Earnings Preview: Wyndham Worldwide Corp.

| About: Wyndham Worldwide (WYN)

Wyndham Worldwide Corp. (NYSE:WYN) is expected to report Q3 earnings before market open Thursday, October 30, with a conference call scheduled for 8:30 am ET.


Analysts are looking for a profit of 80c on revenue of $1.27B. The consensus range is 79c to 82c for EPS, and revenue of $1.18B to $1.3B, according to First Call. On October 6, Wyndham reiterated its Q3 EPS guidance of 80c to 82c. The company said restructuring charges during 2H and Q109 will be $22M to $32M. The company believes reducing management layers at its holiday rental and exchange business and restructuring the hotel group will consolidate revenue generation activity and enhance services to guests.

Analyst Views

J.P. Morgan analyst Joseph Gregg says that with Wyndham's outlook reiteration it is "somewhat reassuring the leisure trends did not fall off a cliff in September," though analysts and investors will look closely for clues about the remainder of the year and 2009. Friedman Billings analyst C. Patrick Scholes does not believe the restructuring is a positive factor in the near-term, especially during a period of "decelerating leisure trends" as well as a "nervous market".