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Jun 30, 2023

Travel + Leisure Q2 2023 Earnings Report

Travel + Leisure's second quarter performance in 2023 met expectations, with sales volume per guest at the high end of guidance, and a return of $135 million to shareholders.

Key Takeaways

Travel + Leisure Co. reported second quarter 2023 financial results with a net income of $94 million, $1.18 diluted earnings per share, and net revenue of $949 million. The company reaffirmed its full-year adjusted EBITDA guidance of $925 million to $945 million and expects a third quarter adjusted EBITDA from $245 million to $260 million. $135 million was returned to shareholders, and the total share count was reduced by 7 percent since the beginning of 2023.

Net income was $94 million, with diluted earnings per share at $1.18 on net revenue of $949 million.

Adjusted EBITDA reached $236 million, and adjusted diluted earnings per share was $1.33.

The company reaffirmed full-year adjusted EBITDA guidance of $925 million to $945 million and anticipates third-quarter adjusted EBITDA between $245 million and $260 million.

The company repurchased $202 million of common stock in the first half of 2023, including $100 million in the second quarter.

Total Revenue
$949M
Previous year: $922M
+2.9%
EPS
$1.33
Previous year: $1.27
+4.7%
Gross VOI sales
$557M
Previous year: $527M
+5.7%
Tours
170K
Previous year: 148K
+14.9%
Gross Profit
$462M
Previous year: $455M
+1.5%
Cash and Equivalents
$214M
Previous year: $241M
-11.2%
Free Cash Flow
$87M
Previous year: $75M
+16.0%
Total Assets
$6.6B
Previous year: $6.48B
+1.9%

Travel + Leisure

Travel + Leisure

Travel + Leisure Revenue by Segment

Forward Guidance

The Company is providing guidance regarding expectations for the 2023 full year: •Adjusted EBITDA of $925 million to $945 million •Gross VOI sales of $2.1 billion to $2.2 billion •VPG of approximately $3,050 to $3,150 The Company is providing guidance regarding expectations for the third quarter 2023: •Adjusted EBITDA of $245 million to $260 million •Gross VOI sales of $580 million to $600 million •VPG of approximately $3,000 to $3,100 •Travel and Membership Adjusted EBITDA of $60 million to $65 million •Adjusted EPS of approximately $1.43 to $1.55 assuming no additional share repurchases

Revenue & Expenses

Visualization of income flow from segment revenue to net income