(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
(Address of principal executive offices) | (Zip Code) |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Emerging growth company |
Exhibit No. | Description | |||||||
Exhibit 99.1 | ||||||||
Exhibit 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document). |
HILTON GRAND VACATIONS INC. | ||||||||
By: | /s/ Daniel J. Mathewes | |||||||
Daniel J. Mathewes | ||||||||
Senior Executive Vice President and Chief Financial Officer |
![]() | Investor Contact: Mark Melnyk 407-613-3327 mark.melnyk@hgv.com | Media Contact: Lauren George 407-613-8431 lauren.george@hgv.com |
2022 | ||||||||||||||||||||||||||||||||
NET CONSTRUCTION DEFERRAL ACTIVITY | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Full Year | |||||||||||||||||||||||||||
Sales of VOIs (deferrals) recognitions | $ | (42) | $ | (10) | $ | — | $ | — | $ | (52) | ||||||||||||||||||||||
Cost of VOI sales (deferrals) recognitions(1) | (13) | (5) | — | — | (18) | |||||||||||||||||||||||||||
Sales and marketing expense (deferrals) recognitions | (7) | (1) | — | — | (8) | |||||||||||||||||||||||||||
Net construction (deferrals) recognitions(2) | $ | (22) | $ | (4) | $ | — | $ | — | $ | (26) | ||||||||||||||||||||||
Net income | $ | 51 | $ | 73 | $ | — | $ | — | $ | 124 | ||||||||||||||||||||||
Interest expense | 33 | 35 | — | — | 68 | |||||||||||||||||||||||||||
Income tax expense | 20 | 41 | — | — | 61 | |||||||||||||||||||||||||||
Depreciation and amortization | 60 | 64 | — | — | 124 | |||||||||||||||||||||||||||
Interest expense and depreciation and amortization included in equity in earnings from unconsolidated affiliates | — | — | — | — | — | |||||||||||||||||||||||||||
EBITDA | 164 | 213 | — | — | 377 | |||||||||||||||||||||||||||
Other (gain) loss, net | (1) | 2 | — | — | 1 | |||||||||||||||||||||||||||
Share-based compensation expense | 11 | 15 | — | — | 26 | |||||||||||||||||||||||||||
Impairment expense (reversal) | 3 | (3) | — | — | — | |||||||||||||||||||||||||||
Acquisition and integration-related expense | 13 | 17 | — | — | 30 | |||||||||||||||||||||||||||
Other adjustment items(3) | 12 | 29 | — | — | 41 | |||||||||||||||||||||||||||
Adjusted EBITDA | $ | 202 | $ | 273 | $ | — | $ | — | $ | 475 |
2021 | ||||||||||||||||||||||||||||||||
NET CONSTRUCTION DEFERRAL ACTIVITY | First Quarter | Second Quarter | Third Quarter | Fourth Quarter | Full Year | |||||||||||||||||||||||||||
Sales of VOIs (deferrals) recognitions | $ | (32) | $ | (42) | $ | 241 | $ | (34) | $ | 133 | ||||||||||||||||||||||
Cost of VOI sales (deferrals) recognitions(1) | (10) | (13) | 73 | (12) | 38 | |||||||||||||||||||||||||||
Sales and marketing expense (deferrals) recognitions | (4) | (7) | 35 | (5) | 19 | |||||||||||||||||||||||||||
Net construction (deferrals) recognitions(2) | $ | (18) | $ | (22) | $ | 133 | $ | (17) | $ | 76 | ||||||||||||||||||||||
Net income | $ | (7) | $ | 9 | $ | 99 | $ | 75 | $ | 176 | ||||||||||||||||||||||
Interest expense | 15 | 17 | 42 | 31 | 105 | |||||||||||||||||||||||||||
Income tax (benefit) expense | (6) | 3 | 49 | 47 | 93 | |||||||||||||||||||||||||||
