Travel + Leisure Q2 revenue tops estimates, outlook raised

Travel + Leisure

22/07/2026 11:39

    

    Overview
  
US leisure travel firm's Q2 revenue rose 4%, beating analyst expectations
Adjusted EPS for Q2 grew 14% but missed consensus estimates
Company raised full-year adjusted EBITDA guidance and repurchased $88 mln in shares

    

    Outlook
  
Travel + Leisure boosts 2026 full-year Adjusted EBITDA guidance to $1.065 bln-$1.085 bln
Company sees 2026 gross VOI sales of $2.6 bln-$2.675 bln
Travel + Leisure expects Q3 Adjusted EBITDA of $275 mln-$285 mln

    

    Result Drivers
  
VACATION OWNERSHIP GROWTH - Revenue rose 6% and net vacation ownership interest sales increased 11%, driven by higher volume per guest and more tours
COST SAVINGS - Expense savings from resort optimization initiative contributed to higher segment EBITDA
MEMBERSHIP REVENUE DECLINE - Travel and Membership revenue fell 5% due to a 12% decrease in revenue per transaction, partly offset by higher transaction volume

    
Company press release: ID:nBw845Wq2a

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
Q2 Revenue
Beat
$1.06 bln
$1.04 bln (11 Analysts)
Q2 Adjusted EPS
Miss
$1.88
$1.89 (12 Analysts)
Q2 Net Income
 
$109 mln
 

    

    Analyst Coverage
  
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the hotels, motels & cruise lines peer group is "buy"
Wall Street's median 12-month price target for Travel + Leisure Co is $87.00, about 18.6% above its July 21 closing price of $73.35
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

    

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)