Sales and Revenue Performance - For the three months ended March 31, 2025, sales from fee-for-service and just-in-time inventory accounted for 15% and 10% of contract sales, respectively [123]. - The estimated contract sales value related to inventory currently available for sale is $13.2 billion, with capital efficient arrangements representing approximately 28% of that supply [123]. - For the three months ended March 31, 2025, 75% of contract sales were to existing owners, slightly down from 76% in the same period of 2024 [126]. - Real estate sales and financing revenues decreased by 6.1% from $687 million in Q1 2024 to $645 million in Q1 2025 [148]. - Resort operations and club management revenues increased by 8.6% from $360 million in Q1 2024 to $391 million in Q1 2025 [148]. - Total revenues for the company decreased by 0.7% from $1,156 million in Q1 2024 to $1,148 million in Q1 2025 [148]. - Sales of VOIs (Vacation Ownership Interests) decreased by $60 million or 13.7%, from $438 million in 2024 to $378 million in 2025 [161]. - Contract sales increased by $90 million or 14.3%, from $631 million in 2024 to $721 million in 2025, primarily due to a 14.4% increase in VPG (Volume Per Guest) [160]. Financial Metrics and Losses - Net loss attributable to stockholders increased from $4 million in Q1 2024 to $17 million in Q1 2025, a change of $13 million [148]. - Adjusted EBITDA attributable to stockholders decreased by 34.1% from $273 million in Q1 2024 to $180 million in Q1 2025 [148]. - The company reported a net loss of $12 million for Q1 2025 compared to a net loss of $2 million in Q1 2024 [148]. - Total segment revenues decreased by 1.1% from $1,047 million in Q1 2024 to $1,036 million in Q1 2025 [148]. - Adjusted EBITDA for the three months ended March 31, 2025, was $185 million, a decrease of $91 million or 33.0% compared to $276 million in 2024 [149]. - Net loss attributable to stockholders was $17 million for the three months ended March 31, 2025, compared to a net loss of $4 million in 2024, representing a $13 million increase in loss [153]. Expenses and Cost Management - Sales and marketing expense increased by $24 million or 6.0%, from $401 million in 2024 to $425 million in 2025 [156]. - Real estate profit decreased by $64 million or 47.8%, from $134 million in 2024 to $70 million in 2025, primarily due to decreased sales of VOIs [161]. - The provision for financing receivables losses increased by $8 million or 12.5%, from $64 million in 2024 to $72 million in 2025 [160]. - Fee-for-service commissions increased by $4 million or 6.3%, from $64 million in 2024 to $68 million in 2025 [161]. - The real estate profit margin decreased from 26.7% in 2024 to 15.7% in 2025, reflecting the impact of decreased sales and increased expenses [161]. - Share-based compensation expense increased by 33.3% from $9 million in Q1 2024 to $12 million in Q1 2025 [148]. - Acquisition and integration-related expenses decreased significantly by 74.3% from $109 million in Q1 2024 to $28 million in Q1 2025 [148]. Financing and Cash Flow - Financing propensity for the three months ended March 31, 2025, was 64%, compared to 65% for the same period in 2024 [127]. - The weighted-average FICO score for loans to U.S. and Canadian borrowers at the time of origination was 736 for 2025, down from 744 in 2024 [128]. - Financing profit increased by $5 million to $70 million for the three months ended March 31, 2025, compared to $65 million in 2024, driven by a $21 million increase in financing revenue [164][165]. - Financing revenue rose by $21 million to $125 million, primarily due to an increase in the weighted average outstanding balance of timeshare financing receivables and a decrease in premium amortization of $8 million [165]. - Financing expenses increased by $16 million to $55 million, mainly due to a $9 million rise in portfolio management expenses and a $6 million increase in consumer financing interest expense [166]. - Net cash provided by operating activities was $38 million for the three months ended March 31, 2025, compared to no cash provided in the same period in 2024 [180]. - Net cash used in investing activities was $32 million, significantly lower than $1,473 million in 2024, mainly due to the prior year's Bluegreen Acquisition [184]. - Net cash used in financing activities was $201 million, a decrease from $1,272 million in 2024, primarily due to reduced net proceeds from debt and increased share repurchases [185]. Company Operations and Market Presence - As of March 31, 2025, the company had approximately 725,000 members across its Club offerings, providing access to around 8,400 properties in the Hilton system [117]. - The company completed the acquisition of Bluegreen Vacations Holding Corporation on January 17, 2024, expanding its market presence [114]. - The company operates approximately 100 sales distribution centers in various domestic and international locations [124]. - The management fees earned from resort operations are highly predictable, typically ranging from 10% to 15% of the costs to operate the applicable resort [132]. - The company has signed a 10-year exclusive marketing agreement with Bass Pro, effective from the Bluegreen Acquisition Date, to market vacation packages [125]. - General and administrative expenses remained stable at $46 million, while depreciation and amortization rose by $5 million to $67 million, attributed to assets acquired in the Bluegreen Acquisition [171][172]. - The company has approximately $9,356 million in contractual obligations over 16 years, with $734 million due in the remainder of 2025 [186]. - The company has commitments from surety providers amounting to $669 million as of March 31, 2025, primarily consisting of escrow, subsidy, and construction-related bonds [187]. - The company is exposed to market risks from changes in interest rates and currency exchange rates, with no material change in exposure reported since the previous year [189].

