0001628280-22-029168.txt : 20221109 0001628280-22-029168.hdr.sgml : 20221109 20221109144113 ACCESSION NUMBER: 0001628280-22-029168 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 117 CONFORMED PERIOD OF REPORT: 20220930 FILED AS OF DATE: 20221109 DATE AS OF CHANGE: 20221109 FILER: COMPANY DATA: COMPANY CONFORMED NAME: Hilton Grand Vacations Inc. CENTRAL INDEX KEY: 0001674168 STANDARD INDUSTRIAL CLASSIFICATION: HOTELS, ROOMING HOUSE, CAMPS & OTHER LODGING PLACES [7000] IRS NUMBER: 812545345 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-37794 FILM NUMBER: 221372086 BUSINESS ADDRESS: STREET 1: 6355 METROWEST BOULEVARD, SUITE 180 CITY: ORLANDO STATE: FL ZIP: 32835 BUSINESS PHONE: 407-722-3100 MAIL ADDRESS: STREET 1: 6355 METROWEST BOULEVARD, SUITE 180 CITY: ORLANDO STATE: FL ZIP: 32835 10-Q 1 hgv-20220930.htm 10-Q hgv-20220930
000167416812-312022Q3false00016741682022-01-012022-09-3000016741682022-11-04xbrli:shares00016741682022-09-30iso4217:USD00016741682021-12-310001674168us-gaap:VariableInterestEntityPrimaryBeneficiaryMember2022-09-300001674168us-gaap:VariableInterestEntityPrimaryBeneficiaryMember2021-12-31iso4217:USDxbrli:shares0001674168hgv:SalesOfVacationOwnershipIntervalsNetMember2022-07-012022-09-300001674168hgv:SalesOfVacationOwnershipIntervalsNetMember2021-07-012021-09-300001674168hgv:SalesOfVacationOwnershipIntervalsNetMember2022-01-012022-09-300001674168hgv:SalesOfVacationOwnershipIntervalsNetMember2021-01-012021-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMember2022-07-012022-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMember2021-07-012021-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMember2022-01-012022-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMember2021-01-012021-09-300001674168hgv:FinancingMember2022-07-012022-09-300001674168hgv:FinancingMember2021-07-012021-09-300001674168hgv:FinancingMember2022-01-012022-09-300001674168hgv:FinancingMember2021-01-012021-09-300001674168hgv:ResortAndClubManagementMember2022-07-012022-09-300001674168hgv:ResortAndClubManagementMember2021-07-012021-09-300001674168hgv:ResortAndClubManagementMember2022-01-012022-09-300001674168hgv:ResortAndClubManagementMember2021-01-012021-09-300001674168hgv:RentalAndAncillaryServiceMember2022-07-012022-09-300001674168hgv:RentalAndAncillaryServiceMember2021-07-012021-09-300001674168hgv:RentalAndAncillaryServiceMember2022-01-012022-09-300001674168hgv:RentalAndAncillaryServiceMember2021-01-012021-09-300001674168hgv:CostReimbursementsMember2022-07-012022-09-300001674168hgv:CostReimbursementsMember2021-07-012021-09-300001674168hgv:CostReimbursementsMember2022-01-012022-09-300001674168hgv:CostReimbursementsMember2021-01-012021-09-3000016741682022-07-012022-09-3000016741682021-07-012021-09-3000016741682021-01-012021-09-300001674168hgv:CostOfVacationOwnershipIntervalsSalesMember2022-07-012022-09-300001674168hgv:CostOfVacationOwnershipIntervalsSalesMember2021-07-012021-09-300001674168hgv:CostOfVacationOwnershipIntervalsSalesMember2022-01-012022-09-300001674168hgv:CostOfVacationOwnershipIntervalsSalesMember2021-01-012021-09-300001674168hgv:SalesAndMarketingMember2022-07-012022-09-300001674168hgv:SalesAndMarketingMember2021-07-012021-09-300001674168hgv:SalesAndMarketingMember2022-01-012022-09-300001674168hgv:SalesAndMarketingMember2021-01-012021-09-300001674168hgv:AcquisitionAndIntegrationRelatedExpenseMember2022-07-012022-09-300001674168hgv:AcquisitionAndIntegrationRelatedExpenseMember2021-07-012021-09-300001674168hgv:AcquisitionAndIntegrationRelatedExpenseMember2022-01-012022-09-300001674168hgv:AcquisitionAndIntegrationRelatedExpenseMember2021-01-012021-09-300001674168us-gaap:LicenseMember2022-07-012022-09-300001674168us-gaap:LicenseMember2021-07-012021-09-300001674168us-gaap:LicenseMember2022-01-012022-09-300001674168us-gaap:LicenseMember2021-01-012021-09-3000016741682020-12-3100016741682021-09-300001674168us-gaap:CommonStockMember2021-12-310001674168us-gaap:AdditionalPaidInCapitalMember2021-12-310001674168us-gaap:RetainedEarningsMember2021-12-310001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-12-310001674168us-gaap:RetainedEarningsMember2022-01-012022-03-3100016741682022-01-012022-03-310001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-01-012022-03-310001674168us-gaap:AdditionalPaidInCapitalMember2022-01-012022-03-310001674168us-gaap:CommonStockMember2022-03-310001674168us-gaap:AdditionalPaidInCapitalMember2022-03-310001674168us-gaap:RetainedEarningsMember2022-03-310001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-03-3100016741682022-03-310001674168us-gaap:RetainedEarningsMember2022-04-012022-06-3000016741682022-04-012022-06-300001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-04-012022-06-300001674168us-gaap:AdditionalPaidInCapitalMember2022-04-012022-06-300001674168us-gaap:CommonStockMember2022-04-012022-06-300001674168us-gaap:CommonStockMember2022-06-300001674168us-gaap:AdditionalPaidInCapitalMember2022-06-300001674168us-gaap:RetainedEarningsMember2022-06-300001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-06-3000016741682022-06-300001674168us-gaap:RetainedEarningsMember2022-07-012022-09-300001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-07-012022-09-300001674168us-gaap:AdditionalPaidInCapitalMember2022-07-012022-09-300001674168us-gaap:CommonStockMember2022-07-012022-09-300001674168us-gaap:CommonStockMember2022-09-300001674168us-gaap:AdditionalPaidInCapitalMember2022-09-300001674168us-gaap:RetainedEarningsMember2022-09-300001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-09-300001674168us-gaap:CommonStockMember2020-12-310001674168us-gaap:AdditionalPaidInCapitalMember2020-12-310001674168us-gaap:RetainedEarningsMember2020-12-310001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-12-310001674168us-gaap:RetainedEarningsMember2021-01-012021-03-3100016741682021-01-012021-03-310001674168us-gaap:AdditionalPaidInCapitalMember2021-01-012021-03-310001674168us-gaap:CommonStockMember2021-03-310001674168us-gaap:AdditionalPaidInCapitalMember2021-03-310001674168us-gaap:RetainedEarningsMember2021-03-310001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-03-3100016741682021-03-310001674168us-gaap:RetainedEarningsMember2021-04-012021-06-3000016741682021-04-012021-06-300001674168us-gaap:CommonStockMember2021-04-012021-06-300001674168us-gaap:AdditionalPaidInCapitalMember2021-04-012021-06-300001674168us-gaap:CommonStockMember2021-06-300001674168us-gaap:AdditionalPaidInCapitalMember2021-06-300001674168us-gaap:RetainedEarningsMember2021-06-300001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-06-3000016741682021-06-300001674168us-gaap:RetainedEarningsMember2021-07-012021-09-300001674168us-gaap:CommonStockMember2021-07-012021-09-300001674168us-gaap:AdditionalPaidInCapitalMember2021-07-012021-09-300001674168us-gaap:CommonStockMember2021-09-300001674168us-gaap:AdditionalPaidInCapitalMember2021-09-300001674168us-gaap:RetainedEarningsMember2021-09-300001674168us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-09-30hgv:Property0001674168hgv:DakotaHoldingsIncMember2021-08-02xbrli:pure0001674168hgv:DiamondAcquisitionMember2021-08-020001674168hgv:DakotaHoldingsIncMember2022-09-300001674168hgv:DiamondAcquisitionMemberus-gaap:CommonStockMember2021-08-020001674168hgv:ApolloMemberhgv:DiamondAcquisitionMember2021-08-020001674168hgv:DiamondAcquisitionMemberus-gaap:CommonStockMember2021-08-022021-08-020001674168hgv:DiamondAcquisitionMember2021-08-022021-08-020001674168hgv:DiamondAcquisitionMemberus-gaap:TradeNamesMember2022-09-300001674168hgv:DiamondAcquisitionMemberus-gaap:TradeNamesMember2022-01-012022-09-300001674168us-gaap:ContractBasedIntangibleAssetsMemberhgv:DiamondAcquisitionMember2022-09-300001674168us-gaap:ContractBasedIntangibleAssetsMemberhgv:DiamondAcquisitionMember2022-01-012022-09-300001674168hgv:DiamondAcquisitionMemberhgv:ClubMemberRelationshipsMember2022-09-300001674168hgv:DiamondAcquisitionMemberhgv:ClubMemberRelationshipsMember2022-01-012022-09-300001674168us-gaap:ComputerSoftwareIntangibleAssetMemberhgv:DiamondAcquisitionMember2022-09-300001674168us-gaap:ComputerSoftwareIntangibleAssetMemberhgv:DiamondAcquisitionMember2022-01-012022-09-300001674168hgv:DiamondAcquisitionMember2022-09-300001674168hgv:RealEstateSalesAndFinancingSegmentMember2022-09-300001674168hgv:ResortOperationsAndClubManagementSegmentMember2022-09-300001674168hgv:DiamondAcquisitionMember2021-01-012021-09-30hgv:Segment0001674168hgv:SalesOfVacationOwnershipIntervalsNetMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-07-012022-09-300001674168hgv:SalesOfVacationOwnershipIntervalsNetMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-07-012021-09-300001674168hgv:SalesOfVacationOwnershipIntervalsNetMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-01-012022-09-300001674168hgv:SalesOfVacationOwnershipIntervalsNetMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-01-012021-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-07-012022-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-07-012021-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-01-012022-09-300001674168hgv:SalesMarketingBrandAndOtherFeesMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-01-012021-09-300001674168hgv:InterestIncomeRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-07-012022-09-300001674168hgv:InterestIncomeRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-07-012021-09-300001674168hgv:InterestIncomeRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-01-012022-09-300001674168hgv:InterestIncomeRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-01-012021-09-300001674168hgv:OtherFinancingRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-07-012022-09-300001674168hgv:OtherFinancingRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-07-012021-09-300001674168hgv:OtherFinancingRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-01-012022-09-300001674168hgv:OtherFinancingRevenueMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-01-012021-09-300001674168hgv:RealEstateSalesAndFinancingSegmentMember2022-07-012022-09-300001674168hgv:RealEstateSalesAndFinancingSegmentMember2021-07-012021-09-300001674168hgv:RealEstateSalesAndFinancingSegmentMember2022-01-012022-09-300001674168hgv:RealEstateSalesAndFinancingSegmentMember2021-01-012021-09-300001674168hgv:ClubManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-07-012022-09-300001674168hgv:ClubManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-07-012021-09-300001674168hgv:ClubManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-01-012022-09-300001674168hgv:ClubManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-01-012021-09-300001674168hgv:ResortManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-07-012022-09-300001674168hgv:ResortManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-07-012021-09-300001674168hgv:ResortManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-01-012022-09-300001674168hgv:ResortManagementMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-01-012021-09-300001674168hgv:RentalMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-07-012022-09-300001674168hgv:RentalMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-07-012021-09-300001674168hgv:RentalMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-01-012022-09-300001674168hgv:RentalMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-01-012021-09-300001674168hgv:AncillaryServicesMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-07-012022-09-300001674168hgv:AncillaryServicesMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-07-012021-09-300001674168hgv:AncillaryServicesMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-01-012022-09-300001674168hgv:AncillaryServicesMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-01-012021-09-300001674168hgv:ResortOperationsAndClubManagementSegmentMember2022-07-012022-09-300001674168hgv:ResortOperationsAndClubManagementSegmentMember2021-07-012021-09-300001674168hgv:ResortOperationsAndClubManagementSegmentMember2022-01-012022-09-300001674168hgv:ResortOperationsAndClubManagementSegmentMember2021-01-012021-09-300001674168us-gaap:AccountsReceivableMember2022-09-300001674168us-gaap:AccountsReceivableMember2021-12-310001674168hgv:AdvanceDepositsLiabilitiesMember2022-09-300001674168hgv:AdvanceDepositsLiabilitiesMember2021-12-310001674168hgv:DeferredSalesOfVOIsOfProjectsUnderConstructionMember2022-09-300001674168hgv:DeferredSalesOfVOIsOfProjectsUnderConstructionMember2021-12-310001674168hgv:ClubActivationFeesAnnualDuesAndOtherMember2022-09-300001674168hgv:ClubActivationFeesAnnualDuesAndOtherMember2021-12-310001674168hgv:ClubBonusPointIncentiveLiabilityMember2022-09-300001674168hgv:ClubBonusPointIncentiveLiabilityMember2021-12-310001674168hgv:SalesOfVacationOwnershipIntervalsMember2022-09-300001674168hgv:SalesOfVacationOwnershipIntervalsMember2021-12-3100016741682021-01-012021-12-310001674168hgv:SalesOfVacationOwnershipIntervalsMember2022-01-012022-09-300001674168hgv:SalesOfVacationOwnershipIntervalsMember2021-01-012021-12-310001674168hgv:AdvancedDepositsMember2022-01-012022-09-300001674168hgv:ClubActivationFeesMember2022-01-012022-09-300001674168hgv:ClubBonusPointsMember2022-01-012022-09-300001674168hgv:ClubBonusPointsMembersrt:MinimumMember2022-01-012022-09-300001674168hgv:ClubBonusPointsMembersrt:MaximumMember2022-01-012022-09-300001674168hgv:EscrowDepositMember2022-09-300001674168hgv:EscrowDepositMember2021-12-310001674168hgv:DepositoryAccountReservesMember2022-09-300001674168hgv:DepositoryAccountReservesMember2021-12-310001674168hgv:OtherMember2022-09-300001674168hgv:OtherMember2021-12-310001674168hgv:FeesForServiceCommissionsMember2022-09-300001674168hgv:FeesForServiceCommissionsMember2021-12-310001674168hgv:RealEstateSalesAndFinancingSegmentMember2021-12-310001674168hgv:ResortAndClubManagementMember2022-09-300001674168hgv:ResortAndClubManagementMember2021-12-310001674168hgv:TaxReceivablesMember2022-09-300001674168hgv:TaxReceivablesMember2021-12-310001674168hgv:InsuranceClaimsReceivableMember2022-09-300001674168hgv:InsuranceClaimsReceivableMember2021-12-310001674168hgv:OtherReceivablesMember2022-09-300001674168hgv:OtherReceivablesMember2021-12-310001674168hgv:FeesForServiceCommissionsMember2021-12-310001674168hgv:FeesForServiceCommissionsMember2022-01-012022-09-300001674168hgv:FeesForServiceCommissionsMember2022-09-300001674168hgv:SecuritizedTimeshareFinancingReceivableMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:SecuritizedTimeshareFinancingReceivableMemberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:FinancialAssetAcquiredMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:UnsecuritizedTimeshareFinancingReceivableMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:UnsecuritizedTimeshareFinancingReceivableMemberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:FinancialAssetAcquiredMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:FinancialAssetOriginatedMember2022-09-300001674168us-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:FinancialAssetAcquiredMember2022-09-300001674168hgv:FinancialAssetAcquiredMember2021-12-310001674168hgv:TimeshareFacilityMember2022-08-310001674168hgv:A430TimeshareFacilityMember2022-08-310001674168hgv:A474TimeshareFacilityMember2022-08-310001674168hgv:A557TimeshareFacilityMember2022-08-310001674168hgv:A873TimeshareFacilityMember2022-08-310001674168hgv:TimeshareFacilityMember2022-04-300001674168hgv:A361TimeshareFacilityMember2022-04-300001674168hgv:A410TimeshareFacilityMember2022-04-300001674168hgv:A469TimeshareFacilityMember2022-04-300001674168hgv:A679TimeshareFacilityMember2022-04-300001674168us-gaap:AssetPledgedAsCollateralMemberus-gaap:SecuredDebtMember2022-09-300001674168us-gaap:AssetPledgedAsCollateralMemberus-gaap:SecuredDebtMember2021-12-310001674168srt:MinimumMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168srt:MaximumMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168us-gaap:FinancialAssetOriginatedMember2022-01-012022-09-300001674168hgv:FinancialAssetAcquiredMembersrt:MinimumMember2022-09-300001674168srt:MaximumMemberhgv:FinancialAssetAcquiredMember2022-09-300001674168hgv:FinancialAssetAcquiredMember2022-01-012022-09-300001674168us-gaap:FinancialAssetOriginatedMember2020-12-310001674168hgv:FinancialAssetAcquiredMember2020-12-310001674168us-gaap:FinancialAssetOriginatedMember2021-01-012021-09-300001674168hgv:FinancialAssetAcquiredMember2021-01-012021-09-300001674168us-gaap:FinancialAssetOriginatedMember2021-09-300001674168hgv:FinancialAssetAcquiredMember2021-09-300001674168us-gaap:FicoScoreGreaterThan700Memberhgv:LegacyHgvMember2022-09-300001674168us-gaap:FicoScoreGreaterThan700Memberhgv:LegacyHgvMember2021-12-310001674168hgv:LegacyHgvMemberus-gaap:FicoScore600To699Member2022-09-300001674168hgv:LegacyHgvMemberus-gaap:FicoScore600To699Member2021-12-310001674168hgv:LegacyHgvMemberhgv:FicoScoreLessThan600Member2022-09-300001674168hgv:LegacyHgvMemberhgv:FicoScoreLessThan600Member2021-12-310001674168hgv:LegacyHgvMemberhgv:FicoScoreNoScoreMember2022-09-300001674168hgv:LegacyHgvMemberhgv:FicoScoreNoScoreMember2021-12-310001674168hgv:LegacyHgvMember2022-09-300001674168hgv:LegacyHgvMember2021-12-310001674168us-gaap:FicoScoreGreaterThan700Memberhgv:LegacyHgvMember2022-09-300001674168hgv:LegacyHgvMemberus-gaap:FicoScore600To699Member2022-09-300001674168hgv:LegacyHgvMemberhgv:FicoScoreLessThan600Member2022-09-300001674168hgv:LegacyHgvMemberhgv:FicoScoreNoScoreMember2022-09-300001674168hgv:LegacyHgvMember2022-09-300001674168hgv:LegacyHgvMember2021-12-310001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyHgvMember2022-09-300001674168hgv:LegacyHgvMemberhgv:FinancingReceivables31To90DaysPastDueMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMemberhgv:FinancingReceivables31To90DaysPastDueMember2022-09-300001674168hgv:LegacyHgvMemberhgv:FinancingReceivables31To90DaysPastDueMember2022-09-300001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyHgvMember2022-09-300001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyHgvMember2022-09-300001674168hgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyHgvMember2021-12-310001674168hgv:LegacyHgvMemberhgv:FinancingReceivables31To90DaysPastDueMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMemberhgv:FinancingReceivables31To90DaysPastDueMember2021-12-310001674168hgv:LegacyHgvMemberhgv:FinancingReceivables31To90DaysPastDueMember2021-12-310001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyHgvMember2021-12-310001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyHgvMember2021-12-310001674168hgv:LegacyHgvMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:LegacyHgvMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:FicoScoreGreaterThan700Memberhgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMember2022-09-300001674168us-gaap:FicoScoreGreaterThan700Memberhgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMember2021-12-310001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMemberus-gaap:FicoScore600To699Member2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMemberus-gaap:FicoScore600To699Member2021-12-310001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMemberhgv:FicoScoreLessThan600Member2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMemberhgv:FicoScoreLessThan600Member2021-12-310001674168hgv:FinancialAssetAcquiredMemberhgv:FicoScoreNoScoreMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:FicoScoreNoScoreMemberhgv:LegacyDiamondMember2021-12-310001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMember2021-12-310001674168us-gaap:FicoScoreGreaterThan700Memberhgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168us-gaap:FicoScoreGreaterThan700Memberhgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:LegacyDiamondMemberus-gaap:FicoScore600To699Memberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMemberus-gaap:FicoScore600To699Memberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:LegacyDiamondMemberhgv:FicoScoreLessThan600Memberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:FicoScoreLessThan600Memberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:FicoScoreNoScoreMemberhgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:FicoScoreNoScoreMemberhgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168hgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2021-12-310001674168us-gaap:FicoScoreGreaterThan700Memberhgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMemberus-gaap:FicoScore600To699Member2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMemberhgv:FicoScoreLessThan600Member2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:FicoScoreNoScoreMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:FinancialAssetAcquiredMemberhgv:LegacyDiamondMember2022-09-300001674168us-gaap:FicoScoreGreaterThan700Memberhgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMemberus-gaap:FicoScore600To699Memberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:FicoScoreLessThan600Memberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:FicoScoreNoScoreMemberhgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMemberus-gaap:FinancialAssetOriginatedMember2022-09-300001674168hgv:LegacyDiamondMember2022-09-300001674168hgv:LegacyDiamondMember2021-12-310001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:FinancingReceivables31To90DaysPastDueMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMemberhgv:FinancingReceivables31To90DaysPastDueMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:FinancingReceivables31To90DaysPastDueMember2022-09-300001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyDiamondMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2022-09-300001674168hgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2022-09-300001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:FinancialAssetNotPastDueMemberhgv:LegacyDiamondMember2021-12-310001674168hgv:LegacyDiamondMemberhgv:FinancingReceivables31To90DaysPastDueMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMemberhgv:FinancingReceivables31To90DaysPastDueMember2021-12-310001674168hgv:LegacyDiamondMemberhgv:FinancingReceivables31To90DaysPastDueMember2021-12-310001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivables91To120DaysPastDueMemberhgv:LegacyDiamondMember2021-12-310001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:FinancingReceivablesEqualToOrGreaterThan121DaysPastDueMemberhgv:LegacyDiamondMember2021-12-310001674168hgv:LegacyDiamondMemberhgv:SecuritizedTimeshareFinancingReceivableMember2021-12-310001674168hgv:LegacyDiamondMemberhgv:UnsecuritizedTimeshareFinancingReceivableMember2021-12-310001674168us-gaap:TimeShareMember2022-01-012022-09-300001674168us-gaap:TimeShareMember2021-01-012021-09-300001674168hgv:FeeForServiceUpgradesMember2022-07-012022-09-300001674168hgv:FeeForServiceUpgradesMember2021-07-012021-09-300001674168hgv:FeeForServiceUpgradesMember2022-01-012022-09-300001674168hgv:FeeForServiceUpgradesMember2021-01-012021-09-300001674168us-gaap:LandMember2022-09-300001674168us-gaap:LandMember2021-12-310001674168hgv:BuildingAndLeaseholdImprovementsMember2022-09-300001674168hgv:BuildingAndLeaseholdImprovementsMember2021-12-310001674168us-gaap:FurnitureAndFixturesMember2022-09-300001674168us-gaap:FurnitureAndFixturesMember2021-12-310001674168us-gaap:ConstructionInProgressMember2022-09-300001674168us-gaap:ConstructionInProgressMember2021-12-310001674168us-gaap:LandMember2021-01-012021-12-310001674168us-gaap:LandMember2022-04-012022-06-30hgv:entity0001674168hgv:RestrictedCashMemberus-gaap:VariableInterestEntityPrimaryBeneficiaryMember2022-09-300001674168hgv:RestrictedCashMemberus-gaap:VariableInterestEntityPrimaryBeneficiaryMember2021-12-310001674168us-gaap:VariableInterestEntityPrimaryBeneficiaryMemberhgv:FinancingReceivableNetMember2022-09-300001674168us-gaap:VariableInterestEntityPrimaryBeneficiaryMemberhgv:FinancingReceivableNetMember2021-12-310001674168us-gaap:VariableInterestEntityPrimaryBeneficiaryMemberhgv:SecuredDebtLiabilityMember2022-09-300001674168us-gaap:VariableInterestEntityPrimaryBeneficiaryMemberhgv:SecuredDebtLiabilityMember2021-12-310001674168hgv:BREAceLimitedLiabilityCompanyMember2022-09-300001674168hgv:OneSevenSevenSixHoldingLimitedLiabilityCompanyMember2022-09-30hgv:Affiliate0001674168hgv:BREAceLimitedLiabilityCompanyAndOneSevenSevenSixHoldingLimitedLiabilityCompanyMember2022-09-300001674168hgv:BREAceLimitedLiabilityCompanyAndOneSevenSevenSixHoldingLimitedLiabilityCompanyMember2021-12-310001674168us-gaap:TradeNamesMember2022-09-300001674168hgv:ManagementContractsMember2022-09-300001674168hgv:ClubMemberRelationshipsMember2022-09-300001674168hgv:CapitalizedSoftwareMember2022-09-300001674168us-gaap:TradeNamesMember2021-12-310001674168hgv:ManagementContractsMember2021-12-310001674168hgv:ClubMemberRelationshipsMember2021-12-310001674168hgv:CapitalizedSoftwareMember2021-12-310001674168hgv:DiamondAcquisitionMember2022-01-012022-09-300001674168hgv:TermLoansDue2023Memberus-gaap:LineOfCreditMember2022-09-300001674168hgv:TermLoansDue2023Memberus-gaap:LineOfCreditMember2021-12-310001674168us-gaap:LineOfCreditMemberhgv:RevolverLoansDue2026Member2022-09-300001674168us-gaap:RevolvingCreditFacilityMemberhgv:RevolverLoansDue2026Member2022-09-300001674168us-gaap:RevolvingCreditFacilityMemberhgv:RevolverLoansDue2026Member2021-12-310001674168us-gaap:SeniorNotesMemberhgv:SeniorNotesDue2029Member2022-09-300001674168us-gaap:SeniorNotesMemberhgv:SeniorNotesDue2029Member2021-12-310001674168us-gaap:SeniorNotesMemberhgv:SeniorNotesDue2031Member2022-09-300001674168us-gaap:SeniorNotesMemberhgv:SeniorNotesDue2031Member2021-12-310001674168us-gaap:SeniorNotesMemberhgv:OtherDebtMember2022-09-300001674168us-gaap:SeniorNotesMemberhgv:OtherDebtMember2021-12-310001674168hgv:SeniorNotesAndOtherDebtMember2022-09-300001674168hgv:SeniorNotesAndOtherDebtMember2021-12-310001674168us-gaap:LineOfCreditMember2022-09-300001674168us-gaap:SeniorNotesMember2022-09-300001674168us-gaap:LineOfCreditMember2021-12-310001674168us-gaap:SeniorNotesMember2021-12-310001674168us-gaap:RevolvingCreditFacilityMember2022-09-300001674168us-gaap:RevolvingCreditFacilityMember2021-12-310001674168hgv:SeniorSecuredCreditFacilitiesMemberus-gaap:RevolvingCreditFacilityMember2022-01-012022-09-300001674168hgv:SeniorSecuredCreditFacilitiesMemberus-gaap:RevolvingCreditFacilityMember2022-09-300001674168hgv:CashCollateralSecuredCreditFacilitiesMember2022-09-300001674168us-gaap:LondonInterbankOfferedRateLIBORMemberhgv:TermLoanMember2022-09-300001674168hgv:NetUnrealizedGainOnDerivativeInstrumentsMember2021-12-310001674168hgv:NetUnrealizedGainOnDerivativeInstrumentsMember2022-01-012022-09-300001674168hgv:NetUnrealizedGainOnDerivativeInstrumentsMember2022-09-300001674168us-gaap:SecuredDebtMemberhgv:TimeshareFacilityDue2023Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:TimeshareFacilityDue2023Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:TimeshareFacilityDue2023Member2021-12-310001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2028WithWeightedAverageRateOf2711Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2028WithWeightedAverageRateOf2711Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2028WithWeightedAverageRateOf2711Member2021-12-310001674168hgv:SecuritizedDebtDue2032WithWeightedAverageRateOf3602Memberus-gaap:SecuredDebtMember2022-01-012022-09-300001674168hgv:SecuritizedDebtDue2032WithWeightedAverageRateOf3602Memberus-gaap:SecuredDebtMember2022-09-300001674168hgv:SecuritizedDebtDue2032WithWeightedAverageRateOf3602Memberus-gaap:SecuredDebtMember2021-12-310001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2033WithWeightedAverageRateOf2431Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2033WithWeightedAverageRateOf2431Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2033WithWeightedAverageRateOf2431Member2021-12-310001674168us-gaap:SecuredDebtMemberhgv:HGVSecuritizedDebtWithAWeightedAverageRateOf4304Due2034Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