News
Truman and Marriott to bring three high‑profile hotel brands to Calgary
W Calgary, JW Marriott and Autograph Collection hotel to anchor landmark $1.47B development in Culture + Entertainment District
News
Wyndham posts strong Q2 2025 despite RevPAR decline
Wyndham Hotels & Resorts reported second-quarter 2025 results on July 23, posting system-wide net room growth of 4 per cent and a record development pipeline, while implementing a revised reporting methodology that excludes approximately 67,000 rooms operated under a Super 8 master licence agreement in China.
The company issued a default notice to the Chinese master licensee following operational irregularities. Due to continued uncertainty around the compliance process, Wyndham has excluded this portfolio from its system size, RevPAR, royalty rate, and related growth metrics beginning this quarter. The rooms in question contributed less than US$3 million to the company’s 2024 adjusted EBITDA.
Excluding the China portfolio, Wyndham reports global system-wide room count at 846,700 as of June 30, 2025—an increase of 4 per cent year-over-year. International growth outpaced the U.S., with 8 per cent growth internationally and 1 per cent domestically. The company’s pipeline rose 5 per cent to a record 255,000 rooms across 2,150 hotels.
“We delivered another solid quarter growing our global system by 4%, expanding our development pipeline by 5%, increasing our ancillary revenues by 19%, and continuing to execute our strategy focused on higher FeePAR segments and markets,” says Geoff Ballotti, president and CEO. “With consistent development, royalty rate, and ancillary fee growth, we remain very confident in our ability to create long-term value.”
Adjusted EBITDA grew 10 per cent year-over-year to US$195 million, or 5 per cent on a comparable basis. Fee-related and other revenues rose 8 per cent to US$397 million, with ancillary revenues increasing 19 per cent.
Second-quarter adjusted diluted earnings per share (EPS) rose 18 per cent to US$1.33 from US$1.13 a year earlier. On a comparable basis—excluding US$8 million in favourable marketing fund timing—EPS increased 11 per cent. Net income totalled US$87 million, flat compared to Q2 2024, while adjusted net income grew 13 per cent to US$103 million.
RevPAR declined 3 per cent globally in constant currency, reflecting a 4 per cent decline in the U.S. and 1 per cent growth internationally. The U.S. performance was impacted by the timing of Easter and the 2024 solar eclipse. Internationally, RevPAR gains were driven by pricing strength in Europe, the Middle East and Africa (up 7 per cent), Latin America (up 18 per cent) and Canada (up 7 per cent). RevPAR in China declined 8 per cent.
During the quarter, Wyndham awarded 229 new development contracts, up 40 per cent year-over-year. The company says 58 per cent of its pipeline is international and 70 per cent is in midscale and above segments. About 35 per cent of pipeline projects have broken ground.
Wyndham repurchased approximately 923,000 shares for US$77 million and paid a quarterly dividend of US$0.41 per share. Total shareholder returns for the quarter amounted to US$109 million.
The company updated its 2025 guidance, raising the lower end of its full-year room growth outlook from 3.6 per cent to 4.0 per cent, reflecting the removal of the China portfolio. Full-year RevPAR is expected to range from down 2 per cent to up 1 per cent in constant currency. Adjusted EPS guidance is now between US$4.60 and US$4.78, up from a prior range of US$4.57 to US$4.74.
Wyndham ended the quarter with a US$50 million cash balance and a net debt leverage ratio of 3.5 times adjusted EBITDA, consistent with its stated target. Adjusted free cash flow for the quarter totalled US$88 million.