Financial Data and Key Metrics Changes - Reported contract sales increased by 10% to $721 million, and adjusted EBITDA was $248 million with margins excluding reimbursements at 22% [13][23] - Total revenue excluding cost reimbursements grew by 11% to $1.1 billion [23] - Adjusted free cash flow for the quarter was $185 million, with a cash flow conversion rate of 75% [29][30] Business Line Data and Key Metrics Changes - Contract sales in the real estate business were $721 million, up 10% year-over-year, with VPG growing 15% to over $4,100 [24] - Rental and ancillary revenues reached $187 million, with a segment loss of $19 million due to elevated expenses [28] - Financing business revenue was $125 million, with segment profit at $70 million and margins of 56% [25] Market Data and Key Metrics Changes - Occupancy rate remained flat at 77%, with consolidated arrivals in the second quarter ahead of the prior year [14] - The marketing package pipeline was robust with over 725,000 packages, indicating solid booking growth [14] - Member count was 725,000 at the end of the quarter, with a net owner growth (NOG) of just under 1% [15][28] Company Strategy and Development Direction - The company is focused on enhancing lead generation, execution, and product enhancements to support EBITDA and cash flow goals [17][18] - Integration with Bluegreen is progressing well, achieving $89 million in cost synergies, with a target of $100 million by year-end [19] - The company maintains a disciplined approach to process and execution while adapting to macroeconomic volatility [10][20] Management's Comments on Operating Environment and Future Outlook - Management acknowledged increased macroeconomic volatility but emphasized the company's strong fundamentals and proactive initiatives [10][12] - The company is maintaining its EBITDA guidance for the year, expecting to navigate through potential uncertainties effectively [12][31] - Management expressed confidence in the demand for experiences over goods, which may continue to grow despite economic challenges [86] Other Important Information - The company repurchased $150 million worth of stock during the quarter, with a commitment to continue capital returns [30] - The liquidity position included $259 million in unrestricted cash and $870 million available under the revolving credit facility [32] Q&A Session Summary Question: Consumer behavior and forward bookings - Management noted no material changes in forward bookings, attributing stability to the prepaid nature of owner and package sales [35][37] Question: New owner mix versus owned mix - Management indicated that the mix is controllable and expects continued strong performance despite seasonal shifts [39][40] Question: Balance sheet optimization - Management clarified that a portion of unsecuritized receivables is not immediately securitizable but has a path for future securitization [46][50] Question: VPG performance and Bluegreen customer upgrades - Management reported strong VPG growth across all segments, particularly among Bluegreen owners, with significant outperformance [53] Question: KPIs and growth expectations - Management expects mid to higher single-digit VPG growth for the remainder of the year, despite some challenges in tour flow [60] Question: Strategic initiatives for financing and engagement - Management is standardizing financing programs and enhancing value propositions to drive engagement and performance [64][68]

Financial Data and Key Metrics Changes - Reported contract sales increased by 10% to $721 million, and adjusted EBITDA was $248 million with margins excluding reimbursements of 22% [12][20][22] - Total revenue excluding cost reimbursements grew by 11% to $1.1 billion [22] - Adjusted free cash flow in the quarter was $185 million, with a cash flow conversion rate of 75% [29] Business Line Data and Key Metrics Changes - Real estate contract sales were $721 million, up 10% year-over-year, with VPG growing 15% to over $4,100 [12][23] - Rental business revenues were $187 million, with a segment loss of $19 million due to elevated expenses [28] - Financing business revenue was $125 million, with segment profit of $70 million and margins of 56% [25] Market Data and Key Metrics Changes - Occupancy rate remained flat at 77%, with consolidated arrivals in the second quarter ahead of the prior year [13] - The marketing package pipeline was robust at over 725,000 packages, with confirmed travel dates increasing