| Market Capitalization (Millions $) |
6,225 |
| Shares
Outstanding (Millions) |
47 |
| Employees |
1,800 |
| Revenues (TTM) (Millions $) |
1,586 |
| Net Income (TTM) (Millions $) |
313 |
| Cash Flow (TTM) (Millions $) |
-3 |
| Capital Exp. (TTM) (Millions $) |
158 |
Choice Hotels International Inc
We are primarily a hotel franchisor with franchise agreements and owned hotels. Our brand names include Comfort Inn', Comfort Suites', Quality', Clarion', Clarion Pointe', Ascend Hotel Collection', Sleep Inn', Econo Lodge', Rodeway Inn', MainStay Suites', Suburban Extended Stay Hotel', WoodSpring Suites', Everhome Suites', and Cambria' Hotels.
The hotel franchising industry is the companys core segment, accounting for around 96 percent of overall sales. Domestic franchise operations are managed through direct franchising relationships and the ownership of six Cambria hotels, while international franchise operations are managed through a combination of direct franchising and master franchising or master development relationships.
Master franchising arrangements are managed by master franchising agreements, which often grant the master franchisee the ability to utilize our brands and sub-license their usage in a certain geographic territory for a charge.
With a primary focus on hotel franchising, we benefit from the economies of scale inherent in the franchising business. The fee and cost structure of our franchising business provides opportunities to improve operating results by increasing the number of franchised hotel rooms and effective royalty rates of our franchise contracts resulting in increased initial and relicensing fee revenue, ongoing royalty fees, and procurement services revenues. In addition, our operating results can also be improved through our company-wide efforts related to improving property-level performance and expanding the number of partnerships with travel-related companies.
The principal factors that affect the Company's results are: the number and relative mix of hotel rooms in the various hotel lodging price categories; growth in the number of hotel rooms owned and under franchise; occupancy and room rates achieved by the hotels in our system; the effective royalty rate achieved on our franchise agreements; the level of franchise sales and relicensing activity; the number of qualified vendor arrangements and travel related partnerships and the level of engagement with these partners by our franchisees and guests; and our ability to manage costs. The number of rooms in our hotel system and the occupancy and room rates at those properties significantly affect the Company's results because our fees are based upon room revenues or the number of rooms at owned and franchised hotels.
We have created or bought six Cambria hotels in addition to our hotel franchise company. We plan to continue strategically developing hotels in order to expand our brands footprint in the United States, improve guest happiness and brand preference, and, eventually, increase the number of franchise agreements awarded. When it comes to hotel development, we look for significant areas with high growth potential, as well as great operating performance and increased brand awareness. The Cambria Hotels and Everhome Suites brands are presently the focus of our hotel development and ownership initiatives. We feel that our owned hotels enable us to support and accelerate the expansion of our brands. We do not intend to own hotels indefinitely and aim to sell them at a profit.
Company Address: 915 Meeting Street North Bethesda, 20852 MD
Company Phone Number: 592-5000 Stock Exchange / Ticker: NYSE CHH
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5.86 %