Company Insights - Wyndham Hotels & Resorts is investing in artificial intelligence (AI) to enhance guest experiences and improve operational efficiency [1][3] - The company reported a 7% year-over-year growth in its development pipeline, reaching a record 245,000 rooms [7][8] - Revenue per available room (RevPAR) increased by 2%, with flat growth in the U.S. and a 7% increase internationally [7] Financial Performance - The CEO highlighted the resilience and cash-generative nature of the business model, showcasing strong adjusted EBITDA driven by net room and ancillary fee growth [2][8] - The company awarded 33% more hotel contracts domestically, contributing to the growth of its development pipeline [8] Technological Advancements - Wyndham has implemented AI-generated messaging to facilitate communication between franchisees and guests via text [4] - The introduction of smart mobile check-in is aimed at speeding up the check-in process and reducing labor needs [9] Industry Trends - The Global Business Travel Association (GBTA) anticipates a significant increase in global business travel spending, projecting an 11.1% rise in 2024 to $1.48 trillion [6][11] - The travel sector is increasingly adopting AI tools, as evidenced by new platforms introduced by companies like AMGiNE and Altour [5][10]

Core Insights - Wyndham Hotels reported revenue of $367 million for the quarter ended June 2024, reflecting a year-over-year increase of 1.4% [1] - The company's EPS was $1.13, up from $0.93 in the same quarter last year, indicating a positive earnings performance [1] Financial Performance Metrics - The reported revenue of $367 million was below the Zacks Consensus Estimate of $371 million, resulting in a revenue surprise of -1.08% [3] - Wyndham delivered an EPS surprise of +8.65%, with the consensus EPS estimate being $1.04 [3] - Total Rooms stood at 884,900, slightly above the average estimate of 884,014 [4] - Total RevPAR was reported at $45.99, lower than the estimated $47.02 [4] - Fee-related and other revenues from royalties and franchise fees were $144 million, compared to the average estimate of $150.37 million, marking a year-over-year change of +1.4% [4] - Marketing, reservation, and loyalty revenues were $150 million, exceeding the average estimate of $148.96 million, with a year-over-year increase of +3.5% [4] - License and other fees generated $31 million, slightly above the estimated $30.80 million, representing a +6.9% change year-over-year [4] - Other fee-related revenues totaled $39 million, compared to the average estimate of $38.37 million, reflecting a +5.4% year-over-year change [4] - Management and other fees were reported at $2 million, below the average estimate of $2.58 million, indicating a significant year-over-year decline of -60% [4] Stock Performance - Shares of Wyndham have returned +1.4% over the past month, compared to the Zacks S&P 500 composite's +1.8% change [6] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [6]

Company Performance - Wyndham reported quarterly earnings of $1.13 per share, exceeding the Zacks Consensus Estimate of $1.04 per share, and showing an increase from $0.93 per share a year ago [7] - The company posted revenues of $367 million for the quarter ended June 2024, which was 1.08% below the Zacks Consensus Estimate, but an increase from $362 million in the same quarter last year [2] - Over the last four quarters, Wyndham has surpassed consensus EPS estimates four times [8] Stock Performance - Wyndham shares have declined approximately 7.9% since the beginning of the year, while the S&P 500 has gained 16.5% [3] - The current consensus EPS estimate for the upcoming quarter is $2.49, reflecting a year-over-year change of +10.2% [6] - The current consensus EPS estimate for the current fiscal year is $4.25 on revenues of $1.45 billion [5] Earnings Outlook - The estimate revisions trend for Wyndham is mixed, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [11] - Future stock price movements will largely depend on management's commentary during the earnings call [9] - The Hotels and Motels industry is currently ranked in the top 42% of Zacks industries, suggesting a favorable outlook compared to the bottom 50% [13]