:HGVSecuritizedDebtWithAWeightedAverageRateOf4304Due2034Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:HGVSecuritizedDebtWithAWeightedAverageRateOf4304Due2034Member2021-12-310001674168hgv:HGVSecuritizedDebtWeightedAverageRateOf4826Due2037Memberus-gaap:SecuredDebtMember2022-01-012022-09-300001674168hgv:HGVSecuritizedDebtWeightedAverageRateOf4826Due2037Memberus-gaap:SecuredDebtMember2022-09-300001674168hgv:HGVSecuritizedDebtWeightedAverageRateOf4826Due2037Memberus-gaap:SecuredDebtMember2021-12-310001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2039WithWeightedAverageRateOf3658Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2039WithWeightedAverageRateOf3658Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:SecuritizedDebtDue2039WithWeightedAverageRateOf3658Member2021-12-310001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsPremiumYieldFacilityDue2031Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsPremiumYieldFacilityDue2031Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsPremiumYieldFacilityDue2031Member2021-12-310001674168hgv:DiamondResortsConduitFacilityWithAnAverageRateOf2250Due2023Memberus-gaap:SecuredDebtMember2022-01-012022-09-300001674168hgv:DiamondResortsConduitFacilityWithAnAverageRateOf2250Due2023Memberus-gaap:SecuredDebtMember2022-09-300001674168hgv:DiamondResortsConduitFacilityWithAnAverageRateOf2250Due2023Memberus-gaap:SecuredDebtMember2021-12-310001674168hgv:DiamondResortsConduitFacilityWithAnAverageRateOf3000Due2024Memberus-gaap:SecuredDebtMember2022-01-012022-09-300001674168hgv:DiamondResortsConduitFacilityWithAnAverageRateOf3000Due2024Memberus-gaap:SecuredDebtMember2022-09-300001674168hgv:DiamondResortsConduitFacilityWithAnAverageRateOf3000Due2024Memberus-gaap:SecuredDebtMember2021-12-310001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2017Due2029Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2017Due2029Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2017Due2029Member2021-12-310001674168hgv:DiamondResortsOwnerTrust2018Due2031Memberus-gaap:SecuredDebtMember2022-01-012022-09-300001674168hgv:DiamondResortsOwnerTrust2018Due2031Memberus-gaap:SecuredDebtMember2022-09-300001674168hgv:DiamondResortsOwnerTrust2018Due2031Memberus-gaap:SecuredDebtMember2021-12-310001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2019Due2032Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2019Due2032Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2019Due2032Member2021-12-310001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2021Due2032Member2022-01-012022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2021Due2032Member2022-09-300001674168us-gaap:SecuredDebtMemberhgv:DiamondResortsOwnerTrust2021Due2032Member2021-12-310001674168us-gaap:SecuredDebtMember2022-09-300001674168us-gaap:SecuredDebtMember2021-12-310001674168us-gaap:SecuredDebtMember2022-01-012022-09-300001674168us-gaap:SecuredDebtMember2021-01-012021-12-310001674168us-gaap:SeniorNotesMemberhgv:TimeshareFacilityDue2022Member2022-09-300001674168us-gaap:SeniorNotesMemberhgv:TimeshareFacilityDue2022Member2021-12-310001674168hgv:TimeshareFacilityMember2022-04-012022-04-300001674168hgv:TimeshareFacilityMember2022-05-310001674168us-gaap:DebtMember2022-09-300001674168hgv:NonRecourseDebtMember2022-09-300001674168hgv:NotesPayableLineofCreditandSecuredDebtMember2022-09-300001674168us-gaap:CarryingReportedAmountFairValueDisclosureMember2022-09-300001674168us-gaap:FairValueInputsLevel1Member2022-09-300001674168us-gaap:FairValueInputsLevel3Member2022-09-300001674168us-gaap:CarryingReportedAmountFairValueDisclosureMember2021-12-310001674168us-gaap:FairValueInputsLevel1Member2021-12-310001674168us-gaap:FairValueInputsLevel3Member2021-12-310001674168us-gaap:RestrictedStockUnitsRSUMember2022-01-012022-09-300001674168us-gaap:EmployeeStockOptionMember2022-01-012022-09-300001674168us-gaap:PerformanceSharesMember2022-01-012022-09-300001674168us-gaap:ShareBasedCompensationAwardTrancheOneMemberus-gaap:PerformanceSharesMember2022-01-012022-09-300001674168us-gaap:ShareBasedCompensationAwardTrancheTwoMemberus-gaap:PerformanceSharesMember2022-01-012022-09-300001674168hgv:HiltonGrandVacationsIncEmployeeStockPurchasePlanMember2022-01-012022-09-300001674168hgv:HiltonGrandVacationsIncEmployeeStockPurchasePlanMember2021-01-012021-09-300001674168hgv:HiltonGrandVacationsIncEmployeeStockPurchasePlanMember2022-07-012022-09-300001674168hgv:HiltonGrandVacationsIncEmployeeStockPurchasePlanMember2021-07-012021-09-300001674168us-gaap:StockCompensationPlanMember2022-07-012022-09-300001674168us-gaap:StockCompensationPlanMember2022-01-012022-09-300001674168us-gaap:StockCompensationPlanMember2021-07-012021-09-300001674168us-gaap:StockCompensationPlanMember2021-01-012021-09-300001674168hgv:BREAceLimitedLiabilityCompanyMember2022-07-012022-09-300001674168hgv:BREAceLimitedLiabilityCompanyMember2021-07-012021-09-300001674168hgv:BREAceLimitedLiabilityCompanyMember2022-01-012022-09-300001674168hgv:BREAceLimitedLiabilityCompanyMember2021-01-012021-09-300001674168us-gaap:OperatingSegmentsMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-07-012022-09-300001674168us-gaap:OperatingSegmentsMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-07-012021-09-300001674168us-gaap:OperatingSegmentsMemberhgv:RealEstateSalesAndFinancingSegmentMember2022-01-012022-09-300001674168us-gaap:OperatingSegmentsMemberhgv:RealEstateSalesAndFinancingSegmentMember2021-01-012021-09-300001674168us-gaap:OperatingSegmentsMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-07-012022-09-300001674168us-gaap:OperatingSegmentsMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-07-012021-09-300001674168us-gaap:OperatingSegmentsMemberhgv:ResortOperationsAndClubManagementSegmentMember2022-01-012022-09-300001674168us-gaap:OperatingSegmentsMemberhgv:ResortOperationsAndClubManagementSegmentMember2021-01-012021-09-300001674168us-gaap:OperatingSegmentsMember2022-07-012022-09-300001674168us-gaap:OperatingSegmentsMember2021-07-012021-09-300001674168us-gaap:OperatingSegmentsMember2022-01-012022-09-300001674168us-gaap:OperatingSegmentsMember2021-01-012021-09-300001674168us-gaap:MaterialReconcilingItemsMember2022-07-012022-09-300001674168us-gaap:MaterialReconcilingItemsMember2021-07-012021-09-300001674168us-gaap:MaterialReconcilingItemsMember2022-01-012022-09-300001674168us-gaap:MaterialReconcilingItemsMember2021-01-012021-09-300001674168us-gaap:IntersegmentEliminationMember2022-07-012022-09-300001674168us-gaap:IntersegmentEliminationMember2021-07-012021-09-300001674168us-gaap:IntersegmentEliminationMember2022-01-012022-09-300001674168us-gaap:IntersegmentEliminationMember2021-01-012021-09-300001674168hgv:BillingAndCollectionServicesMemberus-gaap:IntersegmentEliminationMember2022-07-012022-09-300001674168hgv:BillingAndCollectionServicesMemberus-gaap:IntersegmentEliminationMember2021-07-012021-09-300001674168hgv:BillingAndCollectionServicesMemberus-gaap:IntersegmentEliminationMember2022-01-012022-09-300001674168hgv:BillingAndCollectionServicesMemberus-gaap:IntersegmentEliminationMember2021-01-012021-09-300001674168srt:MaximumMemberus-gaap:IntersegmentEliminationMember2021-01-012021-09-300001674168srt:MaximumMemberus-gaap:IntersegmentEliminationMember2021-07-012021-09-300001674168us-gaap:InventoriesMember2022-01-012022-09-300001674168hgv:OtherCommitmentsMember2022-01-012022-09-300001674168us-gaap:InventoriesMember2021-01-012021-09-300001674168us-gaap:InventoriesMember2022-09-300001674168hgv:OtherCommitmentsMember2022-09-300001674168hgv:DiamondAcquisitionMember2022-03-012022-03-310001674168us-gaap:InsuranceClaimsMember2022-09-300001674168us-gaap:InsuranceClaimsMember2022-07-012022-09-300001674168us-gaap:InsuranceClaimsMember2022-01-012022-09-30
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
____________________________________________
FORM 10-Q
____________________________________________
(Mark One)
x    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 2022
or
o    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from_________ to ________
Commission file number 001-37794
____________________________________________
Hilton Grand Vacations Inc.
(Exact Name of Registrant as Specified in Its Charter)
____________________________________________
Delaware81-2545345
(State or Other Jurisdiction of
Incorporation or Organization)
(I.R.S. Employer
Identification No.)
6355 MetroWest Boulevard, Suite 180,
Orlando, Florida
32835
(Address of Principal Executive Offices)(Zip Code)
Registrant’s Telephone Number, Including Area Code (407) 613-3100
(Former Name, Former Address, and Former Fiscal Year, if Changed Since Last Report)
____________________________________________
Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, $0.01 par value per shareHGVNew York Stock Exchange
Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirement for the past 90 days. Yes x No o
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No o
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large Accelerated FilerxAccelerated Filero
Non-Accelerated FileroSmaller Reporting Companyo
Emerging Growth Companyo
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). o Yes x No
The number of shares outstanding of the registrant’s common stock, par value $0.01 per share, as of November 4, 2022 was 115,057,769.


