Latest news with #JohnGeller
Business Wire
19-05-2025
- Business
- Business Wire
Marriott Vacations Worldwide to Participate at the Morgan Stanley Travel & Leisure Conference
ORLANDO, Fla.--(BUSINESS WIRE)--Marriott Vacations Worldwide (NYSE: VAC) announced today that John Geller, President and Chief Executive Officer, and Jason Marino, Executive Vice President and Chief Financial Officer, will participate in a fireside chat at the Morgan Stanley 3rd Annual Travel & Leisure Conference on June 3, 2025, from 12:45 – 1:20 p.m. E.T. A live webcast of the event will be available in the Investor Relations section of the Company's website at An audio replay of the conference call will be available for 30 days on the Company's website. About Marriott Vacations Worldwide Corporation Marriott Vacations Worldwide Corporation is a leading global vacation company that offers vacation ownership, exchange, rental and resort and property management, along with related businesses, products, and services. The Company has approximately 120 vacation ownership resorts and approximately 700,000 owner families in a diverse portfolio that includes some of the most iconic vacation ownership brands. The Company also operates an exchange network and membership programs comprised of more than 3,200 affiliated resorts in over 90 countries and territories, and provides management services to other resorts and lodging properties. As a leader and innovator in the vacation industry, the Company upholds the highest standards of excellence in serving its customers, investors and associates while maintaining exclusive, long-term relationships with Marriott International, Inc. and an affiliate of Hyatt Hotels Corporation for the development, sales and marketing of vacation ownership products and services. For more information, please visit
Skift
09-05-2025
- Business
- Skift
More First-Time Buyers – and 3 Other Takeaways From the Largest Timeshare Companies
Timeshares are holding up, but only with more help from first-time buyers and loyalty perks. The three largest timeshare companies, Hilton Grand Vacations (HGV), Travel and Leisure, and Marriott Vacations Worldwide, have reported first-quarter earnings. Together, they brought in nearly $2.85 billion in revenue. Here are four things we learned from their results: 1. More Spend at Hilton and T+L, More Tours at Marriott Hilton Grand Vacations and Travel and Leisure said average spending per guest rose in the first quarter, even as fewer people took sales tours. For Hilton, that measure - called volume per guest – jumped 15% to more than $4,100, while tour volume fell 4%. Travel and Leisure's volume per guest rose 6% to $3,212, with tours down 1%. However, Travel and Leisure CFO Mike Hug said the company saw signs of recovery later in the quarter. "We saw year-over-year tour growth in March, and we expect that will continue into the second quarter," said Hug. Marriott Vacations took the opposite path. It increased tours by 1% to nearly 98,000, while volume per guest fell 4%, to $3,979. "Half of the decline [was] due to a higher mix of first-time buyer sales, while owner sales declined year-over-year," said CFO Jason Marino. 2. First-Time Buyers Are Filling the Gap As repeat timeshare owner activity softens, first-time buyers make up more of the sales base. Marriott said first-time buyer sales grew 6%. CEO John Geller said that shift "is good for the long-term health of the system, though it negatively impacted our reported [volume per guest] this quarter." Hilton said 25% of its sales came from new buyers. That was helped by a new resort in Hawaii, opening in 2026, and the rollout of its Max membership program to owners from Bluegreen Vacations, which Hilton acquired in January 2024. "Our Max members have our highest satisfaction scores across every ownership tenure," said CEO Mark Wang. "We're now over 215,000 Max members with Bluegreen contributing nearly 13,000 members." Travel and Leisure, which was acquired by Wyndham Destinations in 2021, said 7% of new owner tours came through its Wyndham partnership. CEO Michael Brown said 65% of new buyers were Gen X, Millennials, or Gen Z, a sign the product is reaching a younger market. 3. Demand is Holding Steady While Travel and Leisure said owners are waiting longer to commit, with the average booking window falling from 130 to 116 days, Brown said demand hasn't dropped. "We saw an acceleration of resort bookings as the quarter progressed," Brown said. Hilton and Marriott didn't report changes in booking windows, but both also said demand remains stable. Hilton said bookings for the next six months are ahead of last year. "While we're cognizant of the broader environment and news flow, we haven't yet seen any material shifts in our four demand indicators,' Wang said. Marriott said resort occupancy topped 90% in the quarter, and 35% of its 265,000 tour packages had already been activated for this year. "We are seeing owner arrivals improving as we progress through the year," Geller said. 4. Loyalty, Apps, and Brand Extensions Are Doing More Work With in-person tours under pressure, timeshare companies are leaning on digital tools and brand partnerships to keep moving. Travel and Leisure said the Club Wyndham app now accounts for 71% of search-to-book conversions, up 22% compared to the website. "The Club Wyndham app has now been downloaded by nearly 100,000 owners, or approximately 20% of our Club Wyndham owner base," said Brown. "This is up from 40,000 downloads when we last reported." Hilton opened new sales locations at Bass Pro Shops and Great Wolf Lodges and is expanding its Max program. "We believe these initiatives can support our EBITDA [earnings before interest, taxes, depreciation, and amortization] and cash flow goals regardless of the macro environment," said Wang. Marriott will soon let owners use points to book nearly all 9,000 Marriott hotels. "All these initiatives are helping drive higher owner and guest satisfaction while lowering our costs," said Geller.
