Choice Hotels — Aug 5, 2026 release

Full-Year 2026 Prior Outlook Net income $230 to $241 million $265 to $275 million Adjusted net income $312 to $323 million $320 to $330 million Adjusted EBITDA $635 to $650 million $632 to $647 million     Adjusted SG&A Mid-single digits Mid-single digits Diluted EPS $5.07 to $5.31 $5.72 to $5.94 Adjusted diluted EPS $6.86 to $7.10 $6.92 to $7.14 Effective tax rate 26% 25% Full-Year 2026 vs. 2025 Full-Year 2026 vs. 2025 Global RevPAR growth 0% to 1% -2% to 1%     U.S. RevPAR growth 0% to 1.25% -2% to 1% U.S. royalty rate growth 7 bps to 9 bps Mid-single digits Global net system rooms growth Approximately 1.5% Approximately 1% The net income guidance range has been revised from the Company's prior outlook primarily to reflect higher expected marketing and reservation system reimbursable expenses, driven by increased investment in franchisee-facing tools and guest delivery capabilities, as well as higher interest expense and a higher effective tax rate. The adjusted net income guidance range has been revised from the Company's prior outlook primarily to reflect higher expected interest expense and a higher effective tax rate. 3 Net capital outlays include investments in owned hotel properties, investments in affiliates, notes receivable issued, net of collections, proceeds from asset sales, and distributions from sales of affiliates. 4 Share repurchases include repurchases under the Company's stock repurchase program and repurchases from employees in connection with tax withholding and option exercises relating to awards under the Company's equity incentive plans. Adjusted EBITDA guidance has been raised from the Company's prio