Wyndham Hotels & Resorts Reports Strong Third Quarter Results

Company Raises Full-Year 2026 RevPAR, Adjusted EBITDA and EPS Outlook

Grows System Size by 4% and U.S. RevPAR by 6%

PARSIPPANY, N.J., October 21, 2026 – Wyndham Hotels & Resorts (NYSE: WH) today announced results for the three months ended September 30, 2026.  Highlights include:

  • Global RevPAR grew 2% compared to third quarter 2025 in constant currency, a 4% improvement sequentially.
  • S. RevPAR grew 6% year-over-year, a 4% improvement sequentially.
  • System-wide rooms grew 4% year-over-year, excluding insolvent Revo Hospitality Group (“Revo”) rooms.
  • Development pipeline grew 4% year-over-year, excluding Revo, to a record of approximately 264,000 rooms, carrying a FeePAR premium of approximately 30% to existing domestic and international systems.
  • Net income was $99 million and diluted EPS was $33.
  • Adjusted EBITDA was $207 million and adjusted diluted EPS was $1.43.
  • Net cash provided by operating activities was $93 million and free cash flow was $100
  • Returned $123 million to shareholders through $91 million of share repurchases, a 30% increase year-over-year, and quarterly cash dividends of $0.43 per share.

“Our third quarter results demonstrate our team’s continued execution and the strength of Wyndham’s asset-light, highly cash-generative business model,” said Geoff Ballotti, President and Chief Executive Officer.  “We delivered broad-based U.S. RevPAR growth outperforming our initial expectations, as well as market share gains.  Additionally, we grew our system and development pipeline each by 4% and increased royalties and franchise fees by 6%, as we continued to invest in industry-leading technology, loyalty and distribution initiatives that support franchisee profitability and customer satisfaction. Our strong balance sheet and cash flow generation capabilities provide significant opportunities to continue enhancing returns to our shareholders over both the short and long-term, as evidenced by our Board of Directors’ approval of a $400 million increase in our share repurchase authorization.”

Operating Results Highlights

The comparability of the Company’s third quarter results is impacted by marketing fund variability.  In the third quarter of 2026, marketing fund revenues exceeded expenses by $1 million, while revenues exceeded expenses by $18 million in the third quarter of last year.

The Company’s reported results and comparable basis results (adjusted to neutralize these impacts) are presented below to enhance transparency and provide a better understanding of the results of the Company’s ongoing operations.

  • Net revenues increased 7% to $410 million compared to $382 million in the third quarter of 2025, reflecting RevPAR and global net rooms growth, higher franchise fees, increased ancillary revenues and revenues from the Company’s two owned hotels.
  • Net income decreased 6% to $99 million compared to $105 million in the third quarter of 2025, primarily reflecting lower adjusted EBITDA. On a comparable basis, adjusted net income increased approximately 7% year-over-year primarily reflecting comparable basis adjusted EBITDA growth.
  • Adjusted EBITDA decreased 3% to $207 million compared to $213 million in the third quarter of 2025. On a comparable basis, adjusted EBITDA increased 5% primarily reflecting higher revenues, partially offset by the timing of variable costs and the lapping of one-time variable cost reductions made during the third quarter of 2025.
  • Diluted EPS decreased 2% to $33 compared to $1.36 in the third quarter of 2025, which reflects lower net income, partially offset with share repurchase activity.
  • Adjusted diluted EPS decreased 2% to $1.43 compared to $1.46 in the third quarter of 2025. On a comparable basis, adjusted diluted EPS increased approximately 9% year-over-year primarily reflecting a comparable basis increase in adjusted EBITDA and the benefit of share repurchase activity.

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.

RevPAR

In the U.S., RevPAR improved 6% year-over-year and 4% sequentially, reflecting improved occupancy and ADR levels.  Performance was broad-based across nearly all regions, highlighting the sustained strength across the Midwest and continued year-over-year and sequential growth in Texas, Florida and California.

Internationally, constant currency RevPAR declined 3% year-over-year, yet improved 4% sequentially, including year-over-year growth of 7% in Canada reflecting continued pricing and demand strength, while 5% growth in Southeast Asia and the Pacific Rim was driven by favorable ADR trends.  Latin America increased 2% year-over-year and 9% sequentially primarily driven by Mexico, with favorable ADR trends and a resilient urban portfolio.  EMEA increased 2% year-over-year driven by strong performance in Turkey, India and Spain and 8% sequentially reflecting recovery in Germany and stabilization across the Middle East.  Growth in these regions was offset by China, where RevPAR declined 10% year-over-year as softer travel demand, particularly in Tier 2 cities, continued to pressure performance.

System Size and Development

The Company’s global system, excluding Revo, grew 4%.  The Company’s U.S. system grew 2% in the higher RevPAR midscale and above segments.  International growth of 11% year-over-year, excluding Revo, included 12% direct-franchised growth in the Company’s Asia Pacific region and 13% growth in the Company’s higher RevPAR EMEA and Latin America regions.