Depreciation and amortization | 11 | 12 | 48 | 55 | 126 | |||||||||||||||||||||||||||
Interest expense and depreciation and amortization included in equity in earnings from unconsolidated affiliates | 1 | — | — | — | 1 | |||||||||||||||||||||||||||
EBITDA | 14 | 41 | 238 | 208 | 501 | |||||||||||||||||||||||||||
Other loss, net | 1 | 1 | 20 | 4 | 26 | |||||||||||||||||||||||||||
Share-based compensation expense | 4 | 14 | 14 | 16 | 48 | |||||||||||||||||||||||||||
Impairment expense | 1 | — | 1 | — | 2 | |||||||||||||||||||||||||||
Acquisition and integration-related expense | 15 | 14 | 54 | 23 | 106 | |||||||||||||||||||||||||||
Other adjustment items(3) | 7 | — | 13 | 13 | 33 | |||||||||||||||||||||||||||
Adjusted EBITDA | $ | 42 | $ | 70 | $ | 340 | $ | 264 | $ | 716 |
T-2 | |||||
T-3 | |||||
T-4 | |||||
T-5 | |||||
T-6 | |||||
T-7 | |||||
T-8 | |||||
T-9 | |||||
T-10 | |||||
RESORT AND CLUB PROFIT DETAIL SCHEDULE | T-11 | ||||
T-12 | |||||
T-13 | |||||
T-14 |
June 30, 2022 | December 31, 2021 | ||||||||||
(unaudited) | |||||||||||
ASSETS | |||||||||||
Cash and cash equivalents | $ | 374 | $ | 432 | |||||||
Restricted cash | 292 | 263 | |||||||||
Accounts receivable, net | 413 | 302 | |||||||||
Timeshare financing receivables, net | 1,689 | 1,747 | |||||||||
Inventory | 1,241 | 1,240 | |||||||||
Property and equipment, net | 801 | 756 | |||||||||
Operating lease right-of-use assets, net | 60 | 70 | |||||||||
Investments in unconsolidated affiliates | 66 | 59 | |||||||||
Goodwill | 1,357 | 1,377 | |||||||||
Intangible assets, net | 1,358 | 1,441 | |||||||||
Land and infrastructure held for sale | — | 41 | |||||||||
Other assets | 481 | 280 | |||||||||
TOTAL ASSETS | $ | 8,132 | $ | 8,008 | |||||||
LIABILITIES AND EQUITY | |||||||||||
Accounts payable, accrued expenses and other | $ | 976 | $ | 673 | |||||||
Advanced deposits | 130 | 112 | |||||||||
Debt, net | 2,787 | 2,913 | |||||||||
Non-recourse debt, net | 1,024 | 1,328 | |||||||||
Operating lease liabilities | 80 | 87 | |||||||||
Deferred revenues | 360 | 237 | |||||||||
Deferred income tax liabilities | 698 | 670 | |||||||||
Total liabilities | 6,055 | 6,020 | |||||||||
Equity: | |||||||||||
Preferred stock, $0.01 par value; 300,000,000 authorized shares, none issued or outstanding as of June 30, 2022 and December 31, 2021 | — | — | |||||||||
Common stock, $0.01 par value; 3,000,000,000 authorized shares, 118,501,896 shares issued and outstanding as of June 30, 2022 and 119,904,001 shares issued and outstanding as of December 31, 2021 | 1 | 1 | |||||||||
Additional paid-in capital | 1,626 | 1,630 | |||||||||
Accumulated retained earnings | 424 | 357 | |||||||||
Accumulated other comprehensive income | 26 | — | |||||||||
Total equity | 2,077 | 1,988 | |||||||||
TOTAL LIABILITIES AND EQUITY | $ | 8,132 | $ | 8,008 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Revenues | |||||||||||||||||||||||
Sales of VOIs, net | $ | 361 | $ | 76 | $ | 630 | $ | 109 | |||||||||||||||
Sales, marketing, brand and other fees | 161 | 81 | 280 | 134 | |||||||||||||||||||
Financing | 64 | 37 | 128 | 74 | |||||||||||||||||||