Business Wire
07-05-2025
- Business
- Business Wire
Marriott Vacations Worldwide Reports First Quarter 2025 Financial Results
ORLANDO, Fla.--(BUSINESS WIRE)--Marriott Vacations Worldwide Corporation (NYSE: VAC) ('MVW,' the 'Company,' 'we' or 'our') reported financial results for the first quarter of 2025. First Quarter 2025 Highlights Revenues excluding cost reimbursements increased 3%. Net income attributable to common stockholders was $56 million and diluted earnings per share was $1.46. Adjusted net income attributable to common stockholders was $65 million and adjusted diluted earnings per share was $1.66. Adjusted EBITDA was $192 million. Consolidated Vacation Ownership contract sales was $420 million in the quarter. The Company returned $91 million of cash to stockholders during the quarter, repurchasing $36 million of common stock and paying dividends totaling $55 million. The Company reiterates its full-year Adjusted EBITDA outlook. 'We had a strong first quarter growing first time buyer sales and Adjusted EBITDA, illustrating the power of our leisure-focused business model,' said John Geller, president and chief executive officer. 'We are reiterating our full-year Adjusted EBITDA guidance in light of our strong profitability performance and progress on our transformation initiatives.' In the tables below '*' denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. Vacation Ownership Consolidated contract sales declined year-over-year due to lower VPG, with about half of the decline related to a higher mix of first time buyers. This was partially offset by higher year-over-year tours. Segment Adjusted EBITDA increased compared to the prior year driven by higher development, resort management and finance profit, partially offset by higher rental expense. Sales reserve was 12% of consolidated contract sales, net of resales, in line with the Company's expectations, while delinquencies declined 60 basis points year over year. Exchange & Third-Party Management Revenues excluding cost reimbursements and Segment Adjusted EBITDA decreased year-over-year primarily due to lower revenue at Interval International. Corporate and Other General and administrative costs decreased 3% in the first quarter compared to the prior year. Balance Sheet and Liquidity The Company ended the quarter with $865 million in liquidity, including $196 million of cash and cash equivalents and nearly $600 million of available capacity under its revolving corporate credit facility. The Company also had $1 billion of total inventory at the end of the quarter, including $266 million classified as a component of Property and equipment. The Company had $3 billion of corporate debt and $2 billion of non-recourse debt related to its securitized vacation ownership notes receivable at the end of the first quarter. During the quarter, the Company amended and extended its credit agreement to 2030 to refinance its senior secured revolving credit facility at improved terms and added a $450 million senior secured delayed-draw term loan facility to provide flexibility to refinance its convertible notes maturing January 2026. On May 6, 2025, the Company completed its first securitization of 2025, issuing $450 million of vacation ownership notes with a gross advance rate of 98% and a blended interest rate of 5.16%. Full Year 2025 Outlook The Company is updating its full year 2025 guidance as reflected in the chart below. The guidance provided above excludes impacts from asset sales, foreign currency changes, restructuring costs, litigation charges, strategic modernization initiative costs, transaction and integration costs, and impairments, each of which the Company cannot forecast with sufficient accuracy to factor them into the guidance provided above and without unreasonable efforts, and which may be significant. As a result, the full year 2025 outlook is presented only on a non-GAAP basis and is not reconciled to the most comparable GAAP measures. Where one or more of the currently unavailable items is applicable, some items could be material, individually or in the aggregate, to GAAP reported results. The Company's 2025 guidance is based on the following supplemental estimates: Non-GAAP Financial Information Non-GAAP financial measures are reconciled and adjustments are shown and described in further detail in the Financial Schedules that follow. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. In addition to the foregoing non-GAAP financial measures, we present certain key metrics as performance measures which are further described in our most recent Annual Report on Form 10-K, and which may be updated in our periodic filings with the U.S. Securities and Exchange Commission. First Quarter 2025 Financial Results Conference Call The Company will hold a conference call on May 8, 2025 at 8:30 a.m. ET to discuss these financial results and provide an update on business conditions. Participants may access the call by dialing (877) 407-8289 or (201) 689-8341 for international callers. A live webcast of the call will also be available in the Investor Relations section of the Company's website at An audio replay of the conference call will be available for 30 days on the Company's website. About Marriott Vacations Worldwide Corporation Marriott Vacations Worldwide Corporation is a leading global vacation company that offers vacation ownership, exchange, rental and resort and property