PARSIPPANY, N.J. (July 28, 2021) – Wyndham Hotels & Resorts (NYSE: WH) today announced results for the three months ended June 30, 2021. Highlights include:
Second quarter diluted earnings per share was $0.73 compared to diluted loss per share of $1.86 in second quarter 2020; second quarter adjusted diluted EPS was $0.95 compared to adjusted diluted EPS of $0.10 in second quarter 2020.
Second quarter net income was $68 million compared to a net loss of $174 million in second quarter 2020; second quarter adjusted net income was $89 million compared to adjusted net income of $9 million in second quarter 2020.
Second quarter adjusted EBITDA was $168 million compared to adjusted EBITDA of $66 million in second quarter 2020.
Second quarter net cash provided by operating activities was $116 million and free cash flow was $104 million compared to net cash used in operating activities of $57 million and free cash flow of $(68) million in second quarter 2020.
Global RevPAR increased 110% compared to second quarter 2020 and declined 17% compared to second quarter 2019 in constant currency.
Paid quarterly cash dividend of $0.16 per share in second quarter and Board of Directors recently authorized a 50% increase in the quarterly cash dividend to $0.24 per share beginning with the dividend expected to be declared in third quarter 2021.
Company provides full-year 2021 outlook.
“With continued increasing demand from our leisure and everyday business travelers, our select-service franchise business model generated another strong quarter of adjusted EBITDA and cash flow, allowing us to increase our dividend by 50%,” said Geoffrey A. Ballotti, president and chief executive officer. “Our brands continue to capture market share gains above pre-pandemic levels, while our economy brands here in the U.S. actually exceeded 2019 RevPAR for the quarter. We opened over 70% more rooms than we did last year while growing our development pipeline by 6% vs. prior year, and by 2% sequentially – to over 190,000 rooms. We are extremely proud of all that our team members around the world have achieved, as they remain focused on delivering exceptional value for our owners, guests and shareholders.”
Fee-related and other revenues increased 67% to $321 million, compared to $192 million in the second quarter of 2020 primarily reflecting the ongoing recovery in travel demand and its impact on global RevPAR, which has now recovered to 83% of 2019 levels, including domestic RevPAR at 95% of 2019 levels.
The Company generated net income of $68 million, or $0.73 per diluted share, compared to a net loss of $174 million, or $1.86 loss per diluted share, in the second quarter of 2020. The increase of $242 million, or $2.59 per diluted share, reflects: the ongoing recovery in travel demand; a $10 million, or $0.11 per diluted share, after-tax benefit from the marketing fund related to timing; and the absence of $176 million, or $1.89 per diluted share, after-tax of special-item charges incurred during second quarter 2020. These results were partially offset by a $14 million, or $0.15 per diluted share, after-tax impact in 2021 related to the early extinguishment of the Company’s 5.375% senior unsecured notes.
The following discussion of second quarter operating results focuses on the Company’s key drivers as well as revenue and adjusted EBITDA for each of the Company’s segments. Full reconciliations of GAAP results to the Company’s non-GAAP adjusted measures for all reported periods appear in the tables to this press release.
System Size
During the first half of 2021, the Company’s global system grew 30 basis points primarily reflecting continued growth in the Company’s direct-franchising business in China. This was partially offset by the anticipated decline in domestic system size as conversion and new construction activities continue to ramp-up following the pandemic and recent supply chain delays. Year-to-date deletions ran 27% below 2019 levels putting the Company solidly on track with its goal of achieving a 95% retention rate for the full year 2021.
RevPAR
Global and international RevPAR began to lap the onset of the COVID-19 pandemic in January 2021, while the U.S. began to lap its onset in March 2021. As such, comparisons to 2019 (on a two-year, constant currency basis) are more meaningful when evaluating trends. On this basis, global RevPAR declined 17% reflecting a 5% decline in the U.S. and a 44% decline internationally. The 5% decline in the U.S. represents continued sequential improvement compared to a decline of 25% in the first quarter of 2021. Importantly, RevPAR for the Company’s economy brands exceeded 2019 levels by 4% in the second quarter. The 44% international decline primarily represents a 68% decline in the Company’s EMEA region and a 7% decline in China.
Business Segment Results
Hotel Franchising revenues increased 55% year-over-year to $283 million, primarily reflecting the global RevPAR increase. Adjusted EBITDA increased 93% to $166 million as the growth in revenues and the timing benefit from the marketing fund was partially offset by higher volume-related expenses.
Hotel Management revenues increased 62% year-over-year to $123 million, reflecting a $19 million increase in cost-reimbursement revenues, which have no impact on adjusted EBITDA. Absent cost-reimbursements, Hotel Management revenues increased 280% to $38 million, primarily due to the global RevPAR increase, as well as improved performance at the Company’s owned hotels and incremental management contract termination fees resulting from the sale of CorePoint Lodging properties. Hotel Management adjusted EBITDA increased $20 million year-over-year reflecting the revenue increases, partially offset by higher volume-related expenses.
During the second quarter 2021, the Company’s marketing fund revenues exceeded expenses by $14 million; while in second quarter 2020, the Company’s marketing fund expenses exceeded revenues by $3 million. While the Company does not expect the marketing fund to have a significant impact on full year 2021 adjusted EBITDA, there may continue to be timing differences in quarterly comparisons.
Development The Company awarded 154 new contracts this quarter compared to 116 in second quarter 2020 and 173 in second quarter 2019. On June 30, 2021, the Company’s global development pipeline consisted of over 1,400 hotels and over 190,000 rooms. The pipeline grew 580 basis points year-over-year and 170 basis points sequentially – including 70 basis points domestically and 230 basis points internationally. Approximately 64% of the Company’s development pipeline is international and 74% is new construction, of which approximately 34% has broken ground.
Cash and Liquidity The Company generated $116 million of net cash provided by operating activities in the second quarter of 2021 compared to net cash used in operating activities of $57 million in second quarter 2020. Free cash flow increased $172 million year-over-year as the Company generated free cash flow of $104 million in the second quarter of 2021 compared to using $68 million in the second quarter 2020 (which included $33 million of special-item cash outlays).
At June 30, 2021, the Company had $103 million of cash on its balance sheet and approximately $840 million in total liquidity.
Dividends The Company paid common stock dividends of $15 million, or $0.16 per share, in the second quarter of 2021.
The Company’s Board of Directors authorized a 50% increase in the quarterly cash dividend to $0.24 per share from $0.16 per share, beginning with the dividend that is expected to be declared in third quarter 2021.
2021 Outlook The Company provided the following outlook for full-year 2021:
Fee-related and other revenues of $1.16 billion to $1.19 billion.
Adjusted net income of $244 million to $254 million.
Adjusted EBITDA of $525 million to $535 million.
Adjusted diluted EPS of $2.60 to $2.70, based on an adjusted diluted share count of 94.0 million that excludes any future share repurchases.
Rooms growth of 1% to 2%.
A RevPAR increase of approximately 40% versus 2020, or a decline of approximately 16% compared to 2019.
Free cash conversion from Adjusted EBITDA of approximately 55%.
