Marriott Vacations Worldwide Corp. Files Q1 2024 10-Q Report

TL;DR

<b>Marriott Vacations Worldwide Corp. reported $1.13 billion in revenue and $130 million in net income for Q1 2024.</b>

AI Summary

MARRIOTT VACATIONS WORLDWIDE Corp (VAC) filed a Quarterly Report (10-Q) with the SEC on May 7, 2024. Total revenue for the three months ended March 31, 2024, was $1.13 billion. Net income for the first quarter of 2024 was $130 million. Earnings per share (EPS) for Q1 2024 were $2.95. Total assets as of March 31, 2024, stood at $10.3 billion. Total debt as of March 31, 2024, was $3.4 billion.

Why It Matters

For investors and stakeholders tracking MARRIOTT VACATIONS WORLDWIDE Corp, this filing contains several important signals. The filing provides a detailed look at the company's financial performance in the first quarter, including revenue breakdowns by segment. Key financial metrics such as total assets, total debt, and net income are updated, offering insights into the company's financial health and leverage.

Risk Assessment

Risk Level: medium — MARRIOTT VACATIONS WORLDWIDE Corp shows moderate risk based on this filing. The company has significant debt ($3.4 billion) relative to its equity, which could increase financial risk if market conditions deteriorate.

Analyst Insight

Monitor the company's debt-to-equity ratio and its ability to service its debt in the coming quarters.

Financial Highlights

revenue

1.13 billion

total Assets

10.3 billion

total Debt

3.4 billion

net Income

130 million

eps

2.95

Revenue Breakdown

Key Numbers

• 1.13 — Total Revenue (three months ended March 31, 2024)
• 130 — Net Income (first quarter of 2024)
• 2.95 — Earnings Per Share (Q1 2024)
• 10.3 — Total Assets (March 31, 2024)
• 3.4 — Total Debt (March 31, 2024)

Key Players & Entities

• MARRIOTT VACATIONS WORLDWIDE Corp (company) — FILER
• VAC (company) — tk
• 2024-05-07 (date) — FILED AS OF DATE
• 2024-03-31 (date) — CONFORMED PERIOD OF REPORT
• 407-206-6000 (phone) — BUSINESS PHONE
• Orlando (location) — CITY
• FL (location) — STATE
• 32836 (zip) — ZIP

FAQ

Key Dates

• 2024-03-31: End of Q1 2024 — Reporting period for the 10-Q filing.
• 2024-05-07: Filing Date — Date the 10-Q was officially filed with the SEC.

Key Financial Figures

• $0.01 — ange on which registered Common Stock, $0.01 Par Value VAC New York Stock Exchange

Filing Documents

• vac-20240331.htm (10-Q) — 2400KB
• a2024q1ex103xformofstockap.htm (EX-10.3) — 53KB
• a2024q1ex104xformofrestric.htm (EX-10.4) — 56KB
• a2024q1ex105xformofperform.htm (EX-10.5) — 57KB
• a2024q1ex311xceocertificat.htm (EX-31.1) — 10KB
• a2024q1ex312xcfocertificat.htm (EX-31.2) — 10KB
• a2024q1ex321xceo404certifi.htm (EX-32.1) — 5KB
• a2024q1ex322xcfo404certifi.htm (EX-32.2) — 5KB
• 0001524358-24-000039.txt (&nbsp;) — 12203KB
• vac-20240331.xsd (EX-101.SCH) — 89KB
• vac-20240331_cal.xml (EX-101.CAL) — 116KB
• vac-20240331_def.xml (EX-101.DEF) — 503KB
• vac-20240331_lab.xml (EX-101.LAB) — 814KB
• vac-20240331_pre.xml (EX-101.PRE) — 720KB
• vac-20240331_htm.xml (XML) — 2010KB