management, along with related businesses, products, and services. The Company has approximately 120 vacation ownership resorts and approximately 700,000 owner families in a diverse portfolio that includes some of the most iconic vacation ownership brands. The Company also operates an exchange network and membership programs comprised of more than 3,200 affiliated resorts in over 90 countries and territories, and provides management services to other resorts and lodging properties. As a leader and innovator in the vacation industry, the Company upholds the highest standards of excellence in serving its customers, investors and associates while maintaining exclusive, long-term relationships with Marriott International, Inc. and an affiliate of Hyatt Hotels Corporation for the development, sales and marketing of vacation ownership products and services. For more information, please visit The Company routinely posts important information, including news releases, announcements and other statements about its business and results of operations, that may be deemed material to investors on the Investor Relations section of the Company's website, The Company uses its website as a means of disclosing material, nonpublic information and for complying with the Company's disclosure obligations under Regulation FD. Investors should monitor the Investor Relations section of the Company's website in addition to following the Company's press releases, filings with the SEC, public conference calls and webcasts. Note on forward-looking statements This press release and accompanying schedules contain 'forward-looking statements' within the meaning of federal securities laws, including statements about opportunities for accelerated growth, enhanced operational efficiencies and cost savings, expected annualized benefits of the Company's initiatives that the Company expects to realize by the end of 2026, full year 2025 outlook for contract sales, results of operations and cash flows and the Company's beliefs regarding the power of its business model. Forward-looking statements include all statements that are not historical facts and can be identified by the use of forward-looking terminology such as the words 'believe,' 'expect,' 'plan,' 'intend,' 'anticipate,' 'estimate,' 'predict,' 'potential,' 'continue,' 'may,' 'might,' 'should,' 'could' or the negative of these terms or similar expressions. The Company cautions you that these statements are not guarantees of future performance and are subject to numerous and evolving risks and uncertainties that we may not be able to predict or assess, such as: uncertainty in the current global environment created by rapid governmental policy and regulatory changes, a future health crisis and responses to a health crisis, including possible quarantines or other government imposed travel or health-related restrictions and the effects of a health crisis, including the short and longer-term impact on consumer confidence and demand for travel and the pace of recovery following a health crisis; variations in demand for vacation ownership and exchange products and services; worker absenteeism; price inflation; difficulties associated with implementing new or maintaining existing technology; the ability to use artificial intelligence ('AI') technologies successfully and potential business, compliance or reputational risks associated with the use of AI technologies; changes in privacy laws; the impact of a future banking crisis; impacts from natural or man-made disasters and wildfires, including the Maui and Los Angeles area wildfires; delinquency and default rates; global supply chain disruptions; volatility in the international and national economy and credit markets, including as a result of the ongoing conflicts between Russia and Ukraine, Israel and Gaza, and elsewhere in the world and related sanctions and other measures; our ability to attract and retain our global workforce; competitive conditions; the availability of capital to finance growth; the impact of changes in interest rates; the effects of steps we have taken and may continue to take to reduce operating costs and accelerate growth and profitability; political or social strife; and other matters referred to under the heading 'Risk Factors' in our most recent Annual Report on Form 10-K, and which may be updated in our future periodic filings with the U.S. Securities and Exchange Commission. All forward-looking statements in this press release are made as of the date of this press release and the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by law. There may be other risks and uncertainties that we cannot predict at this time or that we currently do not expect will have a material adverse effect on our financial position, results of operations or cash flows. Any such risks could cause our results to differ materially from those we express in forward-looking statements. A-1 MARRIOTT VACATIONS WORLDWIDE CORPORATION SUMMARY FINANCIAL INFORMATION (In millions, except per share amounts) (Unaudited) Three Months Ended Change % March 31, 2025 March 31, 2024 GAAP Measures Revenues $ 1,200 $ 1,195 —% Revenues excluding cost reimbursements $ 827 $ 804 3% Income before income taxes and noncontrolling interests $ 102 $ 81 25% Net income attributable to common stockholders $ 56 $ 47 20% Diluted shares 42.0 42.2 —% Earnings per share - diluted $ 1.46 $ 1.22 20% Non-GAAP