Travel+Leisure Co (FRA:WD5A) Operating Income: €505 Mil (TTM As of Jun. 2026)

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FRA:WD5A Travel+Leisure Co FRA:WD5A
83 GF Score
Price €68.00
GF Value €51.61
Valuation Significantly Overvalued
! 9 Warning Signs
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What is Travel+Leisure Co Operating Income?

Travel+Leisure Co FRA:WD5A +1.49% 83 Operating Income is €505 Mil as of Jun. 2026. GuruFocus rates FRA:WD5A with a GF Score™ of 83/100 and a GF Value™ of €51.61 (Significantly Overvalued). The stock has 9 warning signs investors should review.

Travel+Leisure Co's Operating Income for the three months ended in Jun. 2026 was €182 Mil. Its Operating Income for the trailing twelve months (TTM) ended in Jun. 2026 was €505 Mil.

Operating Margin % is calculated as Operating Income divided by its Revenue. Travel+Leisure Co's Operating Income for the three months ended in Jun. 2026 was €182 Mil. Travel+Leisure Co's Revenue for the three months ended in Jun. 2026 was €923 Mil. Therefore, Travel+Leisure Co's Operating Margin % for the quarter that ended in Jun. 2026 was 19.76%.

Good Sign:

Travel+Leisure Co operating margin is expanding. Margin expansion is usually a good sign.

Travel+Leisure Co's 5-Year average Growth Rate for Operating Margin % was 22.90% per year.

Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Travel+Leisure Co's annualized ROC % for the quarter that ended in Jun. 2026 was 10.49%. Travel+Leisure Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 was 96.47%.


Travel+Leisure Co  (FRA:WD5A) Operating Income Explanation

1. Operating Income or EBIT is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Travel+Leisure Co's annualized ROC % for the quarter that ended in Jun. 2026 is calculated as:

ROC % (Q: Jun. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Mar. 2026 ) + Invested Capital (Q: Jun. 2026 ))/ count )
=729.12 * ( 1 - 29.68% )/( (4919.255 + 4859.064)/ 2 )
=512.717184/4889.1595
=10.49 %

where

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=5916.6 - 777.635 - ( 219.71 - max(0, 1191.105 - 4035.225+219.71))
=4919.255

Invested Capital(Q: Jun. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=5985.728 - 881.888 - ( 244.776 - max(0, 1282.904 - 4040.54+244.776))
=4859.064

Note: The Operating Income data used here is four times the quarterly (Jun. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Travel+Leisure Co's annualized ROC (Joel Greenblatt) % for the quarter that ended in Jun. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Jun. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Mar. 2026  Q: Jun. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=743.008/( ( (452.395 + max(367.625, 0)) + (454.832 + max(265.608, 0)) )/ 2 )
=743.008/( ( 820.02 + 720.44 )/ 2 )
=743.008/770.23
=96.47 %

where Working Capital is:

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(131.48 + 1023.295 + 403.955) - (777.635 + 413.47 + 0)
=367.625

Working Capital(Q: Jun. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(131.936 + 1023.372 + 393.204) - (881.888 + 401.016 + 0)
=265.608

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Jun. 2026) EBIT data.

3. Operating Income is also linked to Operating Margin %:

Travel+Leisure Co's Operating Margin % for the quarter that ended in Jun. 2026 is calculated as:

Operating Margin %=Operating Income (Q: Jun. 2026 )/Revenue (Q: Jun. 2026 )
=182.28/922.684
=19.76 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

4. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Operating Income growth rate using Operating Income per share data.


Be Aware

Compared with a company's EBITDA margin, Operating Margin can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).

If a company is facing competition, its Operating Margin may decline. Often the Operating Margin declines well before the company's revenue or even profit decline. Therefore, Operating Margin is a very important indicator of whether the company is facing problems.

For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokia's Operating Margin had already been in decline since 2002, although its earnings per share were still rising. Investors who paid attention to Operating Margin would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).