from the fourth quarter [13][14] - Member count was 725,000 at the end of the quarter, with NOG just under 1% [14][28] Company Strategy and Development Direction - The company is focused on enhancing lead generation, execution, and product enhancements to support EBITDA and cash flow goals [16][18] - Integration with Bluegreen is progressing, with $89 million in cost synergies achieved and a target of $100 million for the year [18] - The company maintains a disciplined approach to process and execution while adapting to macroeconomic volatility [10][19] Management's Comments on Operating Environment and Future Outlook - Management acknowledged increased macroeconomic volatility but noted that they have not seen material shifts in forward demand indicators [8][14] - The company is maintaining its adjusted EBITDA guidance for 2025 in the range of $1.125 billion to $1.165 billion [30] - Management expressed confidence in the business model's resilience, citing a diversified portfolio and a dedicated member base [10][11] Other Important Information - The company repurchased $150 million worth of stock during the quarter and remains committed to capital returns [29] - The liquidity position included $259 million of unrestricted cash and $870 million available under the revolving credit facility [32] Q&A Session Summary Question: Consumer behavior and forward bookings - Management noted that they have not seen changes in preview package sales or forward bookings, attributing this to their unique demand creation model [34][36] Question: New owner mix versus owned mix - Management clarified that the new buyer mix is closer to 25% to 30%, and they expect to maintain strong VPGs despite seasonal shifts [38][40] Question: Balance sheet optimization - Management discussed the current unsecuritized receivables and plans to term out their warehouse facility through ABS markets [44][46] Question: VPG performance and Bluegreen customer upgrades - Management reported strong VPG growth across all segments, particularly among Bluegreen owners, with over 40% growth in VPG for that group [52][54] Question: Economic downside scenarios - Management expressed confidence in their value proposition and ability to create demand, despite potential economic challenges [85][88]

Core Insights - Hilton Grand Vacations (HGV) reported revenue of $1.15 billion for the quarter ended March 2025, a decrease of 0.7% year-over-year, with EPS at $0.09 compared to $0.95 in the same quarter last year [1] - The revenue fell short of the Zacks Consensus Estimate of $1.24 billion, resulting in a surprise of -7.47%, while the EPS surprise was -81.63% against a consensus estimate of $0.49 [1] Revenue Breakdown - Resort and club management revenues were $183 million, exceeding the estimated $173.93 million [4] - Cost reimbursements generated $133 million, slightly above the average estimate of $129.67 million, reflecting a year-over-year increase of 9% [4] - Rental and ancillary services revenues reached $187 million, compared to the estimated $186.37 million, marking a year-over-year growth of 3.3% [4] - Sales, marketing, brand, and other fees totaled $142 million, in line with the estimate of $142.07 million, but showed a decline of 2.1% year-over-year [4] - Financing revenues were $125 million, surpassing the estimate of $123.54 million, with a significant year-over-year increase of 20.2% [4] - Sales of VOIs, net, amounted to $378 million, falling short of the estimated $476.78 million, representing a year-over-year decline of 13.7% [4] Stock Performance - Shares of Hilton Grand Vacations have decreased by 11.2% over the past month, contrasting with the Zacks S&P 500 composite's decline of only 0.7% [3] - The stock currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3]

Company Performance - Hilton Grand Vacations (HGV) reported quarterly earnings of $0.09 per share, missing the Zacks Consensus Estimate of $0.49 per share, and down from $0.95 per share a year ago, representing an earnings surprise of -81.63% [1] - The company posted revenues of $1.15 billion for the quarter ended March 2025, missing the Zacks Consensus Estimate by 7.47%, and down from $1.16 billion year-over-year [2] - Over the last four quarters, Hilton Grand Vacations has not surpassed consensus EPS estimates and has topped consensus revenue estimates only once [2] Stock Performance - Hilton Grand Vacations shares have declined approximately 13.7% since the beginning of the year, compared to a decline of -5.3% for the S&P 500 [3] - The current consensus EPS estimate for the upcoming quarter is $0.86 on revenues of $1.35 billion, and for the current fiscal year, it is $3.42 on revenues of $5.4 billion [7] Industry Outlook - The Hotels and Motels industry, to which Hilton Grand Vacations belongs, is currently ranked in the top 32% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that tracking these revisions can be beneficial for investors [5]