Measures* Adjusted EBITDA $ 192 $ 187 3% Adjusted pretax income $ 106 $ 102 4% Adjusted net income attributable to common stockholders $ 65 $ 71 (9%) Adjusted earnings per share - diluted $ 1.66 $ 1.80 (8%) * Denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. Expand A-2 MARRIOTT VACATIONS WORLDWIDE CORPORATION (In millions, except per share amounts) (Unaudited) Three Months Ended March 31, 2025 March 31, 2024 REVENUES Sale of vacation ownership products $ 355 $ 352 Management and exchange 215 211 Rental 169 158 Financing 88 83 Cost reimbursements 373 391 TOTAL REVENUES 1,200 1,195 EXPENSES Cost of vacation ownership products 42 53 Marketing and sales 234 223 Management and exchange 117 116 Rental 123 107 Financing 36 34 General and administrative 61 63 Depreciation and amortization 38 38 Litigation charges 7 3 Restructuring 12 2 Royalty fee 28 28 Cost reimbursements 373 391 TOTAL EXPENSES 1,071 1,058 Gains and other income, net 13 — Interest expense, net (40 ) (40 ) Transaction and integration costs — (15 ) Other — (1 ) INCOME BEFORE INCOME TAXES AND NONCONTROLLING INTERESTS 102 81 Provision for income taxes (45 ) (35 ) NET INCOME 57 46 Net (income) loss attributable to noncontrolling interests (1 ) 1 NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS $ 56 $ 47 EARNINGS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS Basic shares 35.1 35.5 Basic $ 1.60 $ 1.32 Diluted shares 42.0 42.2 Diluted $ 1.46 $ 1.22 Expand A-3 MARRIOTT VACATIONS WORLDWIDE CORPORATION (In millions, except per share amounts) (Unaudited) Three Months Ended March 31, 2025 March 31, 2024 Net income attributable to common stockholders $ 56 $ 47 Provision for income taxes 45 35 Income before income taxes attributable to common stockholders 101 82 Certain items: Foreign currency translation (3 ) 2 Insurance proceeds (7 ) — Change in indemnification asset — (2 ) Change in estimates relating to pre-acquisition contingencies (2 ) — Other (1 ) — Gains and other income, net (13 ) — Transaction and integration costs — 15 Purchase accounting adjustments — 1 Litigation charges 7 3 Restructuring charges 12 2 Other (1 ) (1 ) Adjusted pretax income* 106 102 Provision for income taxes (41 ) (31 ) Adjusted net income attributable to common stockholders* $ 65 $ 71 Diluted shares 42.0 42.2 Adjusted earnings per share - Diluted* $ 1.66 $ 1.80 * Denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. Expand A-4 MARRIOTT VACATIONS WORLDWIDE CORPORATION ADJUSTED EBITDA (In millions) (Unaudited) Three Months Ended March 31, 2025 March 31, 2024 Net income attributable to common stockholders $ 56 $ 47 Interest expense, net 40 40 Provision for income taxes 45 35 Depreciation and amortization 38 38 Share-based compensation 7 7 Amortization of cloud computing software implementation costs 1 — Certain items: Foreign currency translation (3 ) 2 Insurance proceeds (7 ) — Change in indemnification asset — (2 ) Change in estimates relating to pre-acquisition contingencies (2 ) — Other (1 ) — Gains and other income, net (13 ) — Transaction and integration costs — 15 Purchase accounting adjustments — 1 Litigation charges 7 3 Restructuring charges 12 2 Other (1 ) (1 ) Adjusted EBITDA* $ 192 $ 187 Adjusted EBITDA Margin* 23.2% 23.2% * Denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. Expand A-5 MARRIOTT VACATIONS WORLDWIDE CORPORATION (In millions) (Unaudited) VACATION OWNERSHIP SEGMENT ADJUSTED EBITDA Three Months Ended March 31, 2025 March 31, 2024 Segment financial results attributable to common stockholders $ 198 $ 182 Depreciation and amortization 26 25 Amortization of cloud computing software implementation costs 1 — Share-based compensation 1 2 Certain items: Insurance proceeds (7 ) — Change in estimates relating to pre-acquisition contingencies (2 ) — Gains and other income, net (9 ) — Purchase accounting adjustments — 1 Litigation charges 4 3 Segment Adjusted EBITDA* $ 221 $ 213 Segment Adjusted EBITDA Margin* 29.2% 29.2% Expand EXCHANGE & THIRD-PARTY MANAGEMENT SEGMENT ADJUSTED EBITDA March 31, 2025 March 31, 2024 Segment financial results attributable to common stockholders $ 18 $ 25 Depreciation and amortization 7 7 Share-based compensation 1 — Certain items: Restructuring charges 2 — Segment Adjusted EBITDA* $ 28 $ 32 Segment Adjusted EBITDA Margin* 49.0% 51.3% * Denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. Expand A-6 MARRIOTT VACATIONS WORLDWIDE CORPORATION (In millions) (Unaudited) Three Months Ended March 31, 2025 March 31, 2024 Consolidated contract sales $ 420 $ 428 Less resales contract sales (9 ) (12 ) Consolidated contract sales, net of resales 411 416 Plus: Settlement revenue 9 8 Resales revenue 4 5 Revenue recognition adjustments: Reportability 5 (9 ) Sales reserve (50 ) (46 ) Other (1) (24 ) (22 ) Sale of vacation ownership products 355 352 Less: Cost of vacation ownership products (42 ) (53 ) Marketing and sales (234 ) (223 ) Development Profit $ 79 $ 76 Development Profit Margin 22.2% 21.5% (1) Adjustment for sales incentives that will not be recognized as Sale of vacation ownership products revenue and other adjustments to Sale of vacation ownership products revenue. Expand A-7 MARRIOTT VACATIONS WORLDWIDE CORPORATION SUPPLEMENTAL INFORMATION (In millions and Unaudited) Three Months Ended March 31, 2025 March 31, 2024 Change DEVELOPMENT PROFIT Sale of vacation ownership products revenue $ 355 $ 352 1% Cost of vacation ownership products