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Choice Hotels(CHH) - 2025 FY - Earnings Call Transcript
2025-05-15 14:00
Financial Data and Key Metrics Changes - Choice Hotels reported a record adjusted EBITDA of $604.1 million, representing a 12% year-over-year growth [24] - Adjusted EPS increased by 13% year-over-year to $6.88, exceeding the top end of earnings guidance [24] Business Line Data and Key Metrics Changes - The global upscale and above portfolio grew by 44% year-over-year, reaching over 110,000 rooms, which constitutes 17% of the overall system [25] - The company opened its 515th extended stay property, reinforcing its leadership in the fast-growing segment [25] Market Data and Key Metrics Changes - International business grew by 4.4% year-over-year, totaling over 142,000 rooms [31] - The new construction rooms pipeline outside the U.S. increased by 14% year-over-year, indicating significant growth potential in international markets [31] Company Strategy and Development Direction - The company relaunched four brands, repositioning Radisson Individuals and Park Inn by Radisson to enhance market presence [25] - The focus remains on revenue-intensive brands, with 98% of the rooms in the global hotel pipeline within these brands, positioning the company for future growth [26] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the continued growth of hotel demand outpacing supply through 2026, positioning the company favorably for future expansion [26] - The company highlighted the success of its franchisee success system and hotel conversion capabilities as key drivers of growth [24] Other Important Information - The company celebrated the 85th anniversary of its founding brand, Quality Inn, which expanded to nearly 150,000 global rooms [25] - The loyalty program, Choice Privileges, grew to over 70 million members, with a significant portion of active members having high household incomes [28] Q&A Session Summary Question: What changes have you seen in Choice's customer base in the context of the revenue intense growth strategy? - Management noted that business travelers now represent 40% of the overall guest mix, and the loyalty program has attracted higher value customers with significant household incomes [28] Question: Can you expand on the increase in Choice's international footprint? - Management reported a 4.4% year-over-year growth in international business and a 14% increase in the new construction rooms pipeline outside the U.S., indicating strong potential for future growth [31]
Choice Hotels International Reports First Quarter 2025 Results
Prnewswire· 2025-05-08 10:30
Drives Domestic RevPAR Growth of 2.3% Year-over-Year, Outperforming its Chain ScalesGrows Global Net Rooms System Size by 2.8%, Including 3.9% Growth for More Revenue-Intense PortfolioNORTH BETHESDA, Md., May 8, 2025 /PRNewswire/ -- Choice Hotels International, Inc. (NYSE: CHH), a leading global lodging franchisor, today reported its first quarter 2025 results.Highlights include: Net income increased 44% to $44.5 million for first quarter 2025, representing diluted earnings per share (EPS) of $0.94, a 52% ...
Shaping the Future of Hospitality Technology, Choice Hotels Kicks Off MasteryX, its 10th Annual Tech Innovation Summit
Prnewswire· 2025-04-09 13:00
"MasteryX is more than just a conference — it's a launchpad for the future of hospitality technology," said Brian Kirkland, Chief Information Officer, Choice Hotels International. "By upskilling our engineers in AI and emerging tech, we're ensuring that Choice Hotels remains a leader in innovation, continuously delivering smarter, more efficient solutions for our franchisees and guests. Mastery is part of our innovation culture, enabling us to provide reliable, cutting-edge tools designed to help owners gen ...