Financial Performance - Total revenues for Q1 2025 were $1.148 billion, slightly down from $1.156 billion in Q1 2024, impacted by a net deferral of $126 million[4]. - Net loss attributable to stockholders for Q1 2025 was $(17) million, compared to $(4) million in Q1 2024, with adjusted net income at $9 million versus $99 million in the prior year[4]. - Diluted EPS for Q1 2025 was $(0.17), compared to $(0.04) for Q1 2024, while adjusted diluted EPS was $0.09 compared to $0.95 in the same period last year[4]. - Adjusted EBITDA attributable to stockholders for Q1 2025 was $180 million, down from $273 million in Q1 2024, affected by a net deferral of $68 million[4]. - Free cash flow for Q1 2025 was $6 million, compared to $(19) million for the same period in the prior year, while adjusted free cash flow was $185 million compared to $(374) million in Q1 2024[20]. - Adjusted EBITDA for Q1 2025 was $185 million, down 33% from $276 million in Q1 2024, resulting in an adjusted EBITDA profit margin of 16.1%[74]. - The adjusted net income attributable to stockholders dropped to $9 million in Q1 2025 from $99 million in Q1 2024, a decrease of 90.91%[90]. Sales and Revenue Metrics - Total contract sales for Q1 2025 were $721 million, a 14% increase compared to Q1 2024, or 10% on a pro forma basis[4]. - Sales of VOIs, net for Q1 2025 were $378 million, a decrease of 13.7% compared to $438 million in Q1 2024[68]. - Real estate sales and financing revenue decreased to $645 million in Q1 2025 from $687 million in Q1 2024, reflecting a decline of 6.1%[73]. - The total revenues from rental and ancillary services rose to $187 million in Q1 2025, compared to $181 million in Q1 2024, marking a 3.31% increase[85]. - Rental revenues for Q1 2025 increased to $174 million from $169 million in Q1 2024, representing a growth of 2.96%[85]. Cash and Liquidity - Total cash and cash equivalents as of March 31, 2025, were $259 million, with total restricted cash at $311 million[17]. - Cash and cash equivalents decreased to $259 million as of March 31, 2025, down from $328 million at the end of 2024[67]. - Net cash provided by operating activities for Q1 2025 was $38 million, compared to $0 million in Q1 2024[69]. Operational Metrics - The estimated value of the total contract sales pipeline is $13.2 billion, with $10.3 billion related to inventory currently available for sale[14]. - Tour flow increased to 174,525 in Q1 2025, compared to 174,138 in Q1 2024, indicating a growth in customer engagement[76]. - Volume per guest (VPG) is an important operating measure, calculated by dividing contract sales by tour flow, indicating sales process effectiveness[62]. - Consolidated net owner growth (NOG) for the twelve months ended March 31, 2025, was 0.9%, down from 2.0% in the previous year[82]. Guidance and Future Outlook - The company is reiterating its full-year 2025 Adjusted EBITDA guidance of $1.125 billion to $1.165 billion, excluding deferrals and recognitions[4]. - The company anticipates future growth driven by new product developments and market expansions, although specific figures were not disclosed[32]. - Forward-looking statements indicate expectations for revenue and earnings growth, contingent on market conditions and operational performance[32]. Expenses and Costs - Interest expense for the year totaled $329 million, with quarterly expenses of $79 million, $87 million, $84 million, and $79 million[28]. - Acquisition and integration-related expenses for the year amounted to $237 million, with quarterly expenses of $109 million, $48 million, $36 million, and $44 million[28]. - The total cost of VOI sales decreased to $25 million in Q1 2025 from $48 million in Q1 2024, a reduction of 47.92%[87]. - Acquisition and integration-related expenses were $28 million in Q1 2025, significantly lower than $109 million in Q1 2024[90]. Membership and Customer Base - The company reported a total of 725,000 Club Members, indicating a strong customer base for its vacation ownership offerings[39].