As of September 30, 2026, the Company’s global development pipeline, excluding Revo, increased 4% vs. prior-year to a record-high of approximately 264,000 rooms and over 2,200 hotels.  Key highlights of the Company’s pipeline include:

  • 2% growth in the U.S. and 5% growth internationally, excluding Revo
  • Approximately 69% is in the midscale and above segments
  • Approximately 17% is in the extended stay segment
  • Approximately 42% is in the U.S.
  • Approximately 78% is new construction and approximately 35% of these projects have broken ground; rooms under construction grew 4% year-over-year
  • Approximately 30% FeePAR premium compared to existing domestic and international systems

Balance Sheet and Liquidity

The Company generated $93 million of net cash provided by operating activities and $100 million of free cash flow in the third quarter 2026.  The Company ended the quarter with a cash balance of $71 million and $988 million in total liquidity.

The Company’s net debt leverage ratio at September 30, 2026 was 3.6 times, near the midpoint of the Company’s 3-to-4 times stated target range and in-line with expectations.

Share Repurchases and Dividends

During the third quarter, the Company repurchased approximately 1.2 million shares of its common stock for $91 million, a 30% increase year-over-year, at an average price of $73.39 per share, which represented a 5% discount to our 52-week average price. Year-to-date through September 30, the Company repurchased approximately 2.5 million shares of its common stock for $196 million. The Company’s Board of Directors recently increased the Company’s share repurchase authorization by $400 million.

The Company paid common stock dividends of $32 million, or $0.43 per share, during the third quarter 2026.

Outlook

The Company is updating its full-year outlook as follows:

The Company expects marketing fund revenues to roughly equal expenses during full-year 2026 though seasonality of spend will affect the quarterly comparisons throughout the year.

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, October 22, 2026 at 8:30 a.m. ET.  Listeners can access the webcast live through the Company’s website at https://investor.wyndhamhotels.com.  The conference call may also be accessed by dialing 800 343-4136 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 October 22, 2026.  A telephone replay will be available for approximately ten days beginning at noon ET on October 22, 2026 at 800 839-4014.

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 one of the world’s largest hotel franchising companies with approximately 8,500 hotels across approximately 100 countries on six continents.  Through its network of over 877,000 franchised and affiliated 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 25 hotel brands, including Super 8®, Days Inn®, Ramada®, Microtel®, La Quinta®, Baymont®, Wingate®, AmericInn®, ECHO Suites®, Registry Collection Hotels®, Trademark Collection® and Wyndham®.  The Company’s award-winning Wyndham Rewards loyalty program offers approximately 129 million enrolled members the opportunity to redeem points at thousands of hotels, vacation club resorts and vacation rentals globally.  For more information, visit https://investor.wyndhamhotels.com.  The Company may use its website and social media channels as 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 https://investor.wyndhamhotels.com or on the Company’s social media channels, including the Company’s LinkedIn account which can currently be accessed at https://www.linkedin.com/company/wyndhamhotels. Accordingly, investors should monitor this section of the Company’s website and the Company’s social media channels 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’s current views and expectations with respect to its future performance and operations, including revenues, earnings, cash flow and other financial and operating measures, share repurchases and dividends and restructuring charges. Forward-looking statements are any statements other than statements of historical fact, including those that convey management’s expectations as to the future based on plans, estimates and projections at the time Wyndham makes the statements and may be identified by words such as “will,” “expect,” “believe,” “plan,” “anticipate,” “predict,” “intend,” “goal,” “future,” “forward,” “remain,” “confident,” “outlook,” “guidance,” “target,” “objective,” “estimate,” “projection” and similar words or expressions, including the negative version of such words and expressions. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Wyndham 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, including inflation, higher interest rates and potential recessionary pressures, which may impact decisions by consumers and businesses to use travel accommodations; global trade disputes, including with China; the performance of the financial and credit markets; the economic environment for the hospitality industry; operating risks associated with the hotel franchising business; Wyndham’s relationships with franchisees; the ability of franchisees to pay back loans owed to Wyndham; the impact of prior or any future impairment charges related to the credit Wyndham extends to its franchisees; the impact of war, terrorist activity, political instability or political strife; global or regional health crises or pandemics including the resulting impact on Wyndham’s business, operations, financial results, cash flows and liquidity, as well as the impact on its franchisees, guests and team members, the hospitality industry and overall demand for and restrictions on travel; Wyndham’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 Wyndham’s ability to obtain financing and the terms of such financing, including access to liquidity and capital; and Wyndham’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 Wyndham’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. These risks and uncertainties are not the only ones Wyndham may face and additional risks may arise or become material in the future. Wyndham undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, subsequent events or otherwise, except as required by law.