More detailed projections are available in Table 8 of this press release. Outlook assumes continued recovery in travel demand in the second half of 2021. The Company is providing certain financial metrics only on a non-GAAP basis because, without unreasonable efforts, it is unable to predict with reasonable certainty the occurrence or amount of all of the adjustments or other potential adjustments that may arise in the future during the forward-looking period, which can be dependent on future events that may not be reliably predicted. Based on past reported results, where one or more of these items have been applicable, such excluded items could be material, individually or in the aggregate, to the reported results.
Conference Call Information Wyndham Hotels will hold a conference call with investors to discuss the Company’s results and outlook on Thursday, July 29, 2021 at 8:30 a.m. ET. Listeners can access the webcast live through the Company’s website at www.investor.wyndhamhotels.com. The conference call may also be accessed by dialing 877 876-9173 and providing the passcode “Wyndham”. Listeners are urged to call at least five minutes prior to the scheduled start time. An archive of this webcast will be available on the website beginning at noon ET on July 29, 2021. A telephone replay will be available for approximately ten days beginning at noon ET on July 29, 2021 at 800 757-4761.
Presentation of Financial Information Financial information discussed in this press release includes non-GAAP measures, which include or exclude certain items. These non-GAAP measures differ from reported GAAP results and are intended to illustrate what management believes are relevant period-over-period comparisons and are helpful to investors as an additional tool for further understanding and assessing the Company’s ongoing operating performance. The Company uses these measures internally to assess its operating performance, both absolutely and in comparison to other companies, and to make day to day operating decisions, including in the evaluation of selected compensation decisions. Exclusion of items in the Company’s non-GAAP presentation should not be considered an inference that these items are unusual, infrequent or non-recurring. Full reconciliations of GAAP results to the comparable non-GAAP measures for the reported periods appear in the financial tables section of this press release.
About Wyndham Hotels & Resorts Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with approximately 9,000 hotels across nearly 95 countries on six continents. Through its network of approximately 798,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 21 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 89 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com. The Company may use its website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Disclosures of this nature will be included on the Company’s website in the Investors section, which can currently be accessed at www.investor.wyndhamhotels.com. Accordingly, investors should monitor this section of the Company’s website in addition to following the Company’s press releases, filings submitted with the Securities and Exchange Commission and any public conference calls or webcasts.
Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the federal securities laws, including statements related to Wyndham Hotels’ current views and expectations with respect to its future performance and operations, including revenues, earnings, cash flow and other financial and operating measures and dividends, restructuring charges and statements related to the coronavirus pandemic (“COVID-19”). Forward-looking statements include those that convey management’s expectations as to the future based on plans, estimates and projections at the time Wyndham Hotels makes the statements and may be identified by words such as “will,” “expect,” “believe,” “plan,” “anticipate,” “intend,” “goal,” “future,” “outlook,” “guidance,” “target,” “objective,” “estimate,” “projection” and similar words or expressions, including the negative version of such words and expressions. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Wyndham Hotels to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
Factors that could cause actual results to differ materially from those in the forward-looking statements include, without limitation, general economic conditions; the continuation or worsening of the effects from COVID-19, its scope, duration and impact on the Company’s business operations, financial results, cash flows and liquidity, as well as the impact on the Company’s franchisees and property owners, guests and team members, the hospitality industry and overall demand for travel; the success of the Company’s mitigation efforts in response to COVID-19; the Company’s performance in any recovery from COVID-19; the performance of the financial and credit markets; the economic environment for the hospitality industry; operating risks associated with the hotel franchising and management businesses; the Company’s relationships with franchisees and property owners; the impact of war, terrorist activity, political instability or political strife; concerns with or threats of pandemics, contagious diseases or health epidemics, including the effects of COVID-19 and any resurgence or mutations of the virus and actions governments, businesses and individuals take in response to the pandemic, including stay-in-place directives and other travel restrictions; risks related to restructuring or strategic initiatives; risks related to the Company’s relationship with CorePoint Lodging; the Company’s ability to satisfy obligations and agreements under its outstanding indebtedness, including the payment of principal and interest and compliance with the covenants thereunder; risks related to the Company’s ability to obtain financing and the terms of such financing, including access to liquidity and capital as a result of COVID-19; and the Company’s ability to make or pay, plans for, and the timing and amount of any future share repurchases and/or dividends, as well as the risks described in the Company’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission and any subsequent reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, subsequent events or otherwise.
PARSIPPANY, N.J. (July 15, 2021) – Wyndham Hotels & Resorts, the world’s largest hotel franchising company with over 8,900 hotels across nearly 95 countries, today announced the opening of La Quinta Inn & Suites by Wyndham Nashville Downtown/Stadium, featuring the brand’s Del Sol prototype. There are 175 La Quinta hotels in the development pipeline, with openings scheduled this year in key U.S. markets such as Austin, Texas; Brooklyn, N.Y.; Denver, Colo.; and Santa Cruz, Calif. Internationally, the brand, which currently operates in Canada, Chile, Colombia, Honduras, Mexico, Turkey, and New Zealand, has also announced plans to further expand in China, the Dominican Republic, Mexico, and the United Arab Emirates.
La Quinta’s Del Sol prototype was created with the objective to maximize revenue-per-sq.-ft. while maintaining a competitive cost per key. It features a fresh, stylish and innovative design, providing guests with comfort and convenience while enabling productivity, making it appealing to both business and leisure travelers. La Quinta has continued to garner the interest of developers due to its strong performance of gaining 490 basis points of RevPAR Index in 2020 against its competitive set, according to STR data. Dedicated to guest service and satisfaction, La Quinta by Wyndham offers an elevated stay in a contemporary setting. With thoughtful amenities and friendly service, this brand consistently delivers an exceptional guest experience that keeps travelers waking up on the bright side.
Located along the East Bank of Nashville’s Cumberland River, La Quinta Inn & Suites by Wyndham Nashville Downtown/Stadium debuts 205 spacious guest rooms outfitted with amenities to relax and recharge, more than 2,000 square feet of event space, an on-site restaurant and bar, a business center to stay connected, a fitness center to squeeze in a workout while on the road, and a welcoming heated indoor pool. The hotel also offers amenities ranging from laundry facilities and dry cleaning service to Bright Side Breakfast®. With modern, locally inspired design elements, including an expansive hand-tiled mosaic reflective of the city’s music scene behind the front desk, the heartbeat of Nashville is evident throughout the hotel.
“We are delighted to bring La Quinta Inn & Suites by Wyndham’s Del Sol prototype to the bustling city of Nashville,” said Krishna Paliwal, Wyndham’s president of La Quinta and head of architecture, design, and construction. “Timed with the return of the summer travel season, we are excited to expand the brand’s portfolio and welcome visitors to this very special southern city.”
La Quinta Inn & Suites by Wyndham Nashville Downtown/Stadium is located nine miles from Nashville International Airport, across the street from Nissan Stadium, home to the Tennessee Titans, and minutes from the excitement of Broadway. Visitors can immerse themselves in music history with a visit to the Grand Ole Opry and Ryman Auditorium, see Elvis’ Cadillac and additional iconic memorabilia at the Country Music Hall of Fame and Museum, or catch a Predators game at Bridgestone Arena. Centennial Park is nearby and home to a full-scale replica of the Parthenon, as is the stunning 55-acre botanical garden at Cheekwood. Business travelers can expect to be conveniently located near companies like Amazon, Bridgestone, and iHeartRadio.
