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WYNDHAM HOTELS & RESORTS, INC.

CIK:0001722684|SEC Filings

Condensed Consolidated and Combined Statements of Income/(Loss) (Unaudited) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Net revenues
Net revenues	$ 375	$ 397	$ 702	$ 713
Expenses
Operating	26	25	50	45
General and administrative	24	31	59	61
Depreciation and amortization	15	15	31	31
Transaction-related	0	1	3	1
Restructuring and other-related	5	13	10	13
Separation-Related Charges	0	0
Total expenses	201	247	414	451
Operating income	174	150	288	262
Interest expense, net	36	34	71	68
Income before income taxes	138	116	217	194
Provision for income taxes	36	29	54	45
Net income	$ 102	$ 87	$ 163	$ 149
Earnings per share
Basic (in usd per share)	$ 1.37	$ 1.13	$ 2.17	$ 1.92
Diluted (in usd per share)	$ 1.36	$ 1.13	$ 2.16	$ 1.90
Royalties and franchise fees
Net revenues
Net revenues	$ 139	$ 147	$ 253	$ 272
Marketing, reservation and loyalty
Net revenues
Net revenues	145	165	267	281
Expenses
Cost of revenues	131	162	262	300
Management and other fees
Net revenues
Net revenues	5	2	9	5
License and other fees
Net revenues
Net revenues	32	33	62	60
Other
Net revenues
Net revenues	$ 54	$ 50	$ 111	$ 95

Condensed Consolidated and Combined Statements of Cash Flows (Unaudited) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Operating activities
Net income	$ 163	$ 149
Adjustments to reconcile net income to net cash provided by/(used in) operating activities:
Depreciation and amortization	31	31
Development advance notes amortization	17	14
Provision for doubtful accounts	6	6
Deferred income taxes	(8)	(5)
Stock-based compensation	19	19
Net change in assets and liabilities:
Trade receivables	(46)	(48)
Prepaid expenses	(13)	2
Other current assets	2	1
Accounts payable, accrued expenses and other current liabilities	(16)	21
Deferred revenues	14	29
Payments of development advance notes, net	(57)	(51)
Other, net	21	(39)
Net cash provided by operating activities	133	129
Investing activities
Property and equipment additions	(21)	(19)
Loan advances, net	(1)	(52)
Net cash used in investing activities	(22)	(71)
Financing activities
Proceeds from borrowings	762	242
Principal payments on long-term debt	(654)	(129)
Debt issuance costs	(10)	0
Dividends to stockholders	(66)	(65)
Repurchases of common stock	(107)	(153)
Exercise of stock options	7	5
Net share settlement of incentive equity awards	(17)	(22)
Net cash used in financing activities	(85)	(122)
Effect of changes in exchange rates on cash, cash equivalents and restricted cash	(1)	1
Net increase/(decrease) in cash, cash equivalents and restricted cash	25	(63)
Cash, cash equivalents and restricted cash, beginning of period	64	113
Cash, cash equivalents and restricted cash, end of period	$ 89	$ 50

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Millions	Jun. 30, 2026	Dec. 31, 2025
Current assets:
Cash and cash equivalents	$ 69	$ 64
Trade receivables, net	331	291
Prepaid expenses	46	33
Other current assets	51	47
Total current assets	497	435
Property and equipment, net	148	104
Goodwill	1,525	1,525
Other non-current assets	685	628
Total assets	4,332	4,182
Current liabilities:
Current portion of long-term debt	23	45
Accounts payable	57	38
Deferred revenues	147	134
Accrued expenses and other current liabilities	276	290
Total current liabilities	503	507
Long-term debt	2,652	2,515
Deferred income taxes	268	271
Deferred revenues	224	220
Other non-current liabilities	205	201
Total liabilities	3,852	3,714
Commitments and contingencies (Note 12)
Stockholders’ equity:
Preferred stock, $0.01 par value, authorized 6.0 shares, none issued and outstanding	0	0
Common stock, $0.01 par value, 76.1 and 75.7 shares issued as of June 30, 2026 and December 31, 2025	1	1
Treasury stock, at cost – 1.6 and 0.3 shares as of June 30, 2026 and December 31, 2025	(126)	(21)
Additional paid-in capital	23	14
Retained earnings	568	471
Accumulated other comprehensive income	14	3
Total stockholders’ equity	480	468
Total liabilities and stockholders’ equity	4,332	4,182
Trademarks, net
Current assets:
Intangible assets, net	1,208	1,208
Franchise agreements and other intangibles, net
Current assets:
Intangible assets, net	$ 269	$ 282