expense (42 ) (53 ) 21% Marketing and sales expense (234 ) (223 ) (5%) Development Profit 79 76 4% Development Profit Margin 22.2% 21.5% 70 bps MANAGEMENT AND EXCHANGE PROFIT Vacation Ownership Segment 155 148 4% Exchange & Third-Party Management Segment 46 52 (10%) Corporate and Other (1) 14 11 24% Management and Exchange Revenue 215 211 2% Vacation Ownership Segment (72 ) (71 ) (1%) Exchange & Third-Party Management Segment (29 ) (31 ) 5% Corporate and Other (1) (16 ) (14 ) (12%) Management and Exchange Expense (117 ) (116 ) (1%) Management and Exchange Profit 98 95 4% Management and Exchange Profit Margin 45.7% 45.0% 70 bps RENTAL PROFIT Vacation Ownership Segment 159 147 8% Exchange & Third-Party Management Segment 10 11 (6%) Corporate and Other (1) — — NM Rental Revenue 169 158 7% Vacation Ownership Segment (126 ) (110 ) (15%) Exchange & Third-Party Management Segment — — NM Corporate and Other (1) 3 3 12% Rental Expense (123 ) (107 ) (15%) Rental Profit 46 51 (10%) Rental Profit Margin 27.0% 32.2% (520 bps) FINANCING PROFIT Financing Revenue 88 83 6% Financing Expense (36 ) (34 ) (6%) Financing Profit 52 49 6% Financing Profit Margin 59.3% 59.5% (20 bps) OTHER General and administrative (61 ) (63 ) 3% Royalty fee (28 ) (28 ) —% Other (2) 6 7 (8%) ADJUSTED EBITDA* $ 192 $ 187 3% Adjusted EBITDA Margin 23.2% 23.2% — bps * Denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. (1) Amounts included in Corporate and other represent the impact of the consolidation of certain owners' associations under the Financial Accounting Standards Board Accounting Standard Codification Topic 810, ' Consolidation,' and represents the portion attributable to individual or third-party vacation ownership interest owners. (2) Includes share-based compensation, amortization of cloud computing software implementation costs, net income or loss attributable to noncontrolling interests, and other. NM = Not meaningful Expand A-8 (In millions and Unaudited) Three Months Ended March 31, 2025 March 31, 2024 Change ANCILLARY REVENUE Vacation Ownership Segment $ 65 $ 65 1% Exchange & Third-Party Management Segment 1 1 NM Corporate and Other (1) — — NM Ancillary Revenue 66 66 —% MANAGEMENT FEE REVENUE Vacation Ownership Segment 55 52 7% Exchange & Third-Party Management Segment 3 5 (31%) Corporate and Other (1) (1 ) (1 ) NM Management Fee Revenue 57 56 4% EXCHANGE AND OTHER SERVICES REVENUE Vacation Ownership Segment 35 31 9% Exchange & Third-Party Management Segment 42 46 (7%) Corporate and Other (1) 15 12 20% Exchange and Other Services Revenue 92 89 2% TOTAL MANAGEMENT AND EXCHANGE REVENUE $ 215 $ 211 2% (1) Amounts included in Corporate and other represent the impact of the consolidation of certain owners' associations under the Financial Accounting Standards Board Accounting Standard Codification Topic 810, ' Consolidation,' and represents the portion attributable to individual or third-party vacation ownership interest owners. Expand A-9 MARRIOTT VACATIONS WORLDWIDE CORPORATION (In millions) (Unaudited) INTERIM BALANCE SHEET ITEMS December 31, 2024 Cash and cash equivalents $ 196 $ 197 Vacation ownership notes receivable, net $ 2,446 $ 2,440 Inventory $ 737 $ 735 Property and equipment, net (1) $ 1,166 $ 1,170 Goodwill $ 3,117 $ 3,117 Intangibles, net $ 775 $ 790 Debt, net $ 3,151 $ 3,089 Stockholders' equity $ 2,435 $ 2,442 (1) Includes $266 million and $271 million at March 31, 2025 and December 31, 2024, respectively, of completed vacation ownership units which are classified as a component of Property and equipment, net until the time at which they are available and legally registered for sale as vacation ownership projects. Expand A-10 MARRIOTT VACATIONS WORLDWIDE CORPORATION 2025 ADJUSTED FREE CASH FLOW OUTLOOK (In millions) Fiscal Year 2025 Low High Adjusted EBITDA* $ 750 $ 780 Cash interest (150 ) (145 ) Cash taxes (150 ) (155 ) Corporate capital expenditures (60 ) (60 ) Inventory (85 ) (70 ) Financing activity and other (35 ) (20 ) Adjusted free cash flow* $ 270 $ 330 Expand The guidance provided above excludes impacts from asset sales, foreign currency changes, restructuring costs, litigation charges, strategic modernization initiative costs, transaction and integration costs, and impairments, each of which the Company cannot forecast with sufficient accuracy to factor them into the guidance provided above and without unreasonable efforts, and which may be significant. As a result, the full year 2025 adjusted free cash flow is presented only on a non-GAAP basis and is not reconciled to the most comparable GAAP measures. Where one or more of the currently unavailable items is applicable, some items could be material, individually or in the aggregate, to GAAP reported results. * Denotes non-GAAP financial measures. Please see 'Non-GAAP Financial Measures' for additional information about our reasons for providing these alternative financial measures and limitations on their use. Expand A-12 MARRIOTT VACATIONS WORLDWIDE CORPORATION NON-GAAP FINANCIAL MEASURES In our press release and schedules, and on the related conference call, we report certain financial measures that are not prescribed by GAAP. We discuss our reasons for reporting these non-GAAP financial measures below, and the financial schedules included herein reconcile the most directly comparable GAAP financial measure to each non-GAAP financial measure that we report (identified by an asterisk ('*') on the preceding pages). Although we evaluate and present these non-GAAP financial measures for the reasons described below, please be aware that these non-GAAP financial measures have limitations and should not be considered in isolation or as a substitute for revenues, net income attributable to common stockholders, earnings per share or any other comparable operating measure prescribed by GAAP. In addition, other companies in our industry may calculate these non-GAAP financial measures differently than we do or may not calculate them at all, limiting their usefulness as comparative measures. Certain Items Excluded from Non-GAAP Financial Measures We evaluate non-GAAP financial measures, including those identified by an asterisk ('*') on the preceding pages, that exclude certain items as further described in the financial schedules included herein, and believe these measures provide useful information to investors because these non-GAAP financial measures allow for period-over-period comparisons of our on-going core operations before the impact of these items. These non-GAAP financial measures also facilitate the comparison of results from our on-going core operations before these items with results from other companies. Adjusted Development Profit and Adjusted Development Profit Margin We evaluate Adjusted development profit (Adjusted sale of vacation ownership products, net of expenses) and Adjusted development profit margin as indicators of operating performance. Adjusted development profit margin is calculated by dividing Adjusted development profit by revenues from the Sale of vacation ownership products. Adjusted development profit and Adjusted development profit margin adjust Sale of vacation ownership products revenues for the impact of revenue reportability, include corresponding adjustments to Cost of vacation ownership products associated with the change in revenues from the Sale of vacation ownership products, and may include adjustments for certain items as necessary. We evaluate Adjusted development profit and Adjusted development profit margin and believe they provide useful information to investors because they allow for period-over-period comparisons of our on-going core operations before the impact of revenue reportability and certain items to our Development profit and Development profit margin. Earnings Before Interest Expense, Taxes, Depreciation and Amortization ('EBITDA') and Adjusted EBITDA EBITDA, a financial measure that is not prescribed by GAAP, is defined as earnings, or net income attributable to common stockholders, before interest expense, net (excluding consumer financing interest expense associated with term securitization transactions), income taxes, depreciation and amortization. Adjusted EBITDA reflects additional adjustments for certain items and excludes share-based compensation expense and amortization of cloud computing software implementation costs. Share-based compensation expense is excluded to address considerable variability among companies in recording compensation expense because companies use share-based payment awards differently, both in the type and quantity of awards granted. Amortization of cloud computing software implementation costs, which are not included in depreciation and amortization expense, are excluded for comparability purposes. For purposes of our EBITDA and Adjusted EBITDA calculations, we do not adjust for consumer financing interest expense associated with term securitization transactions because we consider it to be an operating expense of our business. We consider Adjusted EBITDA to be an indicator of operating performance, which we use to measure our ability to service debt, fund capital expenditures, expand our business, and return cash to stockholders. We also use Adjusted EBITDA, as do analysts, lenders, investors and others, because this measure excludes certain items that can vary widely across different industries or among companies within the same industry. For example, interest expense can be dependent on a company's capital structure, debt levels and credit ratings. Accordingly, the impact of interest expense on earnings can vary significantly among companies. The tax positions of companies can also vary because of their differing abilities to take advantage of tax benefits and because of the tax policies of the jurisdictions in which they operate. As a result, effective tax rates and provisions for income taxes can vary considerably among companies. EBITDA and Adjusted EBITDA also exclude depreciation and amortization because companies utilize productive assets of different ages and use different methods of both acquiring and depreciating productive assets. These differences can result in considerable variability in the relative costs of productive assets and the depreciation and amortization expense among companies. We believe Adjusted EBITDA is useful as an indicator of operating performance because it allows for period-over-period comparisons of our on-going core operations before the impact of the excluded items. Adjusted EBITDA also facilitates comparison by us, analysts, investors, and others, of results from our on-going core operations before the impact of these items with results from other companies. Adjusted EBITDA Margin and Segment Adjusted EBITDA Margin We evaluate Adjusted EBITDA margin and Segment Adjusted EBITDA margin as indicators