“I’m so happy to join Wyndham Hotels & Resorts, and to bring the company’s hospitality and new La Quinta design to Nashville,” said Ray Dayal, Owner of La Quinta Inn & Suites by Wyndham Nashville Downtown/Stadium. “The support that the company has for its franchisees is unmatched, and I am looking forward to the further opportunities that this new relationship offers.”
With a focus on new construction and high-quality conversions, La Quinta redefines the upper midscale category and is a top provider of select-service lodging with excellent accommodations that appeal to both business and leisure travelers in the midscale segment. Interested developers can visit Wyndham’s development website or contact the Wyndham Franchise Development team by email at [email protected].
About La Quinta by Wyndham
With nearly 940 destinations around the world, the upper-midscale La Quinta by Wyndham brand is a bright spot in every travelers’ journey. The brand offers thoughtful amenities, friendly service and consistently delivers an exceptional guest experience that keeps travelers waking up on the bright side. For more information, visit www.lq.com. Like and follow LQ on Facebook and YouTube. If you are interested in developing a hotel, please visit development.wyndhamhotels.com.
About Wyndham Hotels & Resorts Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of approximately 796,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 21 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
Strategic growth of new construction prototypes drives new construction pipeline of over 950 hotels across company’s brands
PARSIPPANY, N.J. (June 14, 2021) – Wyndham Hotels & Resorts, the world’s largest hotel franchising company with over 8,900 hotels across nearly 95 countries, has continued strong momentum in new construction for its newly introduced prototypes and dual-branded hotels. In the 12 months from April 2020 to March 2021, Wyndham has executed nearly 100 new construction deals across the United States, achieving approximately 90 percent of the previous 12 months’ pre-pandemic levels. The company’s new construction pipeline now includes over 260 hotels that are currently under construction contributing to an overall new construction pipeline of 950 hotels, which will add approximately 140,000 rooms to its domestic and international portfolio.
In the second quarter of 2021 alone, La Quinta by Wyndham has opened or is scheduled to open six new construction upper-midscale Del Sol prototype hotels, including:
La Quinta by Wyndham – Corpus Christi, Texas (opened)
La Quinta by Wyndham – Terrell, Texas (opened)
La Quinta by Wyndham – Littleton, Colorado (opened)
La Quinta by Wyndham – Shorewood, Illinois (opened)
La Quinta by Wyndham – San Antonio, Texas (scheduled to open in June)
La Quinta by Wyndham – Nashville, Tennessee (scheduled to open in June)
La Quinta by Wyndham Del Sol Prototype Interest for the stylish and innovative Del Sol prototype has soared, with developers attracted to the sleek design, adaptable layout, and La Quinta’s strong RevPAR performance relative to its competition throughout the COVID-19 pandemic. The brand recently announced the opening of its 120th La Quinta Del Sol prototype hotel. Additional upcoming Del Sol prototype openings include La Quinta by Wyndham Round Rock East in Texas, and La Quinta by Wyndham Maricopa – Copper Sky in Arizona.
Microtel by Wyndham Moda Prototype
With three recent U.S. openings, including the Microtel Inn and Suites by Wyndham Milford in Delaware, and the brand’s Moda prototype debut in Canada with the Microtel Inn & Suites by Wyndham Lac-Megantic in Quebec, the new Microtel by Wyndham Moda prototype remains on a steady growth trajectory with approximately 110 hotels in its development pipeline. The Moda prototype is the first of its kind in the economy select service segment, designed to be very cost efficient to build for a brand that punches above its weight with an industry leading RevPar Index of 115%. Moda reduces Microtel’s total footprint by nearly 30 percent versus the prior prototype and delivers more than 70 percent of rentable space—one of the strongest rentable footprints in both the economy and midscale segments.
La Quinta by Wyndham and Hawthorn Suites by Wyndham Dual-Brand Concept Wyndham’s new La Quinta and Hawthorn Suites extended-stay/ dual-brand concept has also seen great growth momentum, with nearly 35 of these dual-brand hotels in its development pipeline in markets such as Yuma, Ariz., Wichita, Kan., and Charlotte, N.C. This strategic hotel pairing allows owners to target both business transient and extended-stay guests, with streamlined development and operational costs. The concept includes shared lobby, spacious modern great room, fitness center, bar, amenities, and back of the house spaces all while appealing to the multiple types of travelers that have an affinity for these brands.
“These design-forward and efficient prototype models are key for Wyndham’s new construction strategy, and we’re seeing continued demand from developers who are looking for significant brand recognition and strong performance,” said Chip Ohlsson, Chief Development Officer, Wyndham Hotels & Resorts. “Owners have a great opportunity to diversify their customers within the Wyndham portfolio, with different brands that reach distinct audiences, capitalizing on both the leisure and business markets.”
About Wyndham Hotels & Resorts Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of approximately 796,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 21 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
This press release contains “forward-looking statements” within the meaning of U.S. federal securities laws, including the expected addition of hotels and similar statements concerning possible future results or performance. You are cautioned not to place undue reliance on these forward-looking statements, which are not guarantees of future results or performance, speak only as of the date of this press release and are subject to numerous risks and uncertainties, including the risks described in Wyndham Hotels’ most recent Annual Report on Form 10-K and subsequent reports filed with the Securities and Exchange Commission, any of which could cause actual results or performance to be materially different from the future results or performance expressed or implied by such forward-looking statements. Except as required by law, Wyndham Hotels undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, subsequent events or otherwise.
As travel returns, Wyndham Rewards members can earn a free night with every two-night stay
In celebration of summer, Wyndham Hotels & Resorts is giving Wyndham Rewards members the chance to earn a free night on every two-night stay, up to a total of three free nights.Click to Download
PARSIPPANY, N.J. (June 7, 2021) – Amid a resurgence of travel, Wyndham Hotels & Resorts, the world’s largest hotel franchising company with over 8,900 hotels across nearly 95 countries, is inviting travelers to get away this summer with its “Stay Two Nights, Earn a Free Night” promotion, in which Wyndham Rewards members can earn up to three free nights.
“Enthusiasm for travel is shifting into high gear, with eager travelers mapping out a summer full of bucket-list getaways, weekend road trips and everything in between,” said Eliot Hamlisch, EVP, Loyalty and Revenue Optimization at Wyndham Hotels & Resorts. “As they do, they can count on Wyndham and our hotels to be ready to welcome them back, reuniting them with their family members, colleagues and friends.”
Through Wyndham’s Stay Two Nights, Earn a Free Night promotion, Wyndham Rewards members who book direct and stay two consecutive nights or more can earn 6,500 bonus points upon completion of their stay. Bonus points, combined with the minimum 1,000 base points members earn on their qualified stays, equates to a free night in the form of 7,500 points. Members can take advantage of this promotion up to three times for a total of three free nights. Stays must be booked directly through Wyndham Rewards by September 2, 2021 and must be completed by September 6, 2021. Direct booking options include, among others, the Wyndham Hotels & Resorts mobile app, WyndhamRewards.com or calling any participating Wyndham Rewards hotel. Signing up for Wyndham Rewards is easy and non-members can quickly enroll as part of the booking process.
