Wyndham Worldwide earnings rose 34% as the hotel company reported improved performance at its exchange-and-rentals business.
Wyndham Worldwide rose the most in two months in New York trading after the franchiser of Days Inn hotels and Super 8 motels reported higher second- quarter earnings and raised its 2010 forecast.
Full-year earnings per share excluding items will be $1.78 to $1.88, the Parsippany, New Jersey-based company said. The lodging industry is beginning to recover after the U.S. recession led consumers and business travellers to curtail spending in 2009.
Higher earnings at the company’s vacation home business, as well as exchange-rate gains and lower taxes, helped lift Wyndham’s second-quarter profit, Chairman and Chief Executive Officer Stephen Holmes said.
Second-quarter revenue at Wyndham increased 5% to $963 million. Full-year revenue will total $3.7 billion to $4 billion, up from a previous forecast of $3.6 billion to $3.9 billion, Wyndham said.