of operating profitability. Adjusted EBITDA margin represents Adjusted EBITDA divided by the Company's total revenues less cost reimbursement revenues. Segment Adjusted EBITDA margin represents Segment Adjusted EBITDA divided by the applicable segment's total revenues less cost reimbursement revenues. We evaluate Adjusted EBITDA margin and Segment Adjusted EBITDA margin and believe it provides useful information to investors because it allows for period-over-period comparisons of our on-going core operations before the impact of excluded items. Adjusted Pretax Income, Adjusted Net Income Attributable to Common Stockholders, and Adjusted Earnings per Share - Diluted We evaluate Adjusted pretax income, Adjusted net income attributable to common stockholders, and Adjusted earnings per share - diluted as indicators of operating performance. Adjusted pretax income is calculated as Adjusted EBITDA less depreciation and amortization and interest expense, net of interest income. Adjusted net income attributable to common stockholders is calculated as Adjusted pretax income less provision for income tax adjusted for certain items and Adjusted earnings per share - diluted equals adjusted net income attributable to common stockholders divided by diluted shares. We evaluate these measures because we believe they provide useful information to investors because they allow for period-over-period comparisons of our on-going core operations before the impact of certain non-recurring items such as impacts from asset sales, restructuring costs, litigation charges, strategic modernization initiative costs, transaction and integration costs, and impairments, and also facilitate the comparison of results from our on-going core operations before these items with results from other companies. Free Cash Flow and Adjusted Free Cash Flow We evaluate Free Cash Flow and Adjusted Free Cash Flow as liquidity measures that provide useful information to management and investors about the amount of cash provided by operating activities after capital expenditures for property and equipment and the borrowing and repayment activity related to our term securitizations, which cash can be used for, among other purposes, strategic opportunities, including acquisitions and strengthening the balance sheet. Adjusted Free Cash Flow, which reflects additional adjustments to Free Cash Flow for the impact of transaction, integration and restructuring charges, litigation charges, insurance proceeds, impact of borrowings available from the securitization of eligible vacation ownership notes receivable, and changes in restricted cash and other items, allows for period-over-period comparisons of the cash generated by our business before the impact of these items. Analysis of Free Cash Flow and Adjusted Free Cash Flow also facilitates management's comparison of our results with our competitors' results.
Yahoo
07-04-2025
- Business
- Yahoo
Q4 Earnings Highs And Lows: Marriott Vacations (NYSE:VAC) Vs The Rest Of The Travel and Vacation Providers Stocks
Quarterly earnings results are a good time to check in on a company's progress, especially compared to its peers in the same sector. Today we are looking at Marriott Vacations (NYSE:VAC) and the best and worst performers in the travel and vacation providers industry. Airlines, hotels, resorts, and cruise line companies often sell experiences rather than tangible products, and in the last decade-plus, consumers have slowly shifted from buying "things" (wasteful) to buying "experiences" (memorable). In addition, the internet has introduced new ways of approaching leisure and lodging such as booking homes and longer-term accommodations. Traditional airlines, hotel, resorts, and cruise line companies must innovate to stay relevant in a market rife with innovation. The 19 travel and vacation providers stocks we track reported a satisfactory Q4. As a group, revenues beat analysts' consensus estimates by 2.2% while next quarter's revenue guidance was 6.8% above. Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 29.9% since the latest earnings results. Spun off from Marriott International in 1984, Marriott Vacations (NYSE:VAC) is a vacation company providing leisure experiences for travelers around the world. Marriott Vacations reported revenues of $1.33 billion, up 11.1% year on year. This print exceeded analysts' expectations by 6.7%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts' EPS estimates but a miss of analysts' adjusted operating income estimates. 'We had a strong end of the year, reflecting the resilience of our leisure-focused business model and the success of the initiatives we launched last year, with contract sales growing 7% year-over-year in the fourth quarter,' said John Geller, president and chief executive officer. The stock is down 39.8% since reporting and currently trades at $51.51. Is now the time to buy Marriott Vacations? Access our full analysis of the earnings results here, it's free. With attractions ranging from glacier tours in the Canadian Rockies to an oceanfront geothermal lagoon in Iceland, Pursuit Attractions and Hospitality (NYSE:PRSU) operates iconic travel experiences, experiential marketing services, and exhibition management across North America and Europe. Pursuit reported revenues of $45.8 million, down 84.3% year on year, outperforming analysts' expectations by 8.8%. The business had a stunning quarter