Choice Hotels International, a lodging franchisor, has reported a substantial increase in its financial performance for the full year 2024.
The company’s revenues for 2024 reached $1.585bn, a slight increase from $1.544bn in the previous year.
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The net income rose by 16% to $299.7m, with diluted earnings per share (EPS) climbing 22% to $6.20.
The adjusted earnings for 2024 before interest, taxes, depreciation, and amortisation (EBITDA) also set a new company record at $604.1m, marking a 12% rise and exceeding the top end of the company’s guidance.
In a strategic move, Choice Hotels entered a partnership with Westgate Resorts, adding 21 hotels and 14,471 rooms to its domestic portfolio, thereby enhancing the Choice Privileges rewards programme.
The company also demonstrated its confidence in its stock by repurchasing 3.1 million shares for $382.1m during 2024, which represented 6% of its market capitalisation at the start of the year.
Looking ahead, Choice Hotels forecasts a net income range of $288m to $300m and an adjusted EBITDA between $625m and $640m for the full year 2025.
Choice Hotels president and chief executive officer Patrick Pacious said: “Choice Hotels generated another year of strong results in 2024, exceeding the top end of our earnings guidance and delivering a 4.3% year-over-year net increase in our more revenue-intense domestic rooms portfolio, a testament to the success of our growth strategy.
“In 2024, we also successfully relaunched four brands, substantially expanded our partnerships business, significantly increased our international footprint, achieved record organic rewards programme growth, and unlocked new value through additional ancillary revenue opportunities.
“As we enter 2025, we will continue to realise the earnings growth from our past investments, meaningfully expand the scale of our business, and accelerate our growth in the coming years.”
Last year, Choice Hotels International partnered with digital lending platform Bridge to offer hotel owners streamlined access to cost-effective financing solutions.
