Overview

* Choice Hotels ( CHH ) Q2 adjusted EPS of $1.92 beats analyst expectations, per LSEG data

* Net income for Q2 fell to $81.7 mln from $87.1 mln in 2024

* Co highlights strategic international expansion with acquisitions and new agreements

Outlook

* Company adjusts RevPAR outlook amidst changing macroeconomic backdrop

* Choice Hotels ( CHH ) expects $6 mln EBITDA contribution from Canada acquisition

* Company forecasts full-year 2025 net income of $261-276 mln

* Choice Hotels ( CHH ) sees full-year 2025 adjusted EBITDA at $615-635 mln

Result Drivers

* GLOBAL EXPANSION - Co accelerated international growth with strategic agreements in Brazil, France, and China, adding significant room capacity

* DOMESTIC CHALLENGES - Domestic RevPAR declined due to macroeconomic uncertainty and difficult comparisons with 2024 events

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $1.92 $1.9 (11

Adjusted Analysts

EPS )

Q2 EPS $1.75

Q2 $90 mln

Adjusted

Net

Income

Q2 Net $81.70

Income mln

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 8 "hold" and 3 "sell" or "strong sell"

* The average consensus recommendation for the hotels, motels & cruise lines peer group is "buy."

* Wall Street's median 12-month price target for Choice Hotels International Inc ( CHH ) is $132.50, about 5.6% above its August 5 closing price of $125.12

* The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 18 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)