Financial Performance - Adjusted EBITDA rose by 13% year-over-year to $178 million, with adjusted diluted EPS increasing by 22% to $1.13[2][10] - Net income for the second quarter was $86 million, a 23% increase compared to the prior-year quarter[2][10] - Net revenues for Q2 2024 were $367 million, a slight increase from $362 million in Q2 2023, while net revenues for the first half of 2024 totaled $671 million, down from $674 million in the same period last year[29] - Operating income for Q2 2024 was $145 million, compared to $123 million in Q2 2023, indicating a year-over-year increase of approximately 17.9%[29] - Net income for Q2 2024 was $86 million, up from $70 million in Q2 2023, representing a growth of 22.9%[29] - Adjusted EBITDA for the first half of 2024 was $141 million, compared to $147 million in the first half of 2023, reflecting a decrease of 4.1%[32] - The company reported a basic earnings per share of $1.07 for Q2 2024, up from $0.82 in Q2 2023, reflecting a growth of 30.5%[29] - Net income for the six months ended June 30, 2024, was $102 million, compared to $137 million for the same period in 2023, reflecting a decrease of 25.6%[51] - Adjusted net income for the three months ended June 30, 2024, was $91 million, an increase from $80 million in 2023, marking a growth of 13.8%[51] Development and Growth - System-wide rooms grew by 4% year-over-year, with over 18,000 rooms opened globally, including a 16% increase in the U.S.[2] - The development pipeline reached a record 245,000 rooms, reflecting a 7% year-over-year increase and a 33% rise in awarded contracts[2][4] - Approximately 70% of the development pipeline is in the midscale and above segments, which grew 4% year-over-year[4] - The global room count increased by 33,400 rooms, reaching 884,900 as of June 30, 2024, representing a 4% growth year-over-year[41] - The company added 31,200 rooms globally in the first half of 2024, a 11% increase from the previous year[41] - The total international room count increased by 29,100 rooms, reaching 385,500 as of June 30, 2024, an 8% growth year-over-year[41] - The number of rooms is expected to grow by 3% to 4% year-over-year[53] Cash Flow and Shareholder Returns - The company generated adjusted free cash flow of $69 million in the second quarter, ending with a cash balance of $70 million[12] - Free cash flow for Q2 2024 was $27 million, down from $92 million in Q2 2023, indicating a decline of 70.7%[35] - The company returned $162 million to shareholders through share repurchases and dividends, with $131 million allocated for share buybacks[2][15] - The adjusted free cash flow conversion rate is anticipated to be approximately 60%[53] Debt and Financial Outlook - Total debt increased to $2.427 billion as of June 30, 2024, from $2.201 billion at the end of 2023, marking an increase of approximately 10.3%[36] - The net debt leverage ratio increased to 3.5x as of June 30, 2024, compared to 3.2x at the end of 2023[38] - The company successfully repriced its Term Loan B Facility, reducing the interest rate by 60 basis points to SOFR plus 1.75%[2][14] - As of June 30, 2024, total outstanding debt amounts to $2.427 billion, with $1.445 billion maturing thereafter[39] - Full-year 2024 adjusted diluted EPS outlook is refined to $4.20 - $4.32, with adjusted net income expected between $338 million and $348 million[16] - The company projects adjusted net income for 2024 to be between $338 million and $348 million, with adjusted diluted EPS expected to range from $4.20 to $4.32[53] - Adjusted EBITDA for 2024 is forecasted to be between $690 million and $700 million[53] - The outlook for fee-related and other revenues in 2024 is estimated to be between $1,410 million and $1,430 million[53] - The company’s capital expenditures for 2024 are projected to be approximately $40 million[53] Revenue Per Available Room (RevPAR) - Global RevPAR increased by 2% in constant currency, with U.S. RevPAR remaining flat and international RevPAR growing by 7%[4] - For the three months ended June 30, 2024, the total RevPAR for the United States was $55.44, showing no percentage change compared to the previous year[43] - International RevPAR for the three months ended June 30, 2024, was $34.11, reflecting a 7% increase year-over-year[43] - The company experienced a 39% increase in RevPAR in Latin America for the six months ended June 30, 2024, reaching $50.41[43] - The average royalty rate for the United States increased by 9 basis points to 4.7%, while the global average rose by 4 basis points to 4.0%[43] Other Expenses - The company incurred payments related to hostile takeover defense amounting to $46 million in the first half of 2024[34] - Total adjustments before tax for the six months ended June 30, 2024, amounted to $72 million, significantly higher than $24 million in the same period of 2023[51]