with an impressive beat of analysts' EPS estimates and full-year EBITDA guidance exceeding analysts' expectations. The stock is down 19.4% since reporting. It currently trades at $29.93. Is now the time to buy Pursuit? Access our full analysis of the earnings results here, it's free. Founded in 1957, Hyatt Hotels (NYSE:H) is a global hospitality company with a portfolio of 20 premier brands and over 950 properties across 65 countries. Hyatt Hotels reported revenues of $1.60 billion, down 3.5% year on year, falling short of analysts' expectations by 3.1%. It was a softer quarter as it posted a significant miss of analysts' adjusted operating income and EPS estimates. Hyatt Hotels delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 35.8% since the results and currently trades at $104.17. Read our full analysis of Hyatt Hotels's results here. Boasting outrageous amenities like a planetarium on board its ships, Carnival (NYSE:CCL) is one of the world's largest leisure travel companies and a prominent player in the cruise industry. Carnival reported revenues of $5.81 billion, up 7.5% year on year. This number topped analysts' expectations by 0.9%. It was a strong quarter as it also produced a solid beat of analysts' EPS estimates and an impressive beat of analysts' adjusted operating income estimates. The stock is down 27.4% since reporting and currently trades at $15.38. Read our full, actionable report on Carnival here, it's free. Originally a division of American Airlines, Sabre (NASDAQ:SABR) is a technology provider for the global travel and tourism industry. Sabre reported revenues of $714.7 million, up 4% year on year. This result met analysts' expectations. Overall, it was a strong quarter as it also logged an impressive beat of analysts' EPS estimates and full-year EBITDA guidance topping analysts' expectations. The stock is down 40% since reporting and currently trades at $2.04. Read our full, actionable report on Sabre here, it's free. As a result of the Fed's rate hikes in 2022 and 2023, inflation has come down from frothy levels post-pandemic. The general rise in the price of goods and services is trending towards the Fed's 2% goal as of late, which is good news. The higher rates that fought inflation also didn't slow economic activity enough to catalyze a recession. So far, soft landing. This, combined with recent rate cuts (half a percent in September 2024 and a quarter percent in November 2024) have led to strong stock market performance in 2024. The icing on the cake for 2024 returns was Donald Trump's victory in the U.S. Presidential Election in early November, sending major indices to all-time highs in the week following the election. Still, debates around the health of the economy and the impact of potential tariffs and corporate tax cuts remain, leaving much uncertainty around 2025. Want to invest in winners with rock-solid fundamentals? Check out our Hidden Gem Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here. Sign in to access your portfolio
Yahoo
29-01-2025
- Business
- Yahoo
Marriott Vacations Worldwide Named Among World's Most Admired Companies
ORLANDO, January 29, 2025--(BUSINESS WIRE)--Marriott Vacations Worldwide Corporation (NYSE: VAC) is proud to announce it has once again been named to Fortune's list of World's Most Admired Companies, ranking among companies with the strongest reputations across industries. To be considered for the list, Fortune surveys executive leaders in each industry to rate peer enterprises on nine criteria from investment value and quality of management and products to corporate responsibility and ability to attract talent. "The hard work and dedication of our global teams along with our commitment to innovation, excellence, and corporate responsibility continues to drive our success and solidify our position as a leader in the hospitality industry," said John Geller, president and CEO. "We look forward to building on this momentum and achieving more this year and beyond." The Company is consistently recognized for distinction in the hospitality industry, recently named as one of Newsweek's Most Responsible Companies, Orlando Business Journal's Best Places to work and Newsweek's Most Loved Workplaces. About Marriott Vacations Worldwide CorporationMarriott Vacations Worldwide Corporation is a leading global vacation company that offers vacation ownership, exchange, rental and resort and property management, along with related businesses, products, and services. The Company has over 120 vacation ownership resorts and approximately 700,000 owner families in a diverse portfolio that includes some of the most iconic vacation ownership brands. The Company also operates an exchange network and membership programs comprised of more than 3,200 affiliated resorts in over 90 countries and territories, and provides management services to other resorts and lodging properties. As a leader and innovator in the vacation industry, the Company upholds the highest standards of excellence in serving its customers, investors and associates while maintaining exclusive, long-term relationships with Marriott International, Inc. and an affiliate of Hyatt Hotels Corporation for the development, sales and marketing of vacation ownership products and services. For more information, please visit View source version on Contacts Cameron KlausGlobal Communications407-513-6606 Sign in to access your portfolio
