CHH Choice Hotels International margins

Relative Growth: Rel. Growth:

Relative Strength: Rel. Strength:

Relative Valuation: Rel. Valuation:

Relative Profitability: Rel. Profitability: 70

Gross margin

50.2%

Operating margin

22.8%

EBITDA margin

28%

Net margin

12.7%

Recent Choice Hotels International shows a gross margin of 50.2%, an operating margin of 22.8%, an EBITDA margin of 28%, and a net margin of 12.7%. EBITDA margin headed the decline across the available margins, falling by 12.4 percentage points.

CHH margin history

Gross, operating, EBITDA and net margin trends

Over the last 3 years, Choice Hotels International's margins averaged 52.74% gross, 26.48% operating, 34.18% EBITDA, and 18.63% net. Each of the four current margins is below its three-year average.

CHH margin expansion

Year-over-year margin changes in percentage points

All available margins decreased year over year, led by EBITDA margin with a decline of 12.4 percentage points.

Gross margin expansion

-3pp

Operating margin expansion

-6.4pp

EBITDA margin expansion

-12.4pp

Net margin expansion

-11.2pp

CHH Gross margin

In the last 3 years, Choice Hotels International had an average gross margin of 52.74%. Against its three-year average, Choice Hotels International's gross margin is currently 50.2%, 2.5 percentage points below its three-year average. Looking back over the last 3 years, Choice Hotels International's gross margin reached 56.3% at its highest point in Sep 2024 and 50.2% at its lowest in Sep 2026.

CHH Operating margin

The average operating margin for Choice Hotels International was 26.48% over the last 3 years. The current operating margin stands at 22.8%, 3.7 percentage points below its three-year average. The operating margin for Choice Hotels International moved between 22.8% in Sep 2026 and 30.5% in Mar 2025.

CHH EBITDA margin

Over the last 3 years, Choice Hotels International's EBITDA margin averaged 34.18%. The current EBITDA margin of 28% is 6.2 percentage points below its three-year average. During this period, EBITDA margin reached a high of 40.4% in Sep 2025 and a low of 28% in Sep 2026.

CHH Net margin

Over the last 3 years, the average net margin for Choice Hotels International was 18.63%. The latest net margin for Choice Hotels International is 12.7%, 5.9 percentage points below its three-year average. Choice Hotels International's net margin ranged from a low of 12.7% in Sep 2026 to a high of 23.9% in Sep 2025.

CHH margin group comparison

Margins compared with peer-group, industry and sector averages

With a gross margin of 50.2%, CHH ranks higher than the Consumer Cyclical sector and the industry average. In comparison with the Consumer Cyclical sector average of 36.3%, Choice Hotels International's gross margin is 38% higher.

CHH margin peer comparison

Compare margins with selected peers

Frequently asked questions

What is Choice Hotels International's gross margin?

As of Sep 30, 2026, CHH has a gross margin of 50.2%.

What is Choice Hotels International's operating margin?

The current operating margin for CHH is 22.8% as of Sep 30, 2026.

What is Choice Hotels International's EBITDA margin?

For the period ending Sep 30, 2026, CHH recorded an EBITDA margin of 28%.

What is Choice Hotels International's net margin?

For the period ending Sep 30, 2026, CHH recorded a net margin of 12.7%.

What are the average margins of CHH?

Choice Hotels International's average margins over the last 3 years were 52.7% gross, 26.5% operating, 34.2% EBITDA, and 18.6% net.

What are the highest historical margins of CHH?

Choice Hotels International's highest recorded margins during the past 5 years were 57.2% gross in Mar 2022, 42.3% operating in Mar 2022, 46.6% EBITDA in Mar 2022, and 29.2% net in Mar 2022.

What are the lowest historical margins of CHH?

Looking back across 5 years, CHH reached its lowest margins at 45.2% gross in Sep 2023, 22.8% operating in Sep 2026, 28% EBITDA in Sep 2026, and 12.7% net in Sep 2026.