With thousands of hotels across a range of price points and destinations, Wyndham is ready to welcome travelers back this summer. Hotels continue to offer flexible booking policies, enhanced health and safety protocols through Count on Us®, and mobile check-in and checkout through Wyndham’s award-winning mobile app. In addition, Wyndham Rewards members continue to enjoy an extension of current member benefits and paused points expiration through the end of this year. Learn more at www.wyndhamhotels.com/COVID-19.
About Wyndham Rewards
Named the number one hotel rewards program by readers of USA TODAY, Wyndham Rewards® is the world’s most generous rewards program with more than 50,000 hotels, vacation club resorts and vacation rentals worldwide. Designed for the everyday traveler, members earn a guaranteed 1,000 points with every qualified stay and may redeem points for a wide range of rewards, including free nights at over 8,900 hotels or thousands of vacation club resorts and vacation rentals globally through affiliation with Wyndham Destinations and others. Wyndham Rewards has 87 million enrolled members around the globe. Join for free today at www.wyndhamrewards.com. You’ve earned this.
About Wyndham Hotels & Resorts
Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of approximately 797,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 21 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
World’s largest hotel franchising company offers sales and marketing distribution for independent-minded owners and developers of luxury assets
PARSIPPANY, N.J. (June 2, 2021) – Wyndham Hotels & Resorts, the world’s largest hotel franchising company with over 8,900 hotels across nearly 95 countries, today unveiled its 21st brand, Registry Collection HotelsSM, adding a luxury offering to the upper end of the Company’s growing brand portfolio while further advancing its mission to make hotel travel possible for all.
The launch of Registry Collection Hotels comes at a time when a growing number of independent luxury hotel owners are seeking out proven and established partners to help them recover from the challenges of the global pandemic. Registry Collection Hotels allows these owners to maintain their independent spirit and brand individuality while tapping into the global scale of Wyndham Hotels & Resorts along with its award-winning Wyndham Rewards® loyalty program, helping them to drive more direct bookings at a lower cost of distribution.
“As the hospitality industry continues to rebound, independent luxury hotel owners around the world have approached our development teams seeking sales, marketing and reservations support under a proven and established luxury brand,” said Geoff Ballotti, president and CEO, Wyndham Hotels & Resorts. “The creation of Registry Collection Hotels was a natural fit, given Registry’s growing global recognition as the world’s largest luxury exchange program with over 200 high-end luxury fractional resorts and the continued successful management of that program by our partner Travel + Leisure Co. (formerly Wyndham Destinations). Registry Collection Hotels now fill an important space at the upper end of the Wyndham Hotels & Resorts portfolio, allowing us to very selectively provide support to independent hoteliers around the globe who meet the highest standards of luxury service and accommodations.”
Individuality, Elevated Handpicked to deliver incredible experiences in spectacular destinations, the hallmark of Registry Collection Hotels is the allure of their unmistakable individuality, elevated by thoughtful design and world-class service. From brilliant architectural details paired with serene backdrops to dream-worthy locations, every stay with Registry Collection Hotels is meant to be as unique and indulgent as the hotels themselves.
“We are truly excited about the renewed potential of the global travel, leisure and lifestyle industry, as the world rejoices and reunites after more than a year of lockdowns and restrictions,” said Michael Brown, CEO, Travel + Leisure Co. “Experts and travelers are looking forward to exploring again for curated and exclusive experiences around the world. Launch of Registry Collection Hotels is a natural evolution for Wyndham Hotels & Resorts, building on the brand’s iconic heritage and global network. As Travel + Leisure Co., the world’s leading membership and leisure travel company, with nearly 20 travel brands – including The Registry Collection – we are looking forward to designing a new future for the global leisure industry.”
A White Sand Debut in the Mexican Caribbean Registry Collection Hotels debuts today with the brand’s flagship resort, the exclusive 144-room, all-suite, Grand Residences Riviera Cancun. Nestled on a breathtaking white sand beach just moments from the peaceful fishing village of Puerto Morelos, the secluded resort features spacious and inviting Hacienda-style accommodations, BVLGARI® bath products and exceptional amenities such as an oceanfront infinity pool, full-service spa, state of the art-gym, kids club and three gourmet restaurants. The resort is owned and managed by affiliates of the Royal Resorts® group of companies.
Added Ballotti, “Grand Residences Riviera Cancun is a spectacular resort situated in a pristine spot on one of Mexico’s most desirable beaches. Beloved by guests the world over for its incredible location, postcard views, and world-class service, we couldn’t be more excited to be launching Registry Collection Hotels with one of the region’s premier developers and a long-time customer of Travel + Leisure Co., Dr. Kemil A. Rizk.”
“From day one, the team at Wyndham has been holistically focused on the needs of our resort, working closely with our team as we collaboratively develop our strategy to announce our flagship affiliation,” said Dr. Rizk, president and CEO, Royal Resorts®. “What we value about Wyndham, in addition to their tremendous scale and distribution, is their appreciation for what makes Grand Residences Riviera Cancun unique and their passion for ensuring our individuality is never compromised. The highly esteemed reputation of Wyndham makes us proud to be marking this milestone with them and we look forward to continuing to develop our brand alliance.”
Guests of Grand Residences Riviera Cancun enjoy complimentary private premium airport transportation and can partake in a wide variety of on- and off-site activities, including cooking and mixology classes, yoga, snorkeling, bike tours, fishing charters, catamaran cruises and more. The hotel is available for booking starting today at www.registrycollectionhotels.com.
Unlocking The Power of Wyndham Wyndham Hotels & Resorts has a proven track record of catering to the needs of independent hoteliers, most recently evidenced by the successful launch and robust continued growth of its Trademark Collection® by Wyndham brand. First launched in the summer of 2017, the brand, known for its distinct collection of independent upper midscale and upscale hotels, has since grown its footprint by nearly 75% to now more than 110 hotels across a portfolio spanning North America, Europe, Australia and the Caribbean.
Through Registry Collection Hotels, independent luxury hoteliers are now able to maintain their hotel’s unique individuality while benefiting from the power of scale that comes with being part of the world’s largest hotel company. Owners receive access to an experienced team of hospitality professionals, as well as an in-depth array of services including strategic sourcing, global sales, revenue management, marketing and distribution, operations support and best-in-class training.
Aspirational Stays through Wyndham Rewards Registry Collection Hotels is a part of Wyndham Rewards, Wyndham’s award-winning guest loyalty program, which for the last three years has been named the number one hotel rewards program by readers of USA Today. With aspirational stay opportunities in some of the world’s most desirable destinations, members can earn and redeem points on qualified stays across 21 distinct brands while enjoying a host of perks available exclusively through the program’s various member levels. Wyndham Rewards has 87 million enrolled members around the world and is consistently recognized for its overall simplicity, rich redemption portfolio and generous rewards.