Resort and club management | 124 | 48 | 249 | 93 | |||||||||||||||||||
Rental and ancillary services | 171 | 54 | 307 | 86 | |||||||||||||||||||
Cost reimbursements | 67 | 38 | 133 | 73 | |||||||||||||||||||
Total revenues | 948 | 334 | 1,727 | 569 | |||||||||||||||||||
Expenses | |||||||||||||||||||||||
Cost of VOI sales | 65 | 21 | 105 | 24 | |||||||||||||||||||
Sales and marketing | 284 | 116 | 527 | 198 | |||||||||||||||||||
Financing | 22 | 11 | 41 | 24 | |||||||||||||||||||
Resort and club management | 37 | 11 | 73 | 19 | |||||||||||||||||||
Rental and ancillary services | 150 | 36 | 282 | 67 | |||||||||||||||||||
General and administrative | 66 | 30 | 108 | 51 | |||||||||||||||||||
Acquisition and integration-related expense | 17 | 14 | 30 | 29 | |||||||||||||||||||
Depreciation and amortization | 64 | 12 | 124 | 23 | |||||||||||||||||||
License fee expense | 32 | 19 | 57 | 33 | |||||||||||||||||||
Impairment (reversal) expense | (3) | — | — | 1 | |||||||||||||||||||
Cost reimbursements | 67 | 38 | 133 | 73 | |||||||||||||||||||
Total operating expenses | 801 | 308 | 1,480 | 542 | |||||||||||||||||||
Interest expense | (35) | (17) | (68) | (32) | |||||||||||||||||||
Equity in earnings from unconsolidated affiliates | 4 | 4 | 7 | 6 | |||||||||||||||||||
Other loss, net | (2) | (1) | (1) | (2) | |||||||||||||||||||
Income (loss) before income taxes | 114 | 12 | 185 | (1) | |||||||||||||||||||
Income tax (expense) benefit | (41) | (3) | (61) | 3 | |||||||||||||||||||
Net income | $ | 73 | $ | 9 | $ | 124 | $ | 2 | |||||||||||||||
Earnings per share(1): | |||||||||||||||||||||||
Basic | $ | 0.60 | $ | 0.10 | $ | 1.03 | $ | 0.02 | |||||||||||||||
Diluted | $ | 0.60 | $ | 0.10 | $ | 1.01 | $ | 0.02 | |||||||||||||||
Weighted average shares outstanding(2) | |||||||||||||||||||||||
Basic | 120,811 | 85,650 | 120,398 | 85,480 | |||||||||||||||||||
Diluted | 122,309 | 86,839 | 122,096 | 86,540 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||
Operating Activities | |||||||||||||||||||||||
Net income | $ | 73 | $ | 9 | $ | 124 | $ | 2 | |||||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||||||||||||||
Depreciation and amortization | 64 | 12 | 124 | 23 | |||||||||||||||||||
Amortization of deferred financing costs, acquisition premiums and other | 13 | 4 | 25 | 10 | |||||||||||||||||||
Provision for financing receivables losses | 40 | 12 | 71 | 28 | |||||||||||||||||||
Impairment (reversal) expense | (3) | — | — | 1 | |||||||||||||||||||
Other loss, net | 2 | 1 | 2 | 2 | |||||||||||||||||||
Share-based compensation | 15 | 14 | 26 | 18 | |||||||||||||||||||
Deferred income tax expense | — | 30 | — | 9 | |||||||||||||||||||
Equity in earnings from unconsolidated affiliates | (4) | (4) | (7) | (6) | |||||||||||||||||||
Net changes in assets and liabilities: | |||||||||||||||||||||||
Accounts receivable, net | 34 | (109) | (73) | (101) | |||||||||||||||||||
Timeshare financing receivables, net | (41) | (1) | (52) | 18 | |||||||||||||||||||
Inventory | (6) | (15) | 20 | (29) | |||||||||||||||||||
Purchases and development of real estate for future conversion to inventory | — | (11) | (1) | (17) | |||||||||||||||||||
