Quarterly report [Sections 13 or 15(d)]

Segment Information

v3.26.1
Segment Information
 3 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Segment Information
14. SEGMENT INFORMATION
Wyndham Hotels’ primary segment is Hotel Franchising which principally consists of licensing the Company’s lodging brands and providing related services to third-party hotel owners and others. This reportable segment represents the Company’s operating segment for which separate financial information is available and is utilized on a regular basis by its chief operating decision maker to assess performance and allocate resources. The Company’s chief operating decision maker (“CODM”) is the chief executive officer. In identifying its reportable segment, the Company also considers the nature of services provided by its operating segment. The Company’s primary measure of segment profit or loss is net income. The CODM evaluates the operating results of the Company on a consolidated basis based upon net revenues and net income, which is the measure of profit or loss that is most consistent with GAAP measurement principles and is used by the CODM internally to assess operating performance. The CODM also uses adjusted EBITDA to evaluate the operating results of its Hotel Franchising reportable segment.
Provided below is the Company’s segment profitability measure and significant segment expenses.
Three Months Ended March 31,
2026 2025
Net revenues
 $ 327  $ 316 
Less expenses (a)
Compensation
 (64) (67)
Selling and advertising
 (15) (20)
Outsourced services and information technology (b)
(32) (32)
Professional fees
 (22) (22)
Other segment items (c)
(51) (41)
Corporate expenses (d)
(82) (73)
Consolidated net income
 $ 61  $ 61 
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(a)    The significant expense categories and amounts align with the segment-level information that is regularly provided to the Company’s CODM.
(b)    Information technology costs primarily include maintenance costs and software as a service cost.
(c)    Other segment items include depreciation and amortization, stock-based compensation, restructuring and other-related costs, travel and entertainment, insurance and other operating expenses.
(d)    Corporate expenses include interest expense, net, transaction and separation-related expenses, provision for income taxes, compensation costs, and other overhead costs.