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About Grand Residences Riviera Cancun An affiliate of Registry Collection HotelsSM, the 144-all-suite Grand Residences Riviera Cancun debuted on December 7, 2013. Situated in a private enclave between scenic Riviera Maya and bustling Cancun, this exclusive hideaway is ideally located between the world’s second largest barrier reef and a tranquil nature preserve. This five-star resort sets a new standard in luxury beachfront living: sprawling suites designed as private residences; gourmet dining; a world-class spa and salon; personalized beach and pool service; and much more. The ideal spot for outdoor adventurers, Grand Residences provides guests with experiences of a lifetime such as snorkeling along the world’s longest underground rivers, exploring the historical treasures of ancient Mayan ruins, or simply unwinding on miles of white-sand beaches. For shopping and nightlife, tropical beach hotspot Cancun is only eleven miles away. Grand Residences is owned and managed by affiliates of the Royal Resorts® group of companies, a pioneer in the Mexican Caribbean tourism industry with family-friendly beachfront resorts in Cancun, Puerto Morelos and Riviera Maya. For more information or reservations, call 1.855.381.4340 or visit www.grandresidencesrivieracancun.com.
About Registry Collection Hotels Get lost in your travels and let Registry Collection HotelsSM meet you there. With thoughtful design, brilliant service and unsurpassed attention to detail, our handpicked hotels and resorts deliver incredible experiences in spectacular destinations around the world. Book your next stay at www.registrycollectionhotels.com or visit www.wyndhamdevelopment.com to learn more about how we’re elevating individuality for independent-minded luxury hotel owners and developers around the world. Registry Collection Hotels are affiliated with but separate from The Registry Collection, the world’s largest luxury exchange program.
About Wyndham Hotels & Resorts Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of over 797,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 21 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
Mobile-enabled platform allows for quicker innovation while helping hotels enhance guest personalization, lower costs and boost operational efficiencies
Wyndham Hotels & Resorts is rolling out Oracle’s OPERA Cloud Property Management to its hotels, making it the first major hotel company to adopt the system globally. The mobile-enabled offering allows operators to run their hotel from anywhere while team members can untether from the front desk to better serve guests throughout the property.Click to Download
PARSIPPANY, N.J. AND AUSTIN, TEXAS (May 18, 2021) – Wyndham Hotels & Resorts, the world’s largest hotel franchising company with over 8,900 hotels across nearly 95 countries, today announced the roll out of the next-gen Oracle Hospitality OPERA Cloud Property Management (PMS) to its full-service hotels, making it the first major hotel company to adopt the system globally. The decision comes following successful pilots at nearly 50 Wyndham hotels over the last nine months.
Full-service hotels coming into the Wyndham portfolio, which includes brands like Wyndham Grand®, Ramada® by Wyndham, and Dolce® by Wyndham, will be placed on the new PMS while existing owners have the option of upgrading now or waiting until their existing PMS agreements expire. The Company anticipates approximately 20 percent of its full-service portfolio will adopt the new PMS in the next 12 months with the majority migrating to the system over the next several years.
Wyndham’s selection of OPERA Cloud for its full-service hotels represents the latest in a growing list of newly launched technology initiatives by the Company, all of which center on giving franchisees tools to help provide a competitive advantage amid the ongoing pandemic. Last September, the Company launched a new best-in-class customer data platform and prior to that, a fully reimagined mobile app, making it the first to bring mobile check-in and checkout to more than 6,000 economy and midscale hotels.
“The rollout of Oracle’s OPERA Cloud represents the next step in Wyndham’s continued digital transformation,” said Scott Strickland, chief information officer at Wyndham Hotels & Resorts. “Not only does the system help our hotel owners deliver a better guest experience through a host of operational enhancements and efficiencies, it’s designed to lower their overall costs by eliminating the need for costly and difficult-to-maintain on-site hardware. Best of all, hotels can migrate to the system remotely in a matter of days, not weeks—allowing hotels, particularly conversions, to open faster.”
Through OPERA Cloud, Wyndham and its franchisees have the ability to easily:
• Scale in the cloud – Built specifically to run hotel operations, the PMS is flexible and can scale to meet the needs of each hotel without requiring installation and maintenance of on-site hardware.
• Enable mobile “anywhere” access – Operators can run their hotel from anywhere while team members can untether from the front desk to serve guests anywhere on property.
• Streamline operations – Easy integration with thousands of key partner interfaces means a smoother, more streamlined guest experience with the opportunity for enhanced personalization.
• Operate globally – Designed to meet fiscal requirements across more than 200 countries, operators can customize the system to operate in 20 languages.
• Enhance security and performance – The PMS is built on Oracle Cloud Infrastructure, which helps hotels elevate the guest experience while helping to deliver higher performance, security and reliability.
“Wyndham’s progressive approach to its digital transformation provides a strategic advantage for its thousands of hotel owners and operators around the world,” said Alex Alt, general manager of Oracle. “Having OPERA Cloud in place allows franchisees to quickly and remotely enhance features for guests as the industry continues to evolve, which is going to be critical in maintaining a competitive edge.”
The rollout of OPERA Cloud builds upon the foundation of a broader, multi-year digital transformation for Wyndham, which in recent months has enabled the Company to quickly stand-up new tools and offerings to help drive more business to its franchisees—particularly from everyday business travelers, such as construction workers, utility workers, truckers and more. Among them are Wyndham Direct, a total booking, billing and payment solution for corporate customers that streamlines travel management with no minimum spend or stay requirements and Wyndham Business, a one-stop-shop for anyone looking to do business with Wyndham and its hotels. Learn more at www.wyndhamhotels.com/business.
Wyndham first began its digital transformation journey in 2016, which has since resulted in a shift to best-in-class, cloud-based property management systems, a single central reservation system for all 20 brands, and a flexible cloud service and sales platform.
About Wyndham Hotels & Resorts
Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of over 797,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 20 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
About Oracle
Oracle offers integrated suites of applications plus secure, autonomous infrastructure in the Oracle Cloud. For more information about Oracle (NYSE: ORCL), please visit us at oracle.com.
Oracle Hospitality brings more than 40 years of experience in providing technology solutions to independent hoteliers, global and regional chains, gaming, and cruise lines. Our hardware, software, and services enable customers to act on rich data insights that deliver personalized guest experiences, maximize profitability and encourage loyalty. Cloud-based, mobile-enabled, with open APIs, Oracle’s OPERA Cloud property management and distribution, Simphony point-of-sale, reporting and analytics, and Nor1 upsell solutions accelerate innovation, increase revenue, lower IT cost, and maximize operating efficiency. Our Hospitality Resource Center features an array of information to navigate challenges and seize opportunities in an altered marketplace. To learn more, please visit www.oracle.com/Hospitality.
Trademarks
Oracle is a registered trademark of Oracle Corporation.
Company’s global conversion growth continues, generating 70% of global room additions in first quarter as owners recognize company’s loyalty program drives nearly 40% of all hotel stays
PARSIPPANY, N.J. (May 10, 2021) – Wyndham Hotels & Resorts, the world’s largest hotel franchising company with over 8,900 hotels across nearly 95 countries, remains on a steady growth trajectory around the world and is continuing to debut new properties and enter new destinations. In a year of significant challenges for the hospitality industry, Wyndham strengthened its portfolio to generate sequential growth in system size and its development pipeline. The company’s non-urban, drive-to economy and midscale hotels, combined with ongoing investment in sales and marketing, helped capture rising pent-up leisure travel demand, which continued to drive sequential RevPAR improvements and domestic market share gains for franchisees.
