Wyndham (WH) Reports Q2 Earnings: What Key Metrics Have to Say

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For the quarter ended June 2023, Wyndham Hotels (WH) reported revenue of $362 million, down 6.2% over the same period last year. EPS came in at $0.93, compared to $1.07 in the year-ago quarter.

The reported revenue represents a surprise of -1.30% over the Zacks Consensus Estimate of $366.76 million. With the consensus EPS estimate being $0.92, the EPS surprise was +1.09%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Wyndham performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Total Rooms: 851500 versus the three-analyst average estimate of 849279.4.

  • Total RevPAR: $46.47 versus $46.79 estimated by three analysts on average.

  • Net revenues- Fee-related and other revenues- Royalties and franchise fees: $142 million compared to the $145.94 million average estimate based on five analysts. The reported number represents a change of +6.8% year over year.

  • Net revenues- Cost reimbursements: $4 million versus $2.75 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a -87.5% change.

  • Net revenues- Fee-related and other revenues- Marketing, reservation and loyalty: $145 million compared to the $152.08 million average estimate based on four analysts. The reported number represents a change of 0% year over year.

  • Net revenues- Fee-related and other revenues- Management and other fees: $5 million compared to the $3.43 million average estimate based on four analysts. The reported number represents a change of -68.8% year over year.

  • Net revenues- Fee-related and other revenues- Other: $37 million versus $35.57 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +12.1% change.

  • Net revenues- Fee-related and other revenues- License and other fees: $29 million versus $27.43 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +7.4% change.

View all Key Company Metrics for Wyndham here>>>

Shares of Wyndham have returned +10.7% over the past month versus the Zacks S&P 500 composite's +5.1% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

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