Wyndham Hotels & Resorts Reports Second Quarter 2022 Results

PARSIPPANY, NJ – Wyndham Hotels & Resorts (NYSE: WH) today announced its results for the three months ended June 30, 2022. Highlights include:

  • Global RevPAR increased by 23% compared to the second quarter of 2021 at constant currency.
  • System-wide chambers grew 3% year-over-year, including 2% growth in the United States and 4% growth internationally.
  • Revenue in the Hotel Franchise segment increased 18% year-over-year.
  • Diluted earnings per share of $1.00 and adjusted diluted earnings per share of $1.07.
  • Net earnings of $92 million and adjusted net earnings of $99 million.
  • Adjusted EBITDA of $175 million.
  • Year-to-date net cash from operating activities of $242 million and free cash flow of $224 million.
  • National amenities signings rose 77%, including 22 new construction projects for the company’s new extended stay brand, bringing the total number to 72 since its launch in March.
  • Finalization of the sale of the Wyndham Grand Rio Mar Resort.
  • Returning $171 million to shareholders through share buybacks of $142 million and a quarterly cash dividend of $0.32 per share.
  • The company is raising its outlook for 2022.

“We kicked off our much-requested summer season with the strongest Memorial Day we’ve ever seen as guests traveled farther, stayed longer and spent more at our hotels than before the pandemic,” said Geoffrey A. Ballotti, President and CEO. “Our business had another strong quarter with performance above last year and 2019, as the international recovery gained momentum and our development teams took our pipeline to an all-time high. Our results Q2 results once again demonstrated the strength and sustainability of our business model and we are on track to deliver on our 2022 commitments.”

Royalty and other revenue increased 10% year-over-year to $354 million, as the impact of higher global RevPAR and higher license fees was partially offset by a $21 million impact from the sale of company-owned hotels and the exit of its select service management business.

The Company generated net earnings of $92 million, or $1.00 per diluted share, an increase of $24 million, or $0.27 per diluted share, reflecting higher adjusted EBITDA, lower amortization charges due to the sale of the hotels owned by the Company and a decrease in expenses associated with the early extinguishment of debt. Adjusted EBITDA increased $7 million, or 4%, from 2021 to $175 million, reflecting revenue growth, which was partially offset by the $8 million impact of the sale of corporately owned hotels and the exit of its select services management business as well as a $2 million unfavorable timing effect from the marketing fund.

Complete reconciliations of GAAP results to the Company’s adjusted non-GAAP measures for all periods presented are contained in the tables in this press release.

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About Wyndham Hotels & Resorts

Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchise company by number of properties, with more than 8,900 hotels in more than 95 countries on six continents. With its network of more than 813,000 rooms that appeal to the everyday traveler, Wyndham provides a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 22 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. The company’s award-winning Wyndham Rewards loyalty program offers approximately 94 million registered members the ability to redeem points at thousands of hotels, resorts and vacation rentals worldwide. For more information, visit www.wyndhamhotels.com.

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