Other assets | 105 | (8) | (159) | (35) | |||||||||||||||||||
Accounts payable, accrued expenses and other | — | 57 | 290 | 59 | |||||||||||||||||||
Advanced deposits | 3 | 3 | 17 | — | |||||||||||||||||||
Deferred revenues | (35) | 36 | 123 | 110 | |||||||||||||||||||
Net cash provided by operating activities | 260 | 30 | 530 | 92 | |||||||||||||||||||
Investing Activities | |||||||||||||||||||||||
Capital expenditures for property and equipment | (11) | (3) | (19) | (4) | |||||||||||||||||||
Software capitalization costs | (10) | (5) | (16) | (9) | |||||||||||||||||||
Net cash used in investing activities | (21) | (8) | (35) | (13) | |||||||||||||||||||
Financing Activities | |||||||||||||||||||||||
Issuance of debt | — | 1,350 | — | 1,350 | |||||||||||||||||||
Issuance of non-recourse debt | 247 | — | 402 | — | |||||||||||||||||||
Repayment of debt | (129) | (53) | (132) | (55) | |||||||||||||||||||
Repayment of non-recourse debt | (420) | (49) | (697) | (118) | |||||||||||||||||||
Debt issuance costs and discounts | (7) | — | (7) | (3) | |||||||||||||||||||
Repurchase and retirement of common stock | (78) | — | (78) | — | |||||||||||||||||||
Payment of withholding taxes on vesting of restricted stock units | — | — | (8) | (5) | |||||||||||||||||||
Proceeds from employee stock plan purchases | 2 | 1 | 2 | 1 | |||||||||||||||||||
Proceeds from stock option exercises | — | 4 | 1 | 6 | |||||||||||||||||||
Other financing activity | — | — | (1) | (1) | |||||||||||||||||||
Net cash used in financing activities | (385) | 1,253 | (518) | 1,175 | |||||||||||||||||||
Effect of changes in exchange rates on cash, cash equivalents & restricted cash | (5) | — | (6) | — | |||||||||||||||||||
Net increase (decrease) in cash, cash equivalents and restricted cash | (151) | 1,275 | (29) | 1,254 | |||||||||||||||||||
Cash, cash equivalents and restricted cash, beginning of period | 817 | 505 | 695 | 526 | |||||||||||||||||||
Cash, cash equivalents and restricted cash, end of period | $ | 666 | $ | 1,780 | $ | 666 | $ | 1,780 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Net cash provided by operating activities | $ | 260 | $ | 30 | $ | 530 | $ | 92 | ||||||||||||||||||
Capital expenditures for property and equipment | (11) | (3) | (19) | (4) | ||||||||||||||||||||||
Software capitalization costs | (10) | (5) | (16) | (9) | ||||||||||||||||||||||
Free Cash Flow | $ | 239 | $ | 22 | $ | 495 | $ | 79 | ||||||||||||||||||
Non-recourse debt activity, net | (173) | (49) | (295) | (118) | ||||||||||||||||||||||
Acquisition and integration-related expense | 17 | 14 | 30 | 29 | ||||||||||||||||||||||
Other adjustment items(1) | 20 | — | 33 | — | ||||||||||||||||||||||
Adjusted Free Cash Flow | $ | 103 | $ | (13) | $ | 263 | $ | (10) |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Revenues: | ||||||||||||||||||||||||||
Real estate sales and financing | $ | 586 | $ | 194 | $ | 1,038 | $ | 317 | ||||||||||||||||||
Resort operations and club management | 303 | 107 | 571 | 187 | ||||||||||||||||||||||
Total segment revenues | 889 | 301 | 1,609 | 504 | ||||||||||||||||||||||
Cost reimbursements | 67 | 38 | 133 | 73 | ||||||||||||||||||||||