HILTON GRAND VACATIONS INC.
FORM 10-Q TABLE OF CONTENTS


PART I FINANCIAL INFORMATION
Item 1.    Financial Statements
HILTON GRAND VACATIONS INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in millions, except share data)
September 30,
2022
December 31,
2021
(unaudited)
ASSETS
Cash and cash equivalents$425 $432 
Restricted cash319 263 
Accounts receivable, net of allowance for doubtful accounts of $40 and $39
398 302 
Timeshare financing receivables, net1,743 1,747 
Inventory1,145 1,240 
Property and equipment, net776 756 
Operating lease right-of-use assets, net56 70 
Investments in unconsolidated affiliates69 59 
Goodwill1,416 1,377 
Intangible assets, net1,318 1,441 
Land and infrastructure held for sale 41 
Other assets381 280 
TOTAL ASSETS (variable interest entities - $974 and $1,100)
$8,046 $8,008 
LIABILITIES AND EQUITY  
Accounts payable, accrued expenses and other$978 $673 
Advanced deposits138 112 
Debt, net2,612 2,913 
Non-recourse debt, net1,161 1,328 
Operating lease liabilities74 87 
Deferred revenues223 237 
Deferred income tax liabilities703 670 
Total liabilities (variable interest entities - $1,171 and $1,199)
5,889 6,020 
Commitments and contingencies - see Note 21  
Equity:  
Preferred stock, $0.01 par value; 300,000,000 authorized shares, none issued or outstanding as of September 30, 2022 and December 31, 2021
  
Common stock, $0.01 par value; 3,000,000,000 authorized shares, 116,387,235 shares issued and outstanding as of September 30, 2022 and 119,904,001 shares issued and outstanding as of December 31, 2021
1 1 
Additional paid-in capital1,607 1,630 
Accumulated retained earnings517 357 
Accumulated other comprehensive income32  
Total equity2,157 1,988 
TOTAL LIABILITIES AND EQUITY$8,046 $8,008 
See notes to unaudited condensed consolidated financial statements.
1

HILTON GRAND VACATIONS INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED)
(in millions, except per share amounts)
Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Revenues
Sales of VOIs, net$500 $488 $1,130 $597 
Sales, marketing, brand and other fees177 118 457 252 
Financing68 53 196 127 
Resort and club management130 99 379 192 
Rental and ancillary services159 112 466 198 
Cost reimbursements82 58 215 131 
Total revenues1,116 928 2,843 1,497 
Expenses
Cost of VOI sales102 130 207 154 
Sales and marketing322 234 849 432 
Financing25 19 66 43 
Resort and club management45 26 118 45 
Rental and ancillary services144 84 426 151 
General and administrative50 41 158 92 
Acquisition and integration-related expense19 54 49 83 
Depreciation and amortization57 48 181 71 
License fee expense33 24 90 57 
Impairment expense 1  2 
Cost reimbursements82 58 215 131 
Total operating expenses879 719 2,359 1,261 
Interest expense(37)(42)(105)(74)
Equity in earnings from unconsolidated affiliates2 1 9 7 
Other gain (loss), net2 (20)1 (22)
Income before income taxes204 148 389 147 
Income tax expense(54)(49)(115)(46)
Net income$150 $99 $274 $101 
Earnings per share:
Basic$1.25 $0.92 $2.26 $1.08 
Diluted$1.24 $0.90 $2.23 $1.07 
See notes to unaudited condensed consolidated financial statements.
2

