Choice Hotels (CHH) Q2 FY26 earnings call

Choice Hotels reported encouraging Q2 FY26 results, marked by sequential improvements in U.S. net rooms growth and a 1.3% increase in U.S. RevPAR, supported by strategic investments in its commercial engine and technology. The company is transitioning to a pure-play asset-light franchising model, with capital outlays for hotel development significantly reduced. While adjusted EBITDA saw solid growth, operating cash flow was impacted by increased franchise acquisition costs and higher reimbursable expenses, and the company updated its full-year EPS guidance to reflect higher interest and tax ra