Core Viewpoint - Wyndham Hotels & Resorts, Inc. is expected to report second-quarter 2024 results on July 24, with earnings anticipated to beat the Zacks Consensus Estimate by 4% based on previous performance [1] Q2 Estimates - The Zacks Consensus Estimate for second-quarter 2024 earnings is $1.05, compared to adjusted earnings of 93 cents in the prior-year quarter [2] - Revenue estimates are pegged at $373.9 million, indicating a 3.3% year-over-year increase [2] Factors to Note - The company's results are likely supported by expansion efforts and the integration of AI across operations, enhancing efficiency and service quality [3] - AI is utilized in call centers for real-time coaching and call handling, allowing agents to focus more on guest assistance [3] - Wyndham is focused on expanding its geographic footprint and product offerings through a diversified brand portfolio and disciplined capital allocation strategy [4] Revenue Estimates - The consensus estimate for Marketing, reservation and loyalty revenues is $150 million, reflecting a 6.3% year-over-year increase [5] - Royalties and franchise fees revenues are estimated at $151 million, up 3.4% year over year [5] Earnings Prediction Model - The model predicts an earnings beat for Wyndham, supported by a positive Earnings ESP of +0.11% and a Zacks Rank of 3 (Hold) [6]

Cash flow can come from bond interest, interest from other types of investments, and of course, dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns. Big, established firms that have more secur ...

The earnings report, which is expected to be released on July 24, 2024, might help the stock move higher if these key numbers are better than expectations. On the other hand, if they miss, the stock may move lower. This hotel and resort chain is expected to post quarterly earnings of $1.05 per share in its upcoming report, which represents a year-over-year change of +12.9%. The consensus EPS estimate for the quarter has been revised 0.81% lower over the last 30 days to the current level. This is essentially ...

TORONTO, ON, July 16, 2024 (GLOBE NEWSWIRE) -- Days Inns - Canada proudly announced today, for the second year in a row, an impactful donation to Food Banks Canada in aid of their Food For All initiative. This contribution helps replenish stock, distribute substantial donations, and deliver perishable items to Food Banks Canada's network of food banks across the country. "Food bank use in Canada continues to rise at an alarming rate. In addition to our corporate efforts, we are proud to have such dedicated ...

Group 1: Company Overview - Days Inns Canada is a leading hotel chain with over 105 independently owned properties and more than 8,385 rooms across Canada [3] - It is part of Realstar Hospitality and operates under the Wyndham Hotels & Resorts brand, which has approximately 8,900 hotels globally [3] - Days Inn by Wyndham participates in the Wyndham Rewards guest reward program, enhancing customer loyalty [3] Group 2: Partnership with Food Banks Canada - Days Inns Canada has partnered with Food Banks Canada for the second consecutive year, contributing to the Food For All initiative to help replenish food supplies [5] - The FeedSummer campaign runs until August 31, 2024, encouraging guests and hotel teams to donate or volunteer to support local food banks [6] - Food Banks Canada has been active for 40 years, with over 5,100 food banks serving Canadians facing food insecurity, making nearly two million visits in March of the previous year [4] Group 3: Impact and Contributions - Food Banks Canada has sourced and shared over 1.4 billion pounds of food in the past decade and provided nearly $168 million in funding to enhance local food bank capacities [4] - The partnership aims to relieve hunger today and prevent it tomorrow, aligning with the vision of a Canada where no one goes hungry [4][5]

"No matter where you live, nothing beats the bonding power of cheese. And when it comes to the best, there's no doubt the Midwest reigns supreme. Just like cheese brings families together over delicious meals, AmericInn connects guests with unforgettable travel experiences across America's heartland and beyond. Our first ever Cheesiest Family will fully immerse themselves in the best cheese-scapades, experiencing AmericInn signature hospitality and sharing their memorable adventures on social media." A Lege ...