Industry Overview - Tourism spending is rebounding with resilience despite global inflationary pressures, leading to a resurgence in tourist accommodations such as timeshares [1] - Hilton Grand Vacations, Inc. is identified as a prominent player in the market, capitalizing on its value proposition [1] Company Insights - The company is positioned well to benefit from the ongoing recovery in tourism, indicating potential growth opportunities [1]

Financial Performance - Total revenues for the year ended December 31, 2024, were $4.981 billion, up from $3.978 billion in 2023, representing a growth of 25.2%[472] - Net income attributable to stockholders decreased to $47 million in 2024 from $313 million in 2023, a decline of 85%[472] - The company reported a diluted earnings per share of $0.45 for 2024, down from $2.80 in 2023[472] - For the year ended December 31, 2024, net income decreased to $60 million from $313 million in 2023, representing a decline of approximately 80.8%[477] - The company reported pro forma revenue of $5,028 million for the year ended December 31, 2024, compared to $5,013 million for 2023, with net income of $66 million for 2024, down from $224 million in 2023[564] Assets and Liabilities - Total assets increased to $11.442 billion as of December 31, 2024, compared to $8.685 billion in 2023, reflecting a growth of 31.5%[470] - The company’s debt, net, increased to $4.601 billion in 2024 from $3.049 billion in 2023, an increase of 50.8%[470] - The company had over 200 properties located in various regions, including the U.S., Europe, and Asia, as of December 31, 2024[482] - The total gross carrying amount of intangible assets increased to $2,547 million as of December 31, 2024, up from $1,704 million in 2023, with a net carrying amount of $1,787 million after accumulated amortization of $760 million[612] Acquisitions - The company completed the acquisition of Bluegreen Vacations Holding Corporation for approximately $1.6 billion on January 17, 2024, expected to enhance offerings and customer reach[483] - The fair value of total assets acquired in the Bluegreen Acquisition was $2,515 million, while total liabilities assumed were $1,324 million, resulting in net assets acquired of $1,191 million[548] - Goodwill recorded in connection with the Bluegreen Acquisition amounted to $565 million, allocated to the Resort Operations and Club Management Segment ($142 million) and Real Estate Sales and Financing Segment ($423 million)[561] - The Grand Islander Acquisition was completed on December 1, 2023, for approximately $117 million, expanding the company's product offerings and providing upgrade opportunities for existing members[566] Financing and Debt - The company expects to secure fixed-rate funding to match its fixed-rate timeshare financing receivables while monitoring interest rate risk for any future variable-rate debt[427] - The company has variable-rate debt with a weighted average interest rate of 6.498%, totaling $2,841 million as of December 31, 2024[429] - Proceeds from debt in 2024 amounted to $2.758 billion, significantly higher than $758 million in 2023[477] - The company entered into a new $400 million senior secured term loan due January 2028, with a pricing of SOFR plus 1.75%[620] Revenue Recognition - The company recognizes revenue from prepaid vacation packages when customers stay at properties, including an estimate for expected breakage[491] - Revenue from annual dues for membership renewals is recognized over the period services are rendered, reflecting a steady income stream from club memberships[494] - The company recognizes management fees based on a percentage of costs to operate resorts, with fees recognized over time as services are consumed[495] Interest and Financing Receivables - The allowance for financing receivables losses as of December 31, 2024, was $1.1 billion, encompassing amounts from Legacy-HGV, Legacy-Diamond, and Legacy-Bluegreen operations[451] - The total originated timeshare financing receivables as of December 31, 2024, amounted to $2.932 billion, with a weighted-average interest rate of 14.9%[588] - The total acquired timeshare financing receivables as of December 31, 2024, was $1.084 billion, with a weighted-average interest rate of 15.0%[593] - The allowance for credit losses increased to $74 million in 2024 from $60 million in 2023, reflecting a 23.3% rise[581] Internal Controls and Compliance - The company assessed the effectiveness of its internal control over financial reporting as of December 31, 2024, excluding the operations of Bluegreen, which were acquired during the year[436] - The company maintained effective internal control over financial reporting as of December 31, 2024, based on COSO criteria[460] Cash Flow and Investments - Net cash provided by operating activities for 2024 was $309 million, slightly down from $312 million in 2023[477] - The company reported a net cash used in investing activities of $1.571 billion in 2024, compared to $158 million in 2023[477] - As of December 31, 2024, the company had investments in unconsolidated affiliates with a carrying amount of $73 million and received cash distributions of approximately $16 million from BRE Ace LLC[609][610] Expenses and Impairments - The acquisition and integration-related expenses for 2024 were $237 million, significantly higher than $68 million in 2023[472] - The company recognized a $2 million impairment for the year ended December 31, 2024, related to the closure of certain sales centers[603] - Amortization expense on intangible assets for the year ended December 31, 2024, was $216 million, compared to $163 million in 2023[613] Inventory and Assets Management - The total inventory as of December 31, 2024, was $2,244 million, up from $1,400 million in 2023, indicating a 60.3% growth[601] - The current balance of completed unsold Vacation Ownership Interests (VOIs) increased to $1,898 million in 2024 from $1,259 million in 2023, representing a 50.8% increase[601] - The company evaluates the carrying value of property and equipment for impairment, recognizing losses when expected future cash flows are less than the net book value[519]

Financing Business Optimization F E B R U A R Y 2 0 2 5 Securitization overview Securitizations accelerate the conversion of receivables into cash flow, pulling forward the return of cash versus waiting 7-10 years for the mortgages receivables to pay off Mortgage receivable Real Estate group HGV balance sheet HGV warehouse facility lenders Cash The warehouse facility acts like a private securitization market, allowing HGV to monetize its receivables regardless of external market conditions securitization in ...

