulatory changes, including changes to laws governing taxation of real estate investment trust and competitions, and other factors may affect the Company's future results, performance and achievements. These risks and uncertainties are described in greater detail under "Risk Factors" in the Company's Annual Report on Form 10-K and subsequent reports filed with the Securities and Exchange Commission. The Company undertakes no obligation and does not intend to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Although we believe our current expectations to be based upon reasonable assumptions, we can give no assurance that our expectations will be attained or that actual results will not differ materially.

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HYDE RESORT & RESIDENCES

DOUBLETREE RESORT HOLLYWOOD BEACH

S O T H E R L Y M A N A G E M E N T T E A M 6

I N D E P E N D E N T B O A R D O F D I R E C T O R S 7

• Lead Independent Director and Chairman of the Nominating, Corporate Governance and

Compliance Committee

• Founding Partner of Weinberg & Stein

University