Choice Hotels International reports developments across its global lodging franchise business, including brand growth, franchise agreements, hotel openings, revenue management, and performance across extended stay, midscale, upscale, and economy segments. Company updates frequently reference brands and platforms such as Sleep Inn, Ascend Collection, Radisson, Choice Privileges, and franchise-owner tools that support booking, distribution, and hotel operations.
Recurring news also covers technology deployment in hospitality, including AI-enabled solutions such as Choice Hotels Business Direct, EasyBid, CHARLIE, RAISE, AgentCore, and AgentForce. Other updates address international expansion, the Canadian direct franchising model, loyalty and traveler research, annual convention themes, and quarterly operating results for the franchise-driven hotel portfolio.
Choice Hotels International's WoodSpring Suites has been ranked #1 in guest satisfaction by the J.D. Power 2024 North America Hotel Guest Satisfaction Index Study for the third consecutive year. This achievement highlights WoodSpring's position as the top economy extended stay brand. With 246 locations open and 264 in development as of Q2 2024, WoodSpring is part of Choice's extended stay portfolio, which is set to reach 500 hotels later this year.
The J.D. Power study measures customer satisfaction based on six factors, including communications, food and beverage, guest room, hotel facility, staff service, and value for price. WoodSpring Suites offers affordable weekly and monthly rates with spacious suites featuring in-room kitchens, catering to longer-term guests.
Choice Hotels International (NYSE: CHH) reported strong Q2 2024 results, with total revenues reaching a record $435.2 million, up 2% year-over-year. Net income increased 3% to $87.1 million, with diluted EPS up 9% to $1.80. Adjusted EBITDA grew 6% to a quarterly record of $161.7 million.
The company's global rooms pipeline expanded 22% year-over-year to over 114,000 rooms, with domestic rooms pipeline up 11%. Global hotel openings increased by 20% compared to Q2 2023. Choice Hotels raised the midpoint of its full-year 2024 EPS guidance, demonstrating confidence in its growth strategy and business model.
Key highlights include a 14% increase in total revenues excluding reimbursable revenue and a 5 basis point increase in domestic effective royalty rate to 5.04%. The company also expanded its international portfolio and repurchased 2.4 million shares for $296.2 million year-to-date.
Choice Hotels International's Choice Privileges program is launching its third season of College Football Experiences. Members can now bid their points on 40 exclusive VIP experiences with 15 different teams, including the national champion Michigan Wolverines. The program, in collaboration with Learfield, offers fans premium game tickets, pre-game sideline passes, and team store gift cards.
Choice Hotels has nearly 100 properties across 15 brands within 10 miles of participating college stadiums. This initiative caters to Choice Privileges members who are college football fans, often staying at Choice hotels for business during the week and for games on weekends. The experiences cover popular teams like Alabama Crimson Tide, Ohio State Buckeyes, and Oklahoma Sooners.
Choice Hotels International (NYSE: CHH) has expanded its Cambria Hotels brand with four new openings in popular U.S. destinations: Niagara Falls, NY; Rehoboth, DE; North Conway, NH; and Denver, CO. These additions bring the total number of Cambria Hotels to over 70 nationwide. The new properties offer full-service upscale experiences with amenities like restaurants, bars, and meeting spaces, catering to both leisure and business travelers.
The expansion aligns with the summer travel season, as a Deloitte survey indicates nearly half of Americans plan to take a trip. Each new hotel features unique designs reflecting local charm and industrial roots, while providing modern amenities and convenient locations near popular attractions. The openings reinforce Choice Hotels' position as a challenger in the upscale segment, complementing its portfolio of brands including Radisson Blu and Ascend Hotel Collection.
Choice Hotels International (NYSE: CHH) has signed an agreement with Entegra, the world's largest food group purchasing organization. This partnership will provide Choice's 5,000+ franchised and managed hotels access to Entegra's digital platform, connecting them with over 3,000 suppliers worldwide. The collaboration aims to help hotel owners make informed food purchasing decisions, potentially reducing costs and improving business performance.
Entegra's CEO, Damien Calderini, emphasized their commitment to delivering procurement solutions and supply-chain expertise to enhance hospitality experiences. Choice Hotels' VP of Procurement, Anya Kroupnik, highlighted the potential for better pricing on products and improved operational support for franchisees, aligning with Choice's goal of reducing total ownership costs and enhancing guest satisfaction.
Choice Hotels (NYSE: CHH), a major lodging franchisor, was named one of 'America's Best Mid-Size Companies 2024' by TIME and Statista. The list highlights U.S. companies with $100 million to $10 billion in revenue, assessing employee satisfaction, revenue growth, and sustainability.
Patrick Cimerola, Choice Hotels' Chief Human Resources Officer, credited the company's dedicated associates and their focus on sustainable growth for this recognition. Choice Hotels also received awards for being a top workplace for women, parents, families, and veterans, as well as for its innovation and trustworthiness.
To learn more about these rankings, visit TIME's website. For information on Choice Hotels' corporate culture and careers, visit careers.choicehotels.com.
Choice Hotels International (NYSE: CHH), a leading lodging franchisor with nearly 7,500 hotels worldwide, will announce its Q2 2024 earnings results on August 8, 2024, at approximately 6:30 a.m. EDT. The company's executives, including CEO Patrick Pacious and CFO Scott Oaksmith, will discuss the performance during a conference call at 10 a.m. EDT. Investors can join the teleconference by dialing domestic or international numbers provided, using the conference ID 34768. A live webcast and replay will be available on Choice Hotels' investor relations website. The company highlights its diverse portfolio of 22 brands and its successful Choice Privileges rewards program, which enhance shareholder value and meet traveler needs globally.
Choice Hotels International announced the pricing of $600 million in senior notes through an underwritten, registered public offering. The notes, maturing on August 1, 2034, will bear an interest rate of 5.850% and be issued at 98.929% of par value. The proceeds will mainly repay a $500 million unsecured term loan, with remaining funds for general corporate purposes. The offering, expected to close by July 2, 2024, is under an automatic shelf registration statement filed with the SEC. The joint book-running managers for the offering include Wells Fargo Securities, BofA Securities, Goldman Sachs, and Truist Securities.
Choice Hotels International (NYSE: CHH) has opened a new Everhome Suites in Lexington, Kentucky, marking its fourth operational Everhome Suites. The company boasts over 60 Everhome Suites in development and 20 currently under construction, with more than 10 expected to open within the next year. As of Q1 2024, Choice Hotels has a pipeline of over 400 properties across its four extended stay brands. The Everhome Suites Lexington North, developed by New Circle Investments and managed by H&W Hotels, features 114 rooms and offers amenities like fully equipped kitchens, spa-style bathrooms, and free Wi-Fi. Choice Hotels' extended stay portfolio grew by 17.4% from March 31, 2023, to March 31, 2024.
Choice Hotels International, a leading lodging franchisor, is expanding its Everhome Suites brand with three new locations in Portsmouth, NH; Rochester, NY; and Somerset, NJ, in collaboration with Highside Companies. These properties, part of the company's extended stay category, cater to both business and leisure travelers. Choice currently has nearly 480 extended stay hotels open and over 400 in the pipeline. The new locations are strategically placed near major business hubs and hospitals, enhancing their appeal. Opening dates range from summer 2025 to fall 2025. Everhome Suites offers amenities such as fully equipped kitchens, spa-style bathrooms, and a range of communal facilities. Choice's expansion underscores its commitment to growth in high-barrier-to-entry markets.