HILTON GRAND VACATIONS INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED)
(in millions)
Three Months Ended September 30,Nine Months Ended September 30,
2022202120222021
Net income$150 $99 $274 $101 
Derivative instrument adjustments, net of tax17  49  
Foreign currency translation adjustments(11) (17) 
Other comprehensive income, net of tax6  32  
Comprehensive income$156 $99 $306 $101 
See notes to unaudited condensed consolidated financial statements.
3

HILTON GRAND VACATIONS INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
(in millions)
Nine Months Ended September 30,
20222021
Operating Activities
Net income$274 $101 
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization181 71 
Amortization of deferred financing costs, acquisition premiums and other34 19 
Provision for financing receivables losses103 77 
Impairment expense 2 
Other loss, net1 7 
Share-based compensation40 32 
Deferred income tax (benefit) expense(1)9 
Equity in earnings from unconsolidated affiliates(9)(7)
Return on investment in unconsolidated affiliates 2 
Net changes in assets and liabilities:
Accounts receivable, net(64)(102)
Timeshare financing receivables, net(141)(36)
Inventory101 (11)
Purchases and development of real estate for future conversion to inventory(4)(25)
Other assets(21)62 
Accounts payable, accrued expenses and other257 5 
Advanced deposits25 (5)
Deferred revenues(13)(165)
Net cash provided by operating activities763 36 
Investing Activities
Acquisition of Diamond, net of cash and restricted cash acquired (1,585)
Capital expenditures for property and equipment(25)(11)
Software capitalization costs(26)(14)
Net cash used in investing activities(51)(1,610)
Financing Activities
Issuance of debt 2,650 
Issuance of non-recourse debt671 96 
Repayment of debt(310)(843)
Repayment of non-recourse debt(824)(234)
Debt issuance costs and discounts(12)(61)
Repurchase and retirement of common stock(162) 
Payment of withholding taxes on vesting of restricted stock units(8)(5)
Proceeds from employee stock plan purchases2 1 
Proceeds from stock option exercises1 10 
Other financing activity(2)(2)
Net cash (used in) provided by financing activities(644)1,612 
Effect of changes in exchange rates on cash, cash equivalents & restricted cash(19) 
Net increase in cash, cash equivalents and restricted cash49 38 
Cash, cash equivalents and restricted cash, beginning of period695 526 
Cash, cash equivalents and restricted cash, end of period$744 $564 
See notes to unaudited condensed consolidated financial statements.
4


HILTON GRAND VACATIONS INC.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)
(in millions)
Common StockAdditional
Paid-in
Capital
Accumulated
Retained
Earnings
Accumulated
Other
Comprehensive
Income
Total
Equity
SharesAmount
Balance as of December 31, 2021120 $1 $1,630 $357 $ $1,988 
Net income— — — 51 — 51 
Derivative instrument adjustments, net of tax— — — — 22 22 
Activity related to share-based compensation— — 4 — — 4 
Balance as of March 31, 2022120 $1 $1,634 $408 $22 $2,065 
Net income— — — 73 — 73 
Derivative instrument adjustments, net of tax— — — — 10 10 
Foreign currency translation adjustments— — — — (6)(6)
Activity related to share-based compensation— — 16 — — 16 
Employee stock plan issuance— — 2 — — 2 
Repurchase and retirement of common stock(2)— (26)(57)— (83)
Balance as of June 30, 2022118 $1 $1,626 $424 $26 $2,077 
Net income— — — 150 — 150 
Derivative instrument adjustments, net of tax— — — — 17 17 
Foreign currency translation adjustments— — — — (11)(11)
Activity related to share-based compensation— — 13 — — 13 
Repurchase and retirement of common stock(2)— (32)(57)— (89)
Balance at September 30, 2022116 $1 $1,607 $517 $32 $2,157 
See notes to unaudited condensed consolidated financial statements.








5

HILTON GRAND VACATIONS INC.
CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY (UNAUDITED)
(Continued) (in millions)

Common StockAdditional
Paid-in
Capital
Accumulated
Retained
Earnings
Accumulated
Other
Comprehensive
Income
Total
Equity
SharesAmount
Balance as of December 31, 202084 $1 $192 $181 $ $374 
Net loss— — — (7)— (7)
Activity related to share-based compensation— — 2 — — 2 
Balance as of March 31, 202184 $1 $194 $174 $ $369 
Net income— — — 9 — 9 
Activity related to share-based compensation1 — 18 — — 18 
Balance as of June 30, 202185 $1 $212 $183 $ $396 
Net income— — — 99 — 99 
Activity related to share-based compensation1 — 18 — — 18 
Shares issued for Diamond Acquisition34  1,381 — — 1,381 
Balance at September 30, 2021120 $1 $1,611 $282 $ $1,894 
See notes to unaudited condensed consolidated financial statements.
6

HILTON GRAND VACATIONS INC.
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
Note 1: Organization and Basis of Presentation
Our Business
Hilton Grand Vacations Inc. (“Hilton Grand Vacations,” “we,” “us,” “our,” “HGV” or the “Company”) is a global timeshare company engaged in developing, marketing, selling and managing timeshare resorts, primarily under the Hilton Grand Vacations brand. During 2021, we acquired Dakota Holdings, Inc., the parent of Diamond Resorts International (“Diamond”)(the “Diamond Acquisition”), and are in the process of rebranding Diamond properties and sales centers to brands that meet Hilton standards. Our operations primarily consist of selling vacation ownership intervals and vacation ownership interests (collectively, “VOIs” or “VOI”) for ourselves and third parties; financing and servicing loans provided to consumers for their VOI purchases; operating resorts and multi-resort trusts; and managing our points-based Hilton Grand Vacations Club and Hilton Club exchange program (collectively the “Legacy-HGV Club”) in addition to our Diamond points-based clubs (the Legacy-HGV Club and Diamond Clubs (as defined below) are collectively referred to as “Clubs”).
As of September 30, 2022, we had 154 properties located in the United States (“U.S.”), Europe, Mexico, the Caribbean, Canada and Japan. A significant number of our properties and VOIs are concentrated in Florida, Nevada, Hawaii, Europe, California, Virginia and Arizona.
Diamond Acquisition
On August 2, 2021, we completed the Diamond Acquisition by exchanging 100 percent of the outstanding equity interests of Diamond for shares of HGV common stock. Pre-existing HGV shareholders owned approximately 72 percent of the combined company immediately after giving effect of the Diamond Acquisition, with certain funds controlled by Apollo Global Management Inc. (the “Apollo Funds” or, “Apollo”) and other minority shareholders, who previously owned 100 percent of Diamond, holding the remaining, approximately 28 percent at the time the Diamond Acquisition was completed.
Diamond also operates in the hospitality and VOI industry, with a worldwide resort network of global vacation destinations. Diamond’s portfolio consists of resort properties that we manage, are included in one of Diamond’s single- and multi-use trusts (collectively, the “Diamond Collections” or “Collections”), or are Diamond branded resorts in which we own inventory, as well as affiliated resorts and hotels, which we do not manage, and which do not carry the Diamond brand but are a part of Diamond’s network and, through THE Club® and other Club offerings (the “Diamond Clubs”), are available for its members to use as vacation destinations.
The unaudited condensed consolidated financial statements in this report include Diamond’s results of operations beginning on August 2, 2021. We refer to Diamond’s business and operations that we acquired as “Legacy-Diamond”, and our business and operations that existed both prior to and following the Diamond Acquisition as “Legacy-HGV.” See Note 3: Diamond Acquisition for more information.
Basis of Presentation
The unaudited condensed consolidated financial statements presented herein include 100 percent of our assets, liabilities, revenues, expenses and cash flows as well as all entities in which we have a controlling financial interest. Our accompanying unaudited condensed consolidated financial statements reflect all adjustments, including normal recurring items, considered necessary for a fair presentation of the interim periods. All material intercompany transactions and balances have been eliminated in consolidation.
The unaudited condensed consolidated financial statements reflect our financial position, results of operations and cash flows as prepared in conformity with U.S. generally accepted accounting principles (“U.S. GAAP”). Certain information and footnote disclosures normally included in financial statements presented in accordance with U.S. GAAP have been omitted in accordance with the rules and regulations of the Securities and Exchange Commission (“SEC”). Although we believe the disclosures made are adequate to prevent information presented from being misleading, these financial statements should be read in conjunction with the consolidated financial statements and notes thereto as of and for the year ended December 31, 2021, included in our Annual Report on Form 10-K filed with the SEC on March 1, 2022.
7

