Choice Hotels, franchisor of a number of economy and midscale brands, reported second-quarter profits were up 6% on an increase in occupancy.
The company earned $27 million on $150 million in revenue, compared to $25 million on $143 million in revenue last year.
Revenue per available room was up 0.3%, while average daily rates were down 2.2%, to $69.01.Occupany was 51.7%, compared to 50.4% in the same period last year.
"We're pleased to report positive domestic RevPAR for the first time since the second quarter of 2008, due in large part to gains in occupancy and a gradually improving average daily rate environment from this year's first quarter," said Stephen Joyce, president and chief executive officer.
"We expect RevPAR to continue to show improvement for the remainder of the year, however we believe the hotel transaction environment will remain difficult and thus continue to adversely impact our franchise sales results.”
Choice’s brands are Comfort Inn, Comfort Suites, Quality, Sleep Inn, Clarion, Cambria Suites, MainStay Suites, Suburban Extended Stay Hotel, Econo Lodge, Rodeway Inn and Ascend Collection.