Systemwide first-quarter revenue per available room at Wyndham Hotels & Resorts properties declined 1 percent year over year, officials said Thursday, a narrower decline than projected after a boost in infrastructure-related business in Texas and other key markets.
U.S. RevPAR held steady at $42.25, ahead of the 2 percent to 3 percent decline that Wyndham in the prior quarter had projected. But volume in Texas, where the company has 700 properties, rebounded after a sluggish Q4, and infrastructure business travel in key Midwestern states like Iowa, Illinois and Michigan remained solid, Wyndham CEO Geoff Ballotti said on a Thursday earnings call.
"Our three largest states of Texas, California and Florida, which account for one-quarter of our U.S. room count, improved by 800 basis points sequentially from [RevPAR] down 11 percent in Q4 [year over year] to down only 3 percent in Q1," Ballotti said.
Ballotti suggested that "immigration and trade policies that created an environment of uncertainty appear to have stabilized," boosting the infrastructure-related spending that makes up the substantial majority of Wyndham's business travel clientele.
RevPAR at Texas properties increased 2 percent year over year, Ballotti said, compared with a 5 percent decline in Q4, a stronger rebound than in California or Florida. RevPAR in the eight states that comprise Wyndham's infrastructure-related Midwest region increased 8 percent year over year, he said.
"We're seeing corporate contracted in that everyday business pick up," he said." And sequentially, it was both occupancy and rates. We saw non-government infrastructure pick up [and] oil and gas pickup. Our oil and gas market tracks, which are 12 percent of our room count, picked up by 400 basis points."
Infrastructure-related travel bookings made up 20 percent of Wyndham's 2025 gross room revenue, according to a presentation for investors, with "logistics and other" adding another 8 percent and corporate transient accounting for 2 percent.
Wyndham Q1 Metrics
Wyndham's first-quarter systemwide RevPAR dropped to $38.53.
Excluding hurricane impacts, first-quarter U.S. occupancy declined about 0.1 percent year over year, and average daily rate increased about 0.2 percent.
First-quarter net revenue increased 3 percent year over year to $327 million. Net income was $61 million, as it was one year prior.
Wyndham boosted its projected full-year 2026 RevPAR to range from a 1 percent year-over-year decline to an increase of 1 percent, compared with the range of a 1.5 percent decline to a of 0.5 percent increase that it issued in the prior quarter.
Wyndham at the end of Q1 had about 869,300 rooms in its system globally, up 4 percent year over year, with total U.S. rooms about steady at 500,700.
The company's development pipeline at the end of Q1 included about 2,200 hotels and 259,000 rooms, the latter figure a record high, the company said, and up 3 percent year over year.
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