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported and, accordingly, ultimate results could differ from those estimates. Interim results are not necessarily indicative of full year performance.
The determination of a controlling financial interest is based upon the terms of the governing agreements of the respective entities, including the evaluation of rights held by other interests. If the entity is considered to be a variable interest entity (“VIE”), we determine whether we are the primary beneficiary, and then consolidate those VIEs for which we have determined we are the primary beneficiary. If the entity in which we hold an interest does not meet the definition of a VIE, we evaluate whether we have a controlling financial interest through our voting interests in the entity. We consolidate entities when we own more than 50 percent of the voting shares of a company or otherwise have a controlling financial interest. The consolidated financial statements reflect our financial position, results of operations and cash flows as prepared in conformity with U.S. GAAP.
Note 2: Summary of Significant Accounting Policies
Reclassifications
Certain prior period amounts in the unaudited condensed consolidated financial statements have been reclassified to conform to the current period presentation with no effect on previously reported total assets and total liabilities, net income or stockholders’ equity.
Recently Issued Accounting Pronouncements
Accounting Standards Not Yet Adopted
In March 2022, the FASB issued Accounting Standards Update 2022-02 (“ASU 2022-02”), Financial Instruments—Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures. ASU 2022-02 provides, under Issue 2 - Vintage Disclosures, that an entity disclose current-period gross write-offs by year of origination for financing receivables and net investments in leases. For financing receivables, the vintage disclosure is to present the amortized cost basis by credit quality indicator and class of financing receivable for the year of origination. The guidance is effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years and is to be applied prospectively. We are currently evaluating the effects of this ASU to our disclosures.
Note 3: Diamond Acquisition
On August 2, 2021, (the “Acquisition Date”), we completed the Diamond Acquisition by exchanging 100 percent of the outstanding equity interests of Diamond to HGV common shares. Following the closing of the Diamond Acquisition, pre-existing HGV shareholders owned approximately 72 percent of the combined company after giving effect to the Diamond Acquisition, with Apollo Funds and other minority shareholders holding the remaining approximately 28 percent at the time the Diamond Acquisition was completed. Diamond is a leader in the vacation ownership industry focused on the infusion of hospitality and experiences through the full life cycle of an owner or members’ life cycle relationship with Diamond. This strategic combination creates a more expansive industry offering, leveraging HGV’s strong brand and net owner growth along with Diamond’s diverse network of locations and strength in experiential offerings. The acquisition also diversifies our product offerings and allows us to expand our customer demographic.
On the Acquisition Date, shareholders of Diamond received 0.32 shares of our common stock for each share of Diamond common stock, totaling approximately 28 percent of our total common shares outstanding. Additionally, in connection with the Diamond Acquisition, HGV repaid certain existing indebtedness of Diamond.
8

The following table presents the fair value of each class of consideration transferred in relation to the Diamond Acquisition at the Acquisition Date:
($ in millions, except stock price amounts)
HGV common stock shares issued for outstanding Diamond shares33.93 
HGV common stock price as of Acquisition Date(1)
40.71 
Stock purchase price$1,381 
 
Repayment of Legacy-Diamond debt$2,029 
Total consideration transferred$3,410 
(1) Represents the average of the opening and closing price of HGV stock on August 2, 2021.
Fair Values of Assets Acquired and Liabilities Assumed
We accounted for the Diamond Acquisition as a business combination, which required us to record the assets acquired and liabilities assumed at fair value as of the Acquisition Date. The following table presents the fair values of the assets that we acquired and the liabilities that we assumed on the Acquisition Date in connection with the business combination as finalized at September 30, 2022.
($ in millions)Amounts Recognized as of the Acquisition Date
Assets acquired
Cash and cash equivalents$310 
Restricted cash127 
Accounts receivable, net of allowance for doubtful accounts90 
Timeshare financing receivables, net825 
Inventory488 
Property and equipment, net273 
Operating lease right-of-use assets, net33 
Intangible assets, net1,429 
Other assets261 
Total assets acquired$3,836 
Liabilities assumed
Accounts payable, accrued expenses and other$520 
Non-recourse debt, net660 
Operating lease liabilities33 
Advanced deposits4 
Deferred revenues140 
Deferred income tax liabilities485 
Total liabilities assumed$1,842 
Net assets acquired$1,994 
Total consideration transferred$3,410 
Goodwill(1)
$1,416 
(1)Goodwill is calculated as total consideration transferred less net assets acquired and it primarily represents the value that we expect to obtain from synergies and growth opportunities from our combined Company post-acquisition. The majority of goodwill is not deductible for tax purposes.

The measurement period adjustments recorded during the quarter ended September 30, 2022 resulted from changes to our estimates of the fair value of the acquired assets and assumed liabilities based on finalizing the valuations of acquired property and equipment and accounts receivable. In addition, we have established an initial reserve in connection
9

with certain pre-acquisition expenses which we have determined are not deductible for tax purposes. These resulted in a net increase to goodwill for the period of $59 million, net of tax impacts of adjustments.
The measurement period adjustments recorded during the quarter ended June 30, 2022 resulted from changes to our estimates of the fair value of the acquired assets and assumed liabilities based on finalizing the valuations of operating lease right-of-use asset and related lease liabilities valuation and capitalized software. These resulted in a net adjustment to goodwill for the period of $6 million, net of tax impacts of adjustments.
The measurement period adjustments recorded during the quarter ended March 31, 2022 resulted from changes to our estimates of the fair value of the acquired assets and assumed liabilities based on a revision to our valuation of insurance receivables given the ultimate determination of proceeds related to preacquisition business interruption insurance claims. The measurement period adjustments recognized include an adjustment to increase accounts receivable, net of allowance for doubtful accounts, for pre-acquisition contingencies, and the related tax impacts increasing deferred income tax liabilities. These resulted in a net adjustment to goodwill for the period of $26 million.
The prior period net income effect associated with the measurement period adjustments recorded during the nine months ended September 30, 2022 is immaterial.
Timeshare Financing Receivables
We acquired timeshare financing receivables which consist of loans to customers who purchased vacation ownership products and chose to finance their purchases. These timeshare financing receivables are collateralized by the underlying VOIs and generally have 10-year amortizing repayment terms. We estimated the fair value of the timeshare financing receivables using a discounted cash flow model, which calculated a present value of expected future risk-adjusted cash flows over the remaining term of the respective timeshare financing receivables. For purposes of our allocation, we have considered all acquired receivables to be purchase credit deteriorated assets. See Note 7: Timeshare Financing Receivables for additional information.
Acquired timeshare financing receivables with credit deterioration as of the Acquisition Date were as follows:
($ in millions)As of August 2, 2021
Purchase price$825 
Allowance for credit losses512 
Premium attributable to other factors(97)
Par value$1,240 
Inventory
We acquired inventory which primarily consists of completed unsold VOIs and undeveloped land. We valued acquired inventory using a discounted cash flows method, which included an estimate of cash flows expected to be generated from the sale of VOIs. Significant estimates and assumptions impacting the fair value of the acquired inventory that are subjective and/or require complex judgments include our estimates of operating costs and margins, and the discount rate. Certain other estimates and assumptions impacting the fair value of the acquired inventory involving less subjective and/or less complex judgments include: short-term and long-term revenue growth rates, capital expenditures, tax rates and other factors impacting the discounted cash flows.
Property and Equipment
We acquired property and equipment, which includes land, building and leasehold improvements, furniture and fixtures and construction in progress. We valued the majority of acquired property and equipment using a mix of cost, market and discounted cash flow approaches, which included estimates of future income growth, capitalization rates, discount rates, and capital expenditure needs of the resorts.
10

