Travel + Leisure beats Q1 estimates on earnings and revenue

Travel + Leisure Co. (NYSE:TNL) reported first quarter results that exceeded analyst expectations on Wednesday, with adjusted earnings per share of $1.45 beating the consensus estimate of $1.30 by $0.15. Revenue reached $961 million, surpassing the $954.81 million analyst estimate and representing a 3% increase from the prior year period.

Following the results, shares of the company were essentially flat, edging up 0.01% ib after-hours trading.

The company’s Vacation Ownership segment drove the strong performance, with gross vacation ownership interest sales rising 7% YoY to $549 million.

Tours increased 5% while volume per guest climbed 3% to $3,321.

Adjusted EBITDA for the quarter totaled $225 million, up 11% YoY, reflecting revenue growth and expense savings from the company’s resort optimization initiative.

“We’re off to a strong start to 2026, with positive momentum in our Vacation Ownership business and above plan first quarter Adjusted EBITDA,” said President and CEO Michael D. Brown. “We achieved healthy Gross VOI sales and tour growth, while executing our resort optimization initiative.”

For the second quarter, Travel + Leisure guided adjusted EBITDA to a range of $260 million to $270 million, with a midpoint of $265 million.

The company reaffirmed its full-year 2026 adjusted EBITDA guidance of $1,030 million to $1,055 million, representing a midpoint of $1,042.5 million.

The Travel and Membership segment saw revenue decline 8% to $165 million, driven by a 10% decrease in revenue per transaction despite flat transaction volume. Adjusted EBITDA for this segment fell 13% to $59 million.

During the quarter, Travel + Leisure returned $128 million to shareholders through $41 million in dividends and $87 million in share repurchases.

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