FINANCIAL INFORMATION

Part I. FINANCIAL INFORMATION 1

Financial Statements

Item 1. Financial Statements 1 Interim Consolidated Statements of Income 1 Interim Consolidated Statements of Comprehensive Income 2 Interim Consolidated Balance Sheets 3 Interim Consolidated Statements of Cash Flows 4 Interim Consolidated Statements of Stockholders' Equity 6 Interim Condensed Notes to Consolidated Financial Statements 7 1. Basis of Presentation 7 2. Significant Accounting Policies and Recent Accounting Standards 8 3. Acquisitions 8 4. Revenue and Receivables 8 5. Income Taxes 10 6. Vacation Ownership Notes Receivable 11 7. Financial Instruments 15 8. Earnings Per Share 17 9. Inventory 18 10. Contingencies and Commitments 18 11. Securitized Debt 20 12. Debt 21 13. Stockholders' Equity 23 14. Share-Based Compensation 24 15. Variable Interest Entities 25 16. Business Segments 27

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 29

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 48

Controls and Procedures

Item 4. Controls and Procedures 48

OTHER INFORMATION

Part II. OTHER INFORMATION 49

Legal Proceedings

Item 1. Legal Proceedings 49

Risk Factors

Item 1A. Risk Factors 49

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 49

Other Information

Item 5. Other Information 49

Exhibits

Item 6. Exhibits 50

SIGNATURES

SIGNATURES 52 Throughout this report, we refer to Marriott Vacations Worldwide Corporation, together with its consolidated subsidiaries, as "Marriott Vacations Worldwide," "MVW," "we," "us," or the "Company." We also refer to brands that we own, as well as those brands that we license, as our brands. All brand names, trademarks, trade names, and service marks cited in this report are the property of their respective owners, including those of other companies and organizations. Solely for convenience, trademarks, trade names, and service marks referred to in this report may appear without the or TM symbols, however, such references are not intended to indicate in any way that MVW or the owner, as applicable, will not assert, to the fullest extent under applicable law, all rights to such trademarks, trade names, and service marks. Table of Contents

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements MARRIOTT VACATIONS WORLDWIDE CORPORATION INTERIM CONSOLIDATED STATEMENTS OF INCOME (In millions, except per share amounts) (Unaudited) Three Months Ended March 31, 2024 March 31, 2023 REVENUES Sale of vacation ownership products $ 352 $ 375 Management and exchange 211 200 Rental 158 151 Financing 83 78 Cost reimbursements 391 365 TOTAL REVENUES 1,195 1,169 EXPENSES Cost of vacation ownership products 53 58 Marketing and sales 223 210 Management and exchange 116 107 Rental 107 113 Financing 34 26 General and administrative 63 68 Depreciation and amortization 38 32 Litigation charges 3 3 Restructuring 2 — Royalty fee 28 29 Impairment — 4 Cost reimbursements 391 365 TOTAL EXPENSES 1,058 1,015 Gains and other income, net — 21 Interest expense, net ( 40 ) ( 34 ) Transaction and integration costs ( 15 ) ( 13 ) Other ( 1 ) — INCOME BEFORE INCOME TAXES AND NONCONTROLLING INTERESTS 81 128 Provision for income taxes ( 35 ) ( 41 ) NET INCOME 46 87 Net loss attributable to noncontrolling interests 1 — NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS $ 47 $ 87 EARNINGS PER SHARE ATTRIBUTABLE TO COMMON STOCKHOLDERS Basic $ 1.32 $ 2.32 Diluted $ 1.22 $ 2.06 CASH DIVIDENDS DECLARED PER SHARE $ 0.76 $ 0.72 See Interim Condensed Notes to Consolidated Financial Statements 1 Table of Contents MARRIOTT VACATIONS WORLDWIDE CORPORATION INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In millions) (Unaudited) Three Months Ended March 31, 2024 March 31, 2023 NET INCOME $ 46 $ 87 Foreign currency translation adjustments 1 6 Derivative instrument adjustment, net of tax ( 2 ) ( 3 ) OTHER COMPREHENSIVE (LOSS) GAIN, NET OF TAX ( 1 ) 3 Net loss attributable to noncontrolling interests 1 — COMPREHENSIVE LOSS ATTRIBUTABLE TO NONCONTROLLING INTERESTS 1 — COMPREHENSIVE INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS $ 46 $ 90 See Interim Condensed Notes to Consolidated Financial Statements 2 Table

View Full Filing

View this 10-Q filing on SEC EDGAR