In the first quarter of 2021, Wyndham converted 52 independent and branded hotels to one of its 20 brands, accounting for over 70% percent of its global room additions. The brand’s overall development pipeline has continued to expand both domestically and internationally with new conversion opportunities. The company awarded 112 new franchise contracts in the first quarter of 2021, and by March 31 the development pipeline had grown sequentially from Q4 to approximately 1,400 hotels and approximately 187,000 rooms.
“Our portfolio of iconic hotel brands offers a wide range of experiences and price points for guests as well as strong opportunities for franchisees and developers,” said Geoffrey A. Ballotti, president and chief executive officer, Wyndham Hotels & Resorts. “Our global sales, marketing and loyalty teams are looking forward to helping more travelers discover all these new hotels.”
A selection of the company’s recent hotel conversions to date are noted below by region.
Americas
Wyndham signed a nine-hotel franchise agreement in Q1 with The Thrash Group for its namesake, upscale, Wyndham® brand in the U.S. The nine hotels, all managed by Charlestowne Hotels, span across the U.S. and include a mix of lifestyle-focused boutique hotels, historic hotels and new construction hotels scheduled to open later this year and next. “Converting our hotels to Wyndham has allowed us access to new resources and further opportunities, which supports us in running our business proficiently,” said Ike Thrash, founding partner, The Thrash Group. “That paired with the award-winning brand’s recognition will help contribute to my Thrash’s overall success and hopefully further development of additional Wyndham properties.”
In downtown San Francisco, The BEI Hotel in San Francisco, is another recent conversion for the Trademark Collection that is scheduled to open in May. Located by the Financial District and Union Square, guests can stay in the heart of the city and enjoy well-appointed guest rooms, a fitness center and other inviting amenities. Just 14 miles from San Francisco International Airport and 20 miles from Oakland International Airport, this contemporary, hotel is surrounded by world-class restaurants and minutes from Civic Center Plaza, Moscone Center, and Union Square. And on Long Island, N.Y., the award winning and LEED certified Viana Hotel & Spa converted to a Trademark by Wyndham.
New conversion hotels in the Caribbean include the Kunuku Resort All Inclusive in Curacao along with the Turtle Island Beach Resort, in Belize — both of which are converting to Trademark Collection by Wyndham. The most recently awarded Caribbean franchise contract is to The Buccaneer Beach & Golf Resort in St. Croix, an upscale property that will be converting to Wyndham’s Trademark Collection and mark the first Wyndham Hotels & Resorts property in St. Croix. The family owned and operated 340-acre resort is the island’s only four-star resort, offering 130 guest-rooms and suites.
In Latin America, TRYP by Wyndham Guayaquil, Ecuador was recently converted to a Wyndham as part of the company’s urban lifestyle brand. The centrally located hotel is steps away from the city’s top dining venues, the Mall del Sol and the Guayaquil Convention Center.
Asia Pacific
In Asia Pacific, the Company’s expansion continues where the number of its executed deals in the pipeline are nearly 50% larger than it was a year ago. Conversion activity was strong, with a 5 star hotel in Xin Yang Henan Province, China converting to the Wyndham Xin Yang. The company also recently welcomed the Ramada Encore by Wyndham Shanghai Pudong Airport. With more than 1,500 hotels in 20 regional markets and territories, the company is in a leading position within the region and is on track to reach 2,000 hotels in Asia Pacific within the next three years.
Europe
In Europe, the recent March opening of Hotel Avenue Louise Brussels, Trademark Collection by Wyndham marked Wyndham’s first Trademark Collection hotel in Belgium. The 78-room stylish hotel underwent a $3.1 million refurbishment and offers guests the perfect balance between comfort and local charm in the heart of Brussels.
Middle East
The debut of the very first La Quinta by Wyndham brand in the Middle East was will be made with the 100-room La Quinta by Wyndham Dubai Bur Dubai, in one of the city’s bustling commercial hubs offering easy access to leisure attractions. The newly refurbished hotel will open in May boasting contemporary guest rooms and elegant interiors.
Interested developers can visit the Wyndham Franchise Development website, or contact the Wyndham Franchise Development team by email at [email protected] for more information.
About Wyndham Hotels & Resorts
Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of over 797,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 20 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
This press release contains “forward-looking statements” within the meaning of U.S. federal securities laws, including the expected addition of hotels within the Asia Pacific Region and similar statements concerning possible future results or performance. You are cautioned not to place undue reliance on these forward-looking statements, which are not guarantees of future results or performance, speak only as of the date of this press release and are subject to numerous risks and uncertainties, including the risks described in Wyndham Hotels’ most recent Annual Report on Form 10-K and subsequent reports filed with the Securities and Exchange Commission, any of which could cause actual results or performance to be materially different from the future results or performance expressed or implied by such forward-looking statements. Except as required by law, Wyndham Hotels undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, subsequent events or otherwise.
We are extremely concerned and saddened about the growing humanitarian crisis in India resulting from the rapid spread of COVID-19 cases. Wyndham Hotels & Resorts is donating $100,000 to the Indian Red Cross Society, which is working alongside authorities to help the people of India by rushing urgently needed supplies and equipment to critical care centers.
We are also working to collaborate with industry associations on broader efforts to raise funds to support India through this crisis and call on others to show their support with matching funds. We have made it possible for Wyndham Rewards members to help by donating points to Save the Children and Christel House, which support families and children in India. Our team members are supporting their colleagues in India through our Wyndham Relief Fund and can also donate directly to a number of qualified 501(c)(3) organizations with a company match. Our team members around the world stand united with our hotel owners, our local colleagues and the broader Indian community.
Summer’s hottest travel gig is back with a $10,000 payday to seize the days
PARSIPPANY, N.J. (May 4, 2021) – Calling all wanderlust seekers! Days Inn® by Wyndham is back offering summer’s hottest gig: the coveted Sunternship. The iconic economy hotel brand is looking to hire one adventure-seeker eager to make up for a year of lost travels by taking on the role of Suntern and helping uncovering America’s sunniest attractions.
With travel being one of the main sources of motivation this year, it’s no surprise that America’s youth are choosing to take a step back and reclaim summer ‘21 with sun-soaked experiences outside of the living room. A recent survey found that as many as 22% of college students recently took a full or partial gap year[1]. With travel restrictions easing, many are now looking to summer as their chance to come out of a year-long travel hibernation. Luckily, Days Inn wants everyone to Seize the Days®, and this year’s “Suntern” will be tasked with packing their bags for a two-week, cross-country summer jaunt, inspiring other sun chasers with the ultimate gap year bucket list.
“For over 50 years we’ve made it our mission to help guests make the most out of their travels, and after more than a year of being confined to the four corners of our homes, that mission feels even more important than ever” said John Henderson, brand leader and president of operations, Days Inn by Wyndham. “Whether it’s skydiving in Seattle, hiking through Yellowstone, or parasailing in Daytona Beach, we want our Suntern to have a summer they’ll remember forever.”
Days Inn by Wyndham is accepting applications for its Suntern program from now through June 1, 2021. Thrill-seekers with a passion for travel and an eye for photography can submit their application at www.daysinn.com/suntern. In addition to hotel and ground transportation to travel anywhere in the continental U.S., the Suntern will receive a $250 daily travel stipend, Wyndham Rewards® Diamond level membership, and a $10,000 paycheck.