Financial Data and Key Metrics Changes - Reported contract sales were $837 million, with adjusted EBITDA of $289 million, and margins excluding reimbursements of 23%, exceeding expectations [14][38] - For the year, contract sales reached $3 billion and adjusted EBITDA was $1.1 billion, with a record adjusted free cash flow of $837 million [37][60] - The company returned a record $432 million to shareholders through stock repurchases, reducing diluted share count by 10% [37][61] Business Line Data and Key Metrics Changes - In the real estate segment, contract sales grew to $837 million for the quarter, up 9% year-over-year on a pro forma basis, with Bluegreen contributing $208 million [39] - The rental business showed good top-line trends, although profitability was impacted by seasonality and the addition of Bluegreen's rental business [21][55] - The financing business generated revenues of $153 million with segment profit of $93 million, achieving margins of 61% [44] Market Data and Key Metrics Changes - The APAC region showed strong performance, particularly in Hawaii, with high demand for properties like the new Kohaku project in Waikiki [16][101] - Occupancy rates were slightly up at 82%, with a robust package pipeline of over 710,000 packages [19] - The company reported a consolidated member count of approximately 724,000, with a net owner growth (NOG) of 1.1% [21][53] Company Strategy and Development Direction - The company aims to achieve $100 million in cost synergies from the Bluegreen acquisition, with significant organizational changes already implemented [10][25] - The launch of HGV Max for Bluegreen members is expected to enhance the value proposition and drive growth in contract sales and EBITDA [12][24] - The financing optimization program aims to increase nonrecourse borrowing activity, targeting a securitization rate of 70% to 80% [47][48] Management's Comments on Operating Environment and Future Outlook - The management noted that the consumer environment remains consistent, with inflation and elevated interest rates impacting spending, but travel intentions remain strong [12][102] - The guidance for 2025 reflects expectations for growth in contract sales and EBITDA, despite anticipated headwinds from increased consumer financing interest expenses [62] - The company is optimistic about its momentum heading into 2025, with a focus on improving core quality and tour outcomes [32][102] Other Important Information - The company has significant excess liquidity of over $2 billion and a debt balance of $4.6 billion [46][65] - The President and CFO, Dan Matthews, is on a temporary leave of absence, with Erin Day stepping in as Acting CFO [33] Q&A Session Summary Question: How should we think about growth rates between workflow and VPG for 2025? - Management expects strong top-line revenue driven by growth in contract deals, with tours anticipated in the low to mid-single digits and VPG in a similar range [70][72] Question: Can you elaborate on the optimization program? - The program involves increasing the pace of securitizations, which will provide more cash infusion for share repurchases while receiving less immediate income [78][80] Question: What is the outlook for loan loss provisions in 2025? - The provision is expected to stabilize in the mid-teens, with some headwinds anticipated in Q1 [88] Question: How is the Bluegreen HGV Max rollout progressing? - The launch has seen a strong uptick, but it will take 18 to 24 months to fully engage all members [93][95] Question: What changes have been observed in customer behavior post-election? - Leisure travel remains strong, with improvements across all brands and segments, particularly in APAC and Hawaii [100][102] Question: What is the anticipated inventory investment for 2025? - The company expects inventory investment to be around $450 million, primarily for completing pre-COVID projects [106][109]