Dive Brief:
- In the third quarter of 2026, Wyndham Hotels & Resorts saw U.S. RevPAR increase 6% year over year, “reflecting improved occupancy and ADR levels,” according to an earnings report published Wednesday. Overall, Wyndham’s global RevPAR increased 2% year over year.
- The U.S. RevPAR results outperformed the company’s initial expectations, CEO Geoff Ballotti said in the report. Wyndham raised its full-year 2026 outlook on global RevPAR growth, now expecting to see between 0.5% and 1% year-over-year growth.
- On the development front, both Wyndham’s global system size and pipeline grew 4% year over year in Q3, excluding “insolvent” Revo Hospitality Group rooms, per the release. Looking ahead, the company anticipates continued development and technology momentum, as well as Q4 U.S. RevPAR trends to remain roughly in line with Q3.
Dive Insight:
In the third quarter, healthier demand trends across key markets drove Wyndham’s RevPAR growth, the company detailed in an investor presentation. The company’s “strong” earnings were driven, in part, by a favorable impact from this summer’s World Cup, Ballotti said on a Thursday earnings call.
In Q3, Wyndham saw ADR and occupancy up 3% year over year, with stronger weekday performance driven by government demand and resilient everyday business travel, and improved weekend performance reflecting sustained leisure demand, per the presentation.
Wyndham saw sustained RevRAR growth across nearly all regions, including Texas, Florida and California, Ballotti said. The company also saw strong performance across its Midwest and industrial states, “highlighting a portfolio well-positioned to benefit from increasing infrastructure-related demand,” in part generated by data center expansion, he added.
Currently, Wyndham has more than 550 hotels within a 10-mile radius of data center and infrastructure projects, per the presentation.
The company opened more than 18,000 rooms in Q3, up 3% year over year, Ballotti said on the call. Openings included three Echo Suites hotels; a Dazzler Select property in Moab, Utah; and several additions to its Trademark Collection.
Meanwhile, Wyndham’s development pipeline reached a record 264,000 rooms in Q3, representing 2% year-over-year growth in the U.S. and 5% internationally, according to the report.
Approximately 42% of the pipeline is in the U.S., with 69% of the total pipeline in the midscale and above segments, the report detailed. Additionally, roughly 78% of Wyndham’s pipeline is new construction.
Soon after the close of the third quarter, Wyndham also announced a new development partnership with Travel + Leisure Co. to help the company build, operate and scale hotels under its Sports Illustrated Resorts brand across U.S. college towns and major urban markets.
On the technology front, Wyndham is deploying artificial intelligence “at scale across all guest touchpoints,” Ballotti said.
“Google AI Mode is now live alongside our apps in ChatGPT and Cloud, supporting end-to-end direct booking, including payment, without ever leaving the LLM conversation,” Ballotti said.
Looking to the fourth quarter, Ballotti said October month-to-date U.S. RevPAR “has remained relatively consistent with third-quarter results, reinforcing our confidence in underlying demand trends as we close out 2026.”