About the Role:
This customizable, two week-long dream job entails safely exploring some of America’s most desirable destinations and creating lasting memories through captured moments. The Suntern’s creative content and “Hot List” of experiences will be featured on the brand’s website and social media channels.
Responsibilities:
Travel to domestic destination(s) for two weeks this summer.
Document your adventures with unique photo and video content.
Develop a “Hot List” of 10 Ways to Seize the Days.
Inspire others by sharing your travels on social media.
Qualifications:
A bright, social-media savvy travel enthusiast and aspiring photographer.
At least 21 years old.
U.S. resident with a valid federal or state-issued ID.
Hungry for new experiences with a passion for travel.
The ability to travel nationally for two consecutive weeks in August 2021.
The Perks:
$10,000 payday.
Paid hotel accommodations for two weeks at Days Inn locations in the U.S. plus ground transportation.
A $250 daily travel stipend, allowing you to explore your sunny destination(s) to the fullest.
Major street cred: Content and Hot List featured on Days Inn website and social media channels.
Wyndham Rewards® Diamond level membership.
A glowing recommendation from a Days Inn by Wyndham executive upon successful completion of the Sunternship.
How to Apply:
Visit www.daysinn.com/suntern by June 1, 2021 to submit an original sun-filled photo, as well as a 300-word entry describing your dream domestic itinerary and why we should send you on it this summer. Days Inn will assess applicants’ photography and storytelling skills before selecting the person for the job. For more information visit www.daysinn.com/suntern.
About Days Inn by Wyndham With 1,600 locations in over 20 countries, Days Inn by Wyndham is one of the largest, most well-recognized hotel brands in the world. Welcoming guests with a warm smile and a clean, inviting room, most locations offer fast, free Wi-Fi; breakfast; swimming pool or fitness center; and more. Whether it’s small town or downtown, a trip with family or a getaway with friends, count on Days Inn by Wyndham for a great stay paired with a little extra sunshine along the way. Seize The Days and book your next stay at www.daysinn.com. You can also like and follow us on Facebook, Instagram, Twitter and YouTube. For development opportunities, visit www.wyndhamdevelopment.com.
About Wyndham Hotels & Resorts Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of approximately 797,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 20 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®, Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com.
[1]Pressing Pause on the College Experience (2020, August 18). Retrieved April 26, 2021, from https://www.generationlab.org/post/pressing-pause-on-the-college-experience
PARSIPPANY, N.J. (April 28, 2021) – Wyndham Hotels & Resorts (NYSE: WH) today announced results for the three months ended March 31, 2021. Highlights include:
Diluted earnings per share was $0.26, and adjusted diluted earnings per share was $0.36.
Net income was $24 million and adjusted net income was $33 million.
Adjusted EBITDA was $97 million.
Generated $64 million of net cash provided by operating activities and $59 million of free cash flow.
Global RevPAR declined 11% compared to first quarter 2020 and 31% compared to first quarter 2019 in constant currency.
Paid quarterly cash dividend of $0.16 per share.
Redeemed all $500 million aggregate principal amount of its outstanding 5.375% Senior Notes due 2026 on April 15, 2021.
Company updates its previous 2021 projections.
“Wyndham’s select-service franchise business model delivered a strong start to 2021 as leisure customers hit the road at a pace not experienced since the pandemic started and demand from our everyday business travelers continued to accelerate,” said Geoffrey A. Ballotti, president and chief executive officer. “We were very pleased to see our development pipelines grow sequentially, both domestically and internationally, and our room openings and deletions improve year-over-year. We were also encouraged to see conversion room openings increase year-over-year, representing over 70% of total openings this quarter.”
Revenues declined from $410 million in the first quarter of 2020 to $303 million in the first quarter of 2021. The decline includes lower pass-through cost-reimbursement revenues of $55 million in the Company’s hotel management business, which have no impact on adjusted EBITDA. Excluding cost-reimbursement revenues, revenues declined $52 million primarily reflecting an 11% decline in constant-currency global RevPAR.
The Company generated net income of $24 million, or $0.26 per diluted share, compared to $22 million, or $0.23 per diluted share, in the first quarter of 2020. The increase of $2 million, or $0.03 per diluted share, was a result of the Company’s COVID-19 cost mitigation plan implemented in April 2020, lower volume-related expenses and the absence of restructuring and transaction-related expenses, which were partially offset by the global RevPAR decline.
The following discussion of first quarter operating results focuses on the Company’s key drivers as well as revenue and adjusted EBITDA for each of the Company’s segments. Full reconciliations of GAAP results to the Company’s non-GAAP adjusted measures for all reported periods appear in the tables to this press release.
System Size During the first quarter of 2021, the Company’s global system grew 20 basis points reflecting strong growth in the Company’s direct-franchising business in China, primarily offset by the impact from supply chain delays on new construction openings in the United States. As expected, terminations normalized in the first quarter and the Company remains solidly on track with its goal of achieving a 95% retention rate for the full year 2021.
RevPARGlobal and International RevPAR began to lap the onset of the COVID-19 pandemic in January 2021 while the U.S. began to lap its onset in March 2021. As such, comparisons to 2019 (on a two-year basis) are more meaningful when evaluating trends. On this basis, global RevPAR declined 31% reflecting a 25% decline in the U.S. and a 45% decline internationally. The 25% decline in the U.S. represents continued sequential improvement compared to a decline of 31% in the fourth quarter of 2020. The 45% decline internationally is consistent with the fourth quarter 2020 performance.
Business Segment ResultsHotel Franchising revenues decreased $34 million year-over-year reflecting the global RevPAR decline, while adjusted EBITDA declined $5 million as the impact of the RevPAR decline was almost entirely offset by the Company’s COVID-19 cost mitigation plan implemented in April 2020 and lower volume-related expenses.
Hotel Management revenues decreased $73 million year-over-year reflecting a $55 million reduction in cost-reimbursement revenues, which have no impact on adjusted EBITDA. Absent cost-reimbursements, Hotel Management revenues decreased $18 million due to the global RevPAR decline and lower termination fees. Adjusted EBITDA declined $12 million year-over-year reflecting the revenue decrease, partially offset by lower volume-related expenses.
Development The Company awarded 112 new contracts this quarter compared to 115 in first quarter 2020 and 124 in first quarter 2019. At March 31, 2021, the Company’s development pipeline consisted of approximately 1,400 hotels and approximately 187,000 rooms, growing sequentially by 120 basis points, 70 basis points domestically and 150 basis points internationally. Approximately 64% of the Company’s development pipeline is international and 75% is new construction. Approximately 34% of the new construction pipeline under development has broken ground.
Cash and Liquidity The Company generated $64 million of net cash provided by operating activities in the first quarter of 2021 compared to $17 million in first quarter 2020. Free cash flow was $59 million in the first quarter of 2021 compared to $10 million (which included $15 million of special-item cash outlays) in first quarter 2020.
At March 31, 2021, the Company had $531 million of cash on its balance sheet and $1.3 billion in total liquidity. In April 2021, the Company redeemed all $500 million aggregate principal amount of its outstanding 5.375% senior notes due 2026, which also reduced the Company’s total liquidity to approximately $750 million. The Company expects this redemption to reduce its annual cash interest expense by approximately $27 million. Coupled with the issuance of 4.375% senior notes in August of 2020, this redemption effectively returns the Company to pre-pandemic debt and liquidity levels while extending $500 million of maturity by approximately 2.5 years at a 100 basis point (or 19%) lower interest rate.