Intersegment eliminations | (8) | (5) | (15) | (8) | ||||||||||||||||||||||
Total revenues | $ | 948 | $ | 334 | $ | 1,727 | $ | 569 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Net income | $ | 73 | $ | 9 | $ | 124 | $ | 2 | ||||||||||||||||||
Interest expense | 35 | 17 | 68 | 32 | ||||||||||||||||||||||
Income tax expense (benefit) | 41 | 3 | 61 | (3) | ||||||||||||||||||||||
Depreciation and amortization | 64 | 12 | 124 | 23 | ||||||||||||||||||||||
Interest expense, depreciation and amortization included in equity in earnings from unconsolidated affiliates | — | — | — | 1 | ||||||||||||||||||||||
EBITDA | 213 | 41 | 377 | 55 | ||||||||||||||||||||||
Other loss, net | 2 | 1 | 1 | 2 | ||||||||||||||||||||||
Share-based compensation expense | 15 | 14 | 26 | 18 | ||||||||||||||||||||||
Impairment (reversal) expense | (3) | — | — | 1 | ||||||||||||||||||||||
Acquisition and integration-related expense | 17 | 14 | 30 | 29 | ||||||||||||||||||||||
Other adjustment items(1) | 29 | — | 41 | 7 | ||||||||||||||||||||||
Adjusted EBITDA | $ | 273 | $ | 70 | $ | 475 | $ | 112 | ||||||||||||||||||
Segment Adjusted EBITDA: | ||||||||||||||||||||||||||
Real estate sales and financing(2) | $ | 218 | $ | 45 | $ | 371 | $ | 72 | ||||||||||||||||||
Resort operations and club management(2) | 119 | 61 | 220 | 103 | ||||||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||
Adjusted EBITDA from unconsolidated affiliates | 4 | 4 | 7 | 7 | ||||||||||||||||||||||
License fee expense | (32) | (19) | (57) | (33) | ||||||||||||||||||||||
General and administrative(3) | (36) | (21) | (66) | (37) | ||||||||||||||||||||||
Adjusted EBITDA | $ | 273 | $ | 70 | $ | 475 | $ | 112 | ||||||||||||||||||
Adjusted EBITDA profit margin | 28.8 | % | 21.0 | % | 27.5 | % | 19.7 | % | ||||||||||||||||||
EBITDA profit margin | 22.5 | % | 12.3 | % | 21.8 | % | 9.7 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Tour flow | 134,259 | 56,345 | 232,860 | 84,293 | ||||||||||||||||||||||
VPG | 4,452 | 4,385 | 4,620 | 4,472 | ||||||||||||||||||||||
Owned contract sales mix | 70.2 | % | 57.9 | % | 72.2 | % | 58.5 | % | ||||||||||||||||||
Fee-for-service contract sales mix | 29.8 | % | 42.1 | % | 27.8 | % | 41.5 | % | ||||||||||||||||||
Contract sales | $ | 617 | $ | 259 | $ | 1,126 | $ | 398 | ||||||||||||||||||
Adjustments: | ||||||||||||||||||||||||||
Fee-for-service sales(1) | (184) | (109) | (313) | (165) | ||||||||||||||||||||||
Provision for financing receivables losses | (40) | (12) | (71) | (28) | ||||||||||||||||||||||
Reportability and other: | ||||||||||||||||||||||||||
Net deferral of sales of VOIs under construction(2) | (10) | (42) | (52) | (74) | ||||||||||||||||||||||
Fee-for-service sale upgrades, net | 5 | 3 | 9 | 5 | ||||||||||||||||||||||
Other(3) | (27) | (23) | (69) | (27) | ||||||||||||||||||||||
Sales of VOIs, net | $ | 361 | $ | 76 | $ | 630 | $ | 109 | ||||||||||||||||||
Plus: | ||||||||||||||||||||||||||
Fee-for-service commissions and brand fees, net | 99 | 57 | 168 | 89 | ||||||||||||||||||||||
Sales revenue | 460 | 133 | 798 | 198 | ||||||||||||||||||||||
