Choice Hotels’ fourth-quarter profit was slightly better than analysts projected, but the earnings report released Tuesday showed declining occupancy and RevPAR and those numbers were projected to worsen the first quarter of this year.

Choice’s adjusted EPS for the fourth quarter was $0.41, slightly down from $0.44 in 2007, but four cents better than what experts predicted. RevPAR fell 7.7 percent in the fourth quarter and 1.8 percent for the year, compared to ’07, and Choice expected those numbers to get worse this year: a 12-percent drop in RevPAR this quarter and 10 percent for the year.

Choice did increase domestic unit (6.1 percent) and room growth (5.6 percent) for the year. Franchising revenues (2 percent) and total revenues (4 percent) also went up.

“While the last six months of 2008 represented a challenging time for the hotel industry, for the year, Choice Hotels was able to demonstrate strong domestic unit and room growth and increase its effective royalty rate, franchising revenues and total revenues,” said Steve Joyce, Choice president and chief executive officer. “While we do not see any immediate economic turnaround or increased liquidity in the credit markets, Choice is uniquely positioned for long-term growth in this climate. With our proven, fee-based business model and financial strength, we have historically been able to perform well in a wide range of industry and economic environments. We remain focused on taking advantage of our tremendous long-term growth prospects while at the same time returning excess cash flows to our investors by way of share repurchases and dividends.”

Gaylord Entertainment Co. also reported its year-end numbers yesterday, which looked pretty good thanks to the addition of the newly opened Gaylord National Resort and Convention Center. Consolidated revenue increased 19.9 percent in the fourth quarter and was up 24.5 percent for the year. Total revenue for the hospitality segment increased 23.7 percent in the fourth quarter, but same-store hospitality revenue fell 3.8 percent. Gaylord’s RevPAR decreased eight percent in the fourth quarter and 1.1 percent for the year.

Morgans Hotel Group announced preliminary expectations for its fourth-quarter revenue (a 19 percent drop in RevPAR and four percent for the year); the official earnings release was scheduled for after the market closes on Feb. 26.

Sands Corp. will announce its year-end numbers after the market closes today, and Marriott International is scheduled to do the same on Thursday.