Wyndham Hotels & Resorts, Inc.

In Q2 2026, Wyndham reported $375 million of net revenues and $212 million of adjusted EBITDA on a comparable basis. Adjusted diluted EPS was $1.48, up 3% on a comparable basis, and adjusted EBITDA was also up 3%; free cash flow was $105 million in the quarter and $169 million year to date. Revenue declined 6% year over year, mainly due to the absence of pass-through revenues from the May 2025 Global Franchisee Conference, lower other franchise fees, and Revo fee deferrals, partly offset by higher ancillary revenue and a larger system. Management raised full-year guidance: global RevPAR to flat to plus 1%, net revenues to $1.48 billion to $1.5 billion, adjusted EBITDA to $735 million to $745 million, adjusted net income to $355 million to $365 million, and adjusted diluted EPS to $4.71 to $4.83. U.S. RevPAR outlook for the back half was raised from flat to up 2%; net room growth remains expected at 4% to 4.5% excluding Revo.

Geoff Ballotti struck an upbeat but measured tone, emphasizing resilience in U.S. demand, record room openings, and a pipeline at a record 261,000 rooms. He highlighted improving domestic trends in April through June, stronger weekend and drive-to demand, and infrastructure-related business that is helping midweek occupancy. He also leaned heavily into Wyndham Rewards, AI-enabled guest engagement, and the refreshed credit card portfolio as longer-term drivers of loyalty and ancillary revenue.

Amit Sripathi focused on the bridge from Q2 to the back half and on capital discipline. He said marketing fund revenues exceeded expenses by $14 million in Q2 versus $3 million last year, and comparable adjusted EBITDA rose 3% to $212 million despite a 6% decline in net revenues; adjusted EPS rose 3% to $1.48. He reiterated full-year ancillary revenue growth of low to mid-teens, unchanged G&A expectations for the year, free cash flow conversion unchanged, total liquidity of about $1 billion, net leverage of 3.5x, and up to $170 million of capital available for share repurchases or M&A in the back half after dividends and development advances.

Analysts focused on whether U.S. consumer strength and RevPAR momentum are sustainable, and management said yes, citing easing comps, stable booking lead times around 15 days, improving cancellation rates, and stronger tax refund-driven travel demand. Questions also probed the EBITDA bridge, unit growth and deletions, Europe/Revo exposure, and the impact of World Cup/America250; management said the full-year EBITDA midpoint implies a stronger second half, that most EBITDA growth should land in Q4, and that Revo will mostly roll off in Q3/Q4. On competition and conversions, management said less than 1% of former hotels have reflagged to newer select-service brands and that this has not materially hurt signings, openings, or the pipeline.