Less: | ||||||||||||||||||||||||||
Cost of VOI sales | 65 | 21 | 105 | 24 | ||||||||||||||||||||||
Sales and marketing expense, net(4) | 212 | 83 | 398 | 142 | ||||||||||||||||||||||
Real estate profit | $ | 183 | $ | 29 | $ | 295 | $ | 32 | ||||||||||||||||||
Real estate profit margin | 39.8 | % | 21.8 | % | 37.0 | % | 16.2 | % | ||||||||||||||||||
Reconciliation of fee-for-service commissions: | ||||||||||||||||||||||||||
Sales, marketing, brand and other fees | 161 | 81 | 280 | 134 | ||||||||||||||||||||||
Less: | ||||||||||||||||||||||||||
Marketing revenue and other fees | 62 | 24 | 112 | 45 | ||||||||||||||||||||||
Fee-for-service commissions and brand fees, net | $ | 99 | $ | 57 | $ | 168 | $ | 89 |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Just-In-Time Contract Sales Mix | 12 | % | 23 | % | 13 | % | 25 | % | ||||||||||||||||||
Fee-For-Service Contract Sales Mix | 30 | % | 42 | % | 28 | % | 41 | % | ||||||||||||||||||
Total Capital-Efficient Contract Sales Mix(1) | 42 | % | 65 | % | 41 | % | 66 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Interest income(1) | $ | 54 | $ | 31 | $ | 109 | $ | 62 | ||||||||||||||||||
Other financing revenue | 10 | 6 | 19 | 12 | ||||||||||||||||||||||
Financing revenue | 64 | 37 | 128 | 74 | ||||||||||||||||||||||
Consumer financing interest expense(2) | 8 | 7 | 15 | 14 | ||||||||||||||||||||||
Other financing expense | 14 | 4 | 26 | 10 | ||||||||||||||||||||||
Financing expense | 22 | 11 | 41 | 24 | ||||||||||||||||||||||
Financing profit | $ | 42 | $ | 26 | $ | 87 | $ | 50 | ||||||||||||||||||
Financing profit margin | 65.6 | % | 70.3 | % | 68.0 | % | 67.6 | % | % |
Twelve Months Ended June 30, | ||||||||||||||
2022 | 2021 | |||||||||||||
Total members | 507,952 | 328,441 | ||||||||||||
Legacy-HGV Net Owner Growth (NOG)(1) | 10,412 | 1,631 | ||||||||||||
Legacy-HGV Net Owner Growth % (NOG)(1) | 3.2 | % | 0.5 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Club management revenue | $ | 51 | $ | 29 | $ | 102 | $ | 56 | ||||||||||||||||||
Resort management revenue | 73 | 19 | 147 | 37 | ||||||||||||||||||||||
Resort and club management revenues | 124 | 48 | 249 | 93 | ||||||||||||||||||||||
Club management expense | 10 | 5 | 20 | 10 | ||||||||||||||||||||||
Resort management expense | 27 | 6 | 53 | 9 | ||||||||||||||||||||||
Resort and club management expenses | 37 | 11 | 73 | 19 | ||||||||||||||||||||||
Resort and club management profit | $ | 87 | $ | 37 | $ | 176 | $ | 74 | ||||||||||||||||||
Resort and club management profit margin | 70.2 | % | 77.1 | % | 70.7 | % | 79.6 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Rental revenues | $ | 155 | $ | 50 | $ | 279 | $ | 80 | ||||||||||||||||||
Ancillary services revenues | 16 | 4 | 28 | 6 | ||||||||||||||||||||||
Rental and ancillary services revenues | 171 | 54 | 307 | 86 | ||||||||||||||||||||||
Rental expenses | 138 | 32 | 260 | 61 | ||||||||||||||||||||||
Ancillary services expense | 12 | 4 | 22 | 6 | ||||||||||||||||||||||
Rental and ancillary services expenses | 150 | 36 | 282 | 67 | ||||||||||||||||||||||
Rental and ancillary services profit | $ | 21 | $ | 18 | $ | 25 | $ | 19 | ||||||||||||||||||
