Hilton Grand Vacations Reports Third Quarter 2024 Results

ORLANDO, Fla. (Nov. 7, 2024) - Hilton Grand Vacations Inc. (NYSE: HGV) ("HGV" or "the Company") today reports its third quarter 2024 results.

Third quarter of 2024 highlights^[1]

• Total contract sales were $777 million.
• Member count was 722,000. Net Owner Growth (NOG) for the legacy HGV-DRI business for the 12 months ended Sept. 30, 2024, was 1.2%.
• Total revenues for the third quarter of 2024 were $1.306 billion compared to $1.018 billion for the same period in 2023.
  • Total revenues were affected by a net recognition of $49 million in the current period compared to a net deferral of $12 million in the same period in 2023.
• Net income attributable to stockholders for the third quarter was $29 million compared to $92 million for the same period in 2023.
  • Adjusted net income attributable to stockholders for the third quarter was $68 million compared to $109 million for the same period in 2023.
  • Net income attributable to stockholders and adjusted net income attributable to stockholders were affected by a net recognition of $27 million in the current period compared to a net deferral of $7 million in the same period in 2023.
• Diluted EPS for the third quarter was $0.28 compared to $0.83 for the same period in 2023.
  • Adjusted diluted EPS for the third quarter was $0.67 compared to $0.98 for the same period in 2023.
  • Diluted EPS and adjusted diluted EPS were affected by a net recognition of $27 million in the current period compared to a net deferral of $7 million in the same period in 2023, or $0.26 and $(0.06) per share in the current period and the same period in 2023, respectively.
• Adjusted EBITDA attributable to stockholders for the third quarter was $303 million compared to $269 million for the same period in 2023.
  • Adjusted EBITDA attributable to stockholders was affected by a net recognition of $27 million in the current period compared to a net deferral of $7 million in the same period in 2023.
• During the third quarter, the Company repurchased 2.8 million shares of common stock for $108 million.
  • On Aug. 7, 2024, HGV's Board of Directors approved a new share repurchase program authorizing the Company to repurchase up to an aggregate of $500 million of its outstanding shares of common stock over a two-year period (the "2024 Repurchase Plan"), which is in addition to the prior repurchase authorization.
  • Through Oct. 31, 2024, the Company has repurchased approximately 1.4 million shares for $50 million and currently has $503 million of remaining availability under the share repurchase programs, of which $500 million was under the 2024 Repurchase Plan.
• The Company is reiterating its guidance for the full year 2024 Adjusted EBITDA, excluding deferrals and recognitions, of $1.075 billion to $1.135 billion.

"We're pleased with our third quarter results, which were in line with our expectations," said Mark Wang, CEO of Hilton Grand Vacations. "I'm encouraged by the early positive signs we've seen in our operating metrics following the strategic regionalization and staffing changes we announced last quarter. We're optimistic about further improvement ahead from these strategic initiatives, coupled with the benefit of the upcoming introduction of HGV Max to the Bluegreen system. Above all, we remain confident in our strategy - we have the right scale, the right inventory, and the right product offering. With our reorganization work largely behind us, our focus turns to driving execution to maximize value creation for our shareholders."

[1] ^. The Company's current period results and prior year results include impacts related to deferrals of revenues and direct expenses related to the Sales of Vacation Ownership Intervals or Vacation Ownership Interests ("VOIs") under construction that are recognized when construction is complete. These impacts are reflected in the sub-bullets.

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