Travel + Leisure slightly beats Q1 revenue estimates, reaffirms 2026 guidance

Travel + Leisure

22/04/2026 11:40

Overview

US leisure travel provider's Q1 revenue slightly beat analyst expectations, adjusted EPS beat estimates

Company repurchased $87 mln in shares and paid $41 mln in dividends in Q1

Resort optimization initiative led to $19 mln in inventory write-downs and impairments

Outlook

Travel + Leisure sees Q2 adjusted EBITDA of $260 mln to $270 mln

Company reaffirms 2026 adjusted EBITDA guidance of $1.03 bln to $1.055 bln

Travel + Leisure expects 2026 gross VOI sales of $2.5 bln to $2.6 bln

Result Drivers

VACATION OWNERSHIP GROWTH - Higher tour volumes and increased volume per guest drove 6% revenue growth and 7% rise in gross VOI sales in Vacation Ownership segment

RESORT OPTIMIZATION INITIATIVE - Expense savings from resort optimization contributed to higher Vacation Ownership adjusted EBITDA, though the initiative also led to $19 mln in inventory write-downs and impairments

TRAVEL AND MEMBERSHIP WEAKNESS - Revenue in Travel and Membership segment fell 8% due to a decrease in transaction revenue from lower revenue per transaction and a higher mix of lower-margin travel club transactions

Company press release: ID:nBw7gHYg6a

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Slight Beat*
$961 mln
$957.06 mln (11 Analysts)
Q1 Adjusted EPS
Beat
$1.45
$1.30 (12 Analysts)
Q1 EPS
$1.22
Q1 Net Income
$79 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 2 "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 $86.50, about 13.6% above its April 21 closing price of $76.15

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)