Rental and ancillary services profit margin | 12.3 | % | 33.3 | % | 8.1 | % | 22.1 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Sales of VOIs, net | $ | 361 | $ | 76 | $ | 630 | $ | 109 | ||||||||||||||||||
Sales, marketing, brand and other fees | 161 | 81 | 280 | 134 | ||||||||||||||||||||||
Financing revenue | 64 | 37 | 128 | 74 | ||||||||||||||||||||||
Real estate sales and financing segment revenues | 586 | 194 | 1,038 | 317 | ||||||||||||||||||||||
Cost of VOI sales | (65) | (21) | (105) | (24) | ||||||||||||||||||||||
Sales and marketing expense, net | (284) | (116) | (527) | (198) | ||||||||||||||||||||||
Financing expense | (22) | (11) | (41) | (24) | ||||||||||||||||||||||
Marketing package stays | (8) | (5) | (15) | (8) | ||||||||||||||||||||||
Share-based compensation | 3 | 2 | 6 | 4 | ||||||||||||||||||||||
Other adjustment items | 8 | 2 | 15 | 5 | ||||||||||||||||||||||
Real estate sales and financing segment adjusted EBITDA | $ | 218 | $ | 45 | $ | 371 | $ | 72 | ||||||||||||||||||
Real estate sales and financing segment adjusted EBITDA profit margin | 37.2 | % | 23.2 | % | 35.7 | % | 22.7 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||||||||||||
Resort and club management revenues | $ | 124 | $ | 48 | $ | 249 | $ | 93 | ||||||||||||||||||
Rental and ancillary services | 171 | 54 | 307 | 86 | ||||||||||||||||||||||
Marketing package stays | 8 | 5 | 15 | 8 | ||||||||||||||||||||||
Resort and club management segment revenue | 303 | 107 | 571 | 187 | ||||||||||||||||||||||
Resort and club management expenses | (37) | (11) | (73) | (19) | ||||||||||||||||||||||
Rental and ancillary services expenses | (150) | (36) | (282) | (67) | ||||||||||||||||||||||
Share-based compensation | 2 | 2 | 3 | 2 | ||||||||||||||||||||||
Other adjustment items | 1 | (1) | 1 | — | ||||||||||||||||||||||
Resort and club segment adjusted EBITDA | $ | 119 | $ | 61 | $ | 220 | $ | 103 | ||||||||||||||||||
Resort and club management segment adjusted EBITDA profit margin | 39.3 | % | 57.0 | % | 38.5 | % | 55.1 | % |
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Cover |
Aug. 09, 2022 |
---|---|
Cover [Abstract] | |
Document Type | 8-K |
Document Period End Date | Aug. 09, 2022 |
Entity Registrant Name | Hilton Grand Vacations Inc. |
Entity Incorporation, State or Country Code | DE |
Entity File Number | 001-37794 |
Entity Tax Identification Number | 81-2545345 |
Entity Address, Address Line One | 6355 MetroWest Boulevard |
Entity Address, Address Line Two | Suite 180 |
Entity Address, City or Town | Orlando |
Entity Address, State or Province | FL |
Entity Address, Postal Zip Code | 32835 |
City Area Code | 407 |
Local Phone Number | 613-3100 |
Written Communications | false |
Soliciting Material | false |
Pre-commencement Tender Offer | false |
Pre-commencement Issuer Tender Offer | false |
Title of 12(b) Security | Common Stock, $0.01 par value per share |
Trading Symbol | HGV |
Security Exchange Name | NYSE |
Entity Emerging Growth Company | false |
Entity Central Index Key | 0001674168 |
Amendment Flag | false |
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