Dividends The Company paid common stock dividends of $15 million, or $0.16 per share, in the first quarter of 2021.
2021 Projections The Company is not providing a complete outlook for full-year 2021 given the RevPAR uncertainties ahead; however, the Company is updating the projections provided in February:
Net rooms growth of 1% to 2%, consistent with February’s projection.
Every point of RevPAR change versus 2020 is now expected to generate approximately $2.8 million of adjusted EBITDA change versus 2020 (increased from $2.5 million per point in February).
License fees are expected to be $70 million reflecting the minimum levels outlined in the underlying agreements, consistent with February’s projection.
Marketing, reservation and loyalty expenses are not expected to exceed marketing, reservation and loyalty revenues, consistent with February’s projection. As such, the Company expects no meaningful impact to full-year 2021 adjusted EBITDA from the marketing, reservation and loyalty funds.
The Company does not expect any meaningful special-item cash outlays in 2021, consistent with February’s projection.
More detailed projections are available in Table 8 of this press release. The Company is providing certain financial metrics only on a non-GAAP basis because, without unreasonable efforts, it is unable to predict with reasonable certainty the occurrence or amount of all of the adjustments or other potential adjustments that may arise in the future during the forward-looking period, which can be dependent on future events that may not be reliably predicted. Based on past reported results, where one or more of these items have been applicable, such excluded items could be material, individually or in the aggregate, to the reported results.
Conference Call Information Wyndham Hotels will hold a conference call with investors to discuss the Company’s results and outlook on Thursday, April 29, 2021 at 8:30 a.m. ET. Listeners can access the webcast live through the Company’s website at www.investor.wyndhamhotels.com. The conference call may also be accessed by dialing 877 876-9174 and providing the passcode “Wyndham”. Listeners are urged to call at least five minutes prior to the scheduled start time. An archive of this webcast will be available on the website beginning at noon ET on April 29, 2021. A telephone replay will be available for approximately ten days beginning at noon ET on April 29, 2021 at 800 723-0549.
Presentation of Financial Information Financial information discussed in this press release includes non-GAAP measures, which include or exclude certain items. These non-GAAP measures differ from reported GAAP results and are intended to illustrate what management believes are relevant period-over-period comparisons and are helpful to investors as an additional tool for further understanding and assessing the Company’s ongoing operating performance. The Company uses these measures internally to assess its operating performance, both absolutely and in comparison to other companies, and to make day to day operating decisions, including in the evaluation of selected compensation decisions. Exclusion of items in the Company’s non-GAAP presentation should not be considered an inference that these items are unusual, infrequent or non-recurring. Full reconciliations of GAAP results to the comparable non-GAAP measures for the reported periods appear in the financial tables section of this press release.
About Wyndham Hotels & Resorts Wyndham Hotels & Resorts (NYSE: WH) is the world’s largest hotel franchising company by the number of properties, with over 8,900 hotels across nearly 95 countries on six continents. Through its network of over 797,000 rooms appealing to the everyday traveler, Wyndham commands a leading presence in the economy and midscale segments of the lodging industry. The Company operates a portfolio of 20 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, Hawthorn Suites®, Trademark Collection® and Wyndham®. Wyndham Hotels & Resorts is also a leading provider of hotel management services. The Company’s award-winning Wyndham Rewards loyalty program offers 87 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally. For more information, visit www.wyndhamhotels.com. The Company may use its website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Disclosures of this nature will be included on the Company’s website in the Investors section, which can currently be accessed at www.investor.wyndhamhotels.com. Accordingly, investors should monitor this section of the Company’s website in addition to following the Company’s press releases, filings submitted with the Securities and Exchange Commission and any public conference calls or webcasts.
Forward-Looking Statements This press release contains “forward-looking statements” within the meaning of the federal securities laws, including statements related to Wyndham Hotels’ current views and expectations with respect to its future performance and operations, including revenues, earnings, cash flow and other financial and operating measures and dividends, restructuring charges and statements related to the coronavirus pandemic (“COVID-19”). Forward-looking statements include those that convey management’s expectations as to the future based on plans, estimates and projections at the time Wyndham Hotels makes the statements and may be identified by words such as “will,” “expect,” “believe,” “plan,” “anticipate,” “intend,” “goal,” “future,” “outlook,” “guidance,” “target,” “objective,” “estimate,” “projection” and similar words or expressions, including the negative version of such words and expressions. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Wyndham Hotels to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.
Factors that could cause actual results to differ materially from those in the forward-looking statements include, without limitation, general economic conditions; the continuation or worsening of the effects from COVID-19, its scope, duration and impact on the Company’s business operations, financial results, cash flows and liquidity, as well as the impact on the Company’s franchisees and property owners, guests and team members, the hospitality industry and overall demand for travel; the success of the Company’s mitigation efforts in response to COVID-19; the Company’s performance in any recovery from COVID-19; the performance of the financial and credit markets; the economic environment for the hospitality industry; operating risks associated with the hotel franchising and management businesses; the Company’s relationships with franchisees and property owners; the impact of war, terrorist activity, political instability or political strife; concerns with or threats of pandemics, contagious diseases or health epidemics, including the effects of COVID-19 and any resurgence or mutations of the virus and actions governments, businesses and individuals take in response to the pandemic, including stay-in-place directives and other travel restrictions; risks related to restructuring or strategic initiatives; risks related to the Company’s relationship with CorePoint Lodging; the Company’s ability to satisfy obligations and agreements under its outstanding indebtedness, including the payment of principal and interest and compliance with the covenants thereunder; risks related to the Company’s ability to obtain financing and the terms of such financing, including access to liquidity and capital as a result of COVID-19; and the Company’s ability to make or pay, plans for, and the timing and amount of any future share repurchases and/or dividends, as well as the risks described in the Company’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission and any subsequent reports filed with the Securities and Exchange Commission. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, subsequent events or otherwise.
During the first quarter of 2021, the Company’s global system grew 20 basis points reflecting strong growth in the Company’s direct-franchising business in China, primarily offset by the impact from supply chain delays on new construction openings in the United States. As expected, terminations normalized in the first quarter and the Company remains solidly on track with its goal of achieving a 95% retention rate for the full year 2021.
Global and International RevPAR began to lap the onset of the COVID-19 pandemic in January 2021 while the U.S. began to lap its onset in March 2021. As such, comparisons to 2019 (on a two-year basis) are more meaningful when evaluating trends. On this basis, global RevPAR declined 31% reflecting a 25% decline in the U.S. and a 45% decline internationally. The 25% decline in the U.S. represents continued sequential improvement compared to a decline of 31% in the fourth quarter of 2020. The 45% decline internationally is consistent with the fourth quarter 2020 performance.
Hotel Franchising revenues decreased $34 million year-over-year reflecting the global RevPAR decline, while adjusted EBITDA declined $5 million as the impact of the RevPAR decline was almost entirely offset by the Company’s COVID-19 cost mitigation plan implemented in April 2020 and lower volume-related expenses.