Intangible Assets
The following table presents our estimates of the fair values of the acquired Diamond’s identified intangible assets and their related estimated remaining useful lives:
Estimated Fair Value
($ in millions)
Estimated
Useful Life
(in years)
Trade name$18 1.5
Management contracts1,251 35.4
Club member relationships139 14.4
Computer software21 1.5
Total intangible assets$1,429 
We valued the acquired trade name intangible using the relief-from-royalty method, which applies an estimated royalty rate to forecasted future cash flows, discounted to present value. We valued the acquired management contracts intangible and member relationships intangible using the multi-period excess earnings method, which is a variation of the income approach. This method estimates an intangible asset’s value based on the present value of the incremental after-tax cash flows attributable to the intangible asset. Significant estimates and assumptions impacting the fair value of the acquired management contracts intangible that are subjective and/or require complex judgments include our estimates of operating costs and margins, and the discount rate. Certain other estimates and assumptions impacting the fair value of the acquired management contracts intangible involving less subjective and/or less complex judgments include: short-term and long-term revenue growth rates, attrition rates, capital expenditures, tax rates and other factors impacting the discounted cash flows.
Deferred Revenue
Deferred revenue primarily relates to deferred sales incentives revenues, primarily related to Bonus Points, which are deferred and recognized upon redemption; and Club membership fees, which are deferred and recognized over the terms of the applicable contract term or membership on a straight-line basis. Additionally, deferred revenue includes maintenance fees collected from owners, in certain cases, which are earned by the relevant property owners’ association over the applicable period. We valued deferred revenue at its carrying value.
Deferred Income Taxes
Deferred income taxes primarily relate to the fair value of assets and liabilities acquired from Diamond, including timeshare financing receivables, inventory, property and equipment, intangible assets, and debt. We calculated deferred income taxes based on statutory rates in the jurisdictions of the legal entities where the acquired assets and liabilities are recorded.
Debt
As part of the acquisition and consideration transferred, we paid off $2,029 million of Diamond’s existing corporate debt, accrued interest and early termination penalties.
Non-Recourse Debt
We valued the securitized debt from VIEs and warehouse loan facilities, using a discounted cash flow model under the income approach. The significant assumptions in our analysis include default rates, prepayment rates, bond interest rates and other structural factors.
Operating Lease Right-of-Use-Assets and Lease Liabilities
We have recorded liabilities for those operating leases assumed in connection with the Diamond Acquisition with a remaining term in excess of a year. We valued lease liabilities at the present value of the remaining contractual lease payments based on the guidance in ASC 842 and using a discount rate determined as of the Acquisition Date. The right-of-
11

use assets for such leases were measured at an amount equal to the lease liabilities, adjusted for favorable or unfavorable terms of the lease when compared with market terms.
Goodwill
We have allocated the acquired goodwill to our segments, Real Estate Sales and Financing and Resort Operations and Club Management, as indicated in the table below.
Real Estate Sales and Financing SegmentResort Operations and Club Management SegmentTotal Consolidated
Goodwill$1,048 $368 $1,416 
Pro Forma Results of Operations
The following unaudited pro forma information presents the combined results of operations of HGV and Diamond as if we had completed the Diamond Acquisition on January 1, 2021, the first day of our prior fiscal year, but using our fair values of assets and liabilities as of the Acquisition Date. These unaudited pro forma results do not reflect any synergies from operating efficiencies. Accordingly, these unaudited pro forma results are presented for informational purposes only and are not necessarily indicative of what the actual results of operations of the combined company would have been if the Diamond Acquisition had occurred at the beginning of the period presented, nor are they indicative of future results of operations.
($ in millions, except per share data)Nine Months Ended
September 30, 2021
Revenue$2,226 
Net income58 
Note 4: Revenue from Contracts with Customers
Disaggregation of Revenue
The following tables show our disaggregated revenues by product and segment from contracts with customers. We operate our business in the following two segments: (i) Real estate sales and financing and (ii) Resort operations and club management. Please refer to Note 20: Business Segments below for more details related to our segments.
($ in millions)Three Months Ended September 30,Nine Months Ended September 30,
Real Estate Sales and Financing Segment2022202120222021
Sales of VOIs, net$500 $488 $1,130 $597 
Sales, marketing, brand and other fees177 118 457 252 
Interest income61 46 170 108 
Other financing revenue7 7 26 19 
Real estate sales and financing segment revenues$745 $659 $1,783 $976 
($ in millions)Three Months Ended September 30,Nine Months Ended September 30,
Resort Operations and Club Management Segment2022202120222021
Club management$48 $42 $150 $98 
Resort management82 57 229 94 
Rental(1)
157 104 436 184 
Ancillary services2 8 30 14 
Resort operations and club management segment revenues$289 $211 $845 $390 
(1)Excludes intersegment eliminations. See Note 20: Business Segments for additional information.
12

Contract Balances
The following table provides information on our accounts receivable from contracts with customers which are included in Accounts receivable, net on our unaudited condensed consolidated balance sheets:
($ in millions)September 30,
2022
December 31,
2021
Receivables$273 $202 
The following table presents the composition of our contract liabilities:
($ in millions)September 30,
2022
December 31,
2021
Contract liabilities:
Advanced deposits$138 $112 
Deferred sales of VOIs of projects under construction1 34 
Club dues and Legacy-HGV Club activation fees105 91 
Bonus Point incentive liability(1)
58 44 
(1)Amounts related to the Bonus Point incentive liability are included in Accounts payable, accrued expenses and other on our unaudited condensed consolidated balance sheets. This liability is comprised of unrecognized revenue for incentives from VOI sales and sales and marketing expenses in conjunction with our fee-for-service arrangements.
Revenue earned for the three and nine months ended September 30, 2022, that was included in the contract liabilities balance at December 31, 2021 was approximately $63 million and $161 million, respectively.
Our accounts receivable that relate to our contracts with customers includes amounts associated with our contractual right to consideration for completed performance obligations related primarily to our fee-for-service arrangements and homeowners’ associations management agreements and are settled when the related cash is received. Accounts receivable are recorded when the right to consideration becomes unconditional and is only contingent on the passage of time. Refer to Note 7: Timeshare Financing Receivables for information on balances and changes in balances during the period related to our timeshare financing receivables.
Contract assets relate to incentive fees that can be earned for meeting certain targets on sales of VOIs at properties under our fee-for-service arrangements; however, our right to consideration is conditional upon completing the requirements of the annual incentive fee period. There were $5 million contract assets as of September 30, 2022 and no contract assets as of December 31, 2021.
Contract liabilities include payments received or due in advance of satisfying our performance obligations. Such contract liabilities include advance deposits received on prepaid vacation packages for future stays at our resorts, deferred revenues related to sales of VOIs of projects under construction, Club activation fees and annual dues and the liability for Bonus Points awarded to our customers for purchase of VOIs at our properties or properties under our fee-for-service arrangements that may be redeemed in the future.
In addition to the contract liabilities included herein, we also have deferred revenue of $118 million and $112 million as of September 30, 2022 and December 31, 2021, respectively. This additional deferred revenue balance includes $50 million and $51 million for bonus points and vacation package deferred revenue, $22 million and $10 million in deferred property insurance, $17 million and $14 million in deferred maintenance fees and $28 million and $37 million in other deferred revenue as of September 30, 2022 and December 31, 2021, respectively.
Transaction Price Allocated to Remaining Performance Obligations
Transaction price allocated to remaining performance obligations represents contract revenue that has not yet been recognized. Our contracts with remaining performance obligations primarily include (i) sales of VOIs under construction, (ii) Legacy-HGV Club activation fees paid at closing of a VOI purchase, (iii) customers’ advanced deposits on prepaid vacation packages and (iv) Bonus Points that may be redeemed in the future.
13

The following table represents the deferred revenue, cost of VOI sales and direct selling costs from sales of VOIs related to projects under construction as of September 30, 2022 and December 31, 2021:
($ in millions)September 30,
2022
December 31,
2021
Sales of VOIs, net$1 $34 
Cost of VOI sales(1)
 12 
Sales and marketing expense 5 
(1)Includes anticipated Cost of VOI sales related to inventory associated with Sales of VOIs under construction.
We recognized the revenue, costs of VOI sales and direct selling costs related to the project under construction upon completion during the third quarter of 2022.
The following table includes the remaining transaction price related to Advanced deposits, and Legacy-HGV Club activation fees and Bonus Points as of September 30, 2022:
($ in millions)Remaining
Transaction Price
Recognition PeriodRecognition Method
Advanced deposits$138 18 monthsUpon customer stays
Legacy-HGV Club activation fees65 7 yearsStraight-line basis over average inventory holding period
Bonus Points58 
18 - 30 months
Upon redemption
Note 5: Restricted Cash
Restricted cash was as follows:
($ in millions)September 30,
2022
December 31,
2021
Escrow deposits on VOI sales$218 $152 
Reserves related to non-recourse debt(1)
59 67 
Other(2)
42 44 
$319 $263 
(1