Shares of Wyndham Worldwide Corp. rose Thursday after its first-quarter adjusted earnings beat Wall Street expectations and it raised its outlook for the year.
The hotel and resort chain behind the Wyndham, Ramada, Howard Johnson and Days Inn brands said it benefited as more people booked summer vacations. Its profit was also higher this quarter because last year it booked a large charge for repaying debt early.
It said its net income rose to $90 million, or 69 cents per share, in the three months that ended on March 31. That compares with $27 million, or 19 cents per share, in the same quarter a year ago.
Adjusted to exclude one time items, it earned 78 cents per share from 71 cents per share a year ago. Analysts expected earnings of 75 cents per share, according to FactSet.
Revenue rose 5 percent to $1.19 billion from $1.13 billion. Analysts expected revenue of $1.2 billion.
Wyndham left its sales guidance unchanged but raised its per-share earnings forecast for the year to $4.23 to $4.33 from $4.18 to $4.28. Analysts expect $4.30 per share.
The Parsippany, N.J., company runs about 7,500 properties with about 646,900 hotel rooms around the world.
Its shares rose $1.48, or 2 percent, to $74.62 in afternoon trading.
Copyright (2014) Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.