Choice Hotels Targets Revenue Gap Under Interim Chief

Choice Hotels is adding properties but continues to trail wider hotel-industry revenue growth, giving interim chief executive Dominic Dragisich a clear operational challenge. Revenue per available room at its upscale and higher-category hotels increased 1.3%, compared with roughly 5% for the wider segment. Midscale and upper-midscale performance also remained below industry averages. However, the company opened around 6,400 US rooms during the second quarter, its strongest quarterly opening performance since 2019. It has raised expected global net room growth to around 1.5% and plans to sell its 19 company-owned hotels as it moves towards a fully asset-light business model.