Choice Hotels’ Record 2022 Hinged On Moving Upmarket
Photo Caption: Envision Hotel Boston-Everett, which belongs to Choice Hotels' Ascend Hotel Collection. Source: Choice Hotels.
Skift Take
Choice Hotels sees itself moving upmarket thanks to the addition of Radisson's Country Inn & Suites and other brands. That could help sustain revenue and profits while fending off rivals like Hilton's new Spark brand.
Choice Hotels International saw revenue spike in the fourth quarter of 2022 thanks to its August acquistion of the Radisson Hotel Group Americas for $675 million and its strengthened pricing power for room rates.
"Our distinct strategy of growing our brand portfolio with hotels that generate higher royalties per unit is driving impressive results," said President and CEO Patrick Pacious on Wednesday. "Our portfolio mix is getting stronger."
The Rockville, Maryland-based hotel operator said that in 2022 it generated a company record net income of $332.2 million on revenue of $1.4 billion, another record.
For full year-2022, Choice Hotels —whose nearly 7,500 hotels primarily span 22 brands, such as its flagship upper midscale brand Comfort and roadside midscale brands like Quality Inn — notched a company record for adjusted earnings before interest, taxes, depreciation, and amortization at $478.6 million — a 23 percent jump compared to 20
