Choice Hotels International Inc. (NYSE:CHH) Q2 2020 Earnings Conference Call - Final Transcript
Aug 06, 2020 • 11:30 am ET
Ladies and gentlemen, thank you for standing by. Welcome to Choice Hotels International Second Quarter 2020 Earnings Call. [Operator Instructions]
I will now turn the conference over to Allie Summers, Investor Relations Director for Choice Hotels.
Good morning, and thank you for joining us today. Before we begin, we would like to remind you that during this conference call, certain predictive or forward-looking statements will be used to assist you in understanding the company and its results. Actual results may differ materially from those indicated in forward-looking statements, and you should consult the company's Forms 10-Q, 10-K and other SEC filings for information about important risk factors affecting the company that you should consider. Moreover, we would like to acknowledge that there continues to be significant uncertainty as to the duration and severity of the impact of the COVID-19 pandemic on our occupancy levels and future results.
These forward-looking statements speak as of today's date and we undertake no obligation to publicly update them to reflect subsequent events or circumstances. You can find a reconciliation of our non-GAAP financial measures referred to in our remarks as part of the second quarter 2020 earnings press release which is posted on our website at choicehotels.com under the Investor Relations section. This morning, Pat Pacious, our President and Chief Executive Officer; and Dom Dragisich, our Chief Financial Officer, will speak to our second quarter and year-to-date operating results and financial performance. They will be joined by Scott Oaksmith, Senior Vice President, Real Estate and Finance. Following Pat and Don's remarks, we'll be glad to take your questions.
And with that, I'll turn the call over to Pat.
Thanks, Allie, and good morning, everyone. We appreciate you taking the time to join us and hope that you and your families are well and healthy. I'd like to begin by acknowledging the truly remarkable efforts throughout the first half of the year of our franchisee small business owners and their hotel staff. As well as choice associates around the globe. Thank you for all you've done for guests and the communities you've touched. This quarter has been marked by unprecedented events, and the velocity of change has never been greater. As you'll hear today, we outperformed the competition in the second quarter on several fronts. The year-over-year change in our domestic system-wide RevPAR of negative 49.6% outperformed the overall industry by over 20 percentage points and exceeded the primary chain scale segments in which we compete, as reported by STR by seven percentage points. And as you can see in Exhibit seven of our press release, our domestic system-wide occupancy rates surpassed the industry by an average 570 basis points per week since the onset of the pandemic in mid-March through July 25. We're pleased that these trends continued through July. For the past 20 weeks through July 25, we continue to observe material RevPAR share gains against the competition. In the second quarter, all of our economy, extended-stay, and select service brands achieved material RevPAR