Filing Flows › Choice Hotels International (CHH) › Q2 2026
Choice Hotels International (CHH) Q2 2026 earnings results (second quarter 2026)
10-Q filed Aug 5, 2026
Choice Hotels International (CHH) reported revenue of $441M for the second quarter 2026 (Q2 2026), +3% from a year earlier and +29% from the quarter before. Operating margin was 23.6%, net earnings $64.3M (14.6% of revenue).
Choice Hotels International, Q2 2026: revenue $441M (+3% year over year), operating margin 23.6%, net earnings $64.3M, operating cash flow $90.5M. The chart follows the revenue to costs, profit and cash.
| Q2 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $441M | +29% | +3% |
| Operating profit | $104M | +73% | -16% |
| Net earnings | $64.3M | +217% | -21% |
| Operating cash flow | $90.5M | — | -5% |
| Free cash flow | $80.1M | — | +22% |
What changed
Revenue was $440.8M in Q2 2026, up 3% year over year and up 29% from the previous quarter. Franchise and management fees was the largest line at 43% of revenue. Franchise and management fees added $10.4M year over year (up 6%), 73% of the total change. Revenue for reimbursable costs from franchised and managed properties declined 2%.
Operating profit was $104.1M, a 23.6% margin (down 5.6 points year over year). Operating profit fell $20.5M even though revenue rose $14.3M versus Q2 2025, so costs grew faster than sales. Total costs grew 12% against revenue growth of 3%. The fastest-growing cost line was Other operating costs (+13%). Net earnings were $64.3M, down 21% year over year. The effective tax rate was 25.1%.
Operating cash flow was $90.5M (down 5% year over year), 141% of net earnings. Non-cash charges added back $16.8M of depreciation and amortization and $4.2M of share-based compensation. Working capital and other items added $5.1M. Capital expenditures of $10.5M left free cash flow of $80.1M.
Questions
What was Choice Hotels International's revenue in the second quarter 2026?
Choice Hotels International (CHH) reported revenue of $441M for the second quarter 2026 (Q2 2026), +3% from a year earlier and +29% from the quarter before.
Was Choice Hotels International profitable in the second quarter 2026?
Operating profit was $104M (23.6% of revenue) and net earnings $64.3M.