Therefore, Operating Margin is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.


Travel+Leisure Co Operating Income Related Terms


Travel+Leisure Co Operating Income Historical Data

* Premium members only.

The historical data trend for Travel+Leisure Co's Operating Income can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Travel+Leisure Co Operating Income Chart

Travel+Leisure Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Operating Income
Get a 7-Day Free Trial Premium Member Only Premium Member Only 545.16 640.98 685.92 718.16 497.03

Travel+Leisure Co Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Operating Income Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 179.47 183.18 3.42 135.81 182.28
FRA:WD5A
83GF Score
Travel+Leisure Co FRA:WD5A
Operating Income is just one metric. See GF Score™, valuation, warning signs, and more.
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Travel+Leisure Co Operating Income Calculation

Operating Income, is the profit a company earned through operations. All expenses, including cash expenses such as cost of goods sold (COGS), research & development, wages, and non-cash expenses, such as depreciation, depletion and amortization, have been deducted from the sales.

Operating Income for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €505 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Operating Income →
What does a Operating Income of €505 Mil mean?
Travel+Leisure Co (FRA:WD5A) has a Operating Income of €505 Mil as of Jun. 2026. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Travel+Leisure Co and its competitors.
Is Travel+Leisure Co's Operating Income too high?
Travel+Leisure Co's current Operating Income is €505 Mil. Overall, Travel+Leisure Co has a GF Score™ of 83/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Travel+Leisure Co's Operating Income compare to MMYT and GBTG?
Travel+Leisure Co's Operating Income of €505 Mil can be compared against companies in the Travel & Leisure industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Income for a Travel & Leisure company?
A good Operating Income depends on the Travel & Leisure industry context. However, Operating Income should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Income mean?
A high Operating Income can signal that a stock is expensive relative to its fundamentals. Operating Income equals sales less all operating expenses. It is linked to EBIT. View historical data on Travel+Leisure Co and its competitors. Travel+Leisure Co's current Operating Income is €505 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Travel+Leisure Co stock overvalued right now?
Based on GuruFocus' analysis, Travel+Leisure Co (FRA:WD5A) is currently considered Significantly Overvalued. The stock's GF Value™ is €51.61, compared to a current price of €68.00 — trading 31.8% above its estimated fair value. The current Operating Income is €505 Mil. Travel+Leisure Co's overall GF Score™ is 83/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Income calculated?
Operating Income is calculated from a company's financial statements. For Travel+Leisure Co (FRA:WD5A), the current Operating Income is €505 Mil as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Travel+Leisure Co (FRA:WD5A) Overvalued in 2026?

Based on GuruFocus' analysis, Travel+Leisure Co stock appears to be overvalued. The current stock price of €68.00 is trading 31.8% above its estimated GF Value™ of €51.61. GuruFocus considers Travel+Leisure Co to be Significantly Overvalued.

Key valuation signals for FRA:WD5A:

  • Operating Income: €505 Mil
  • GF Value™: €51.61 vs. price of €68.00 (31.8% above fair value)
  • GF Score™: 83/100 with 9 warning signs

No single metric tells the full story. See the FRA:WD5A stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Travel+Leisure Co Business Description

Other Exchanges TNL:USA
Address 501 West Church Street, Orlando, FL, USA, 32805
Travel+Leisure Co is a membership and leisure travel company. It provides hospitality services and travel products. The company operates in the segments of Vacation Ownership, which is the key revenue-driving segment, develops, markets and sells vacation ownership interests (VOIs) to individual consumers, provides consumer financing in connection with the sale of VOIs, and provides property management services at resorts, and Travel and Membership which operates a variety of travel businesses, including two vacation exchange brands, Vacation Ownership and Travel and Membership The majority of the revenue is earned from the United States.
83GF Score

Get the complete analysis for FRA:WD5A

Operating Income is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€68.00
Price
€51.61
GF Value