Marriott Vacations Worldwide(US:VAC)2025-08-05 14:00Business Overview - The company operates with iconic brands, approximately 120 resorts, and serves around 700,000 owner families[9] - The company's business model includes timeshare and exchange products, multiple brands, perpetual sales centers, points-based offerings, and a capital-efficient development model[11] - Approximately 40% of the company's Adjusted EBITDA contribution comes from recurring sources[13, 77] Financial Performance and Projections - Exchange and Third-Party Management contribute approximately 10% to Adjusted EBITDA, while Vacation Ownership contributes approximately 90%[9] - The Exchange and Third-Party Management segment has a high Adjusted EBITDA margin of approximately 46%[20] - The company anticipates $150 million to $200 million in annualized Adjusted EBITDA benefits by 2026 from strategic modernization initiatives[27, 77] - Full year 2025 guidance includes contract sales of $1740 million to $1830 million and Adjusted EBITDA of $750 million to $780 million[72] - The company projects Adjusted Free Cash Flow for 2025 to be between $270 million and $330 million[72] Growth Strategies - The company is focused on driving growth through product transformation, leveraging technology, and disciplined use of free cash flow[37] - Approximately 49% of 2024 tour packages were sold digitally, and 14% of 2024 contract sales were sold non-traditionally, including virtual sales[51] - The company has added approximately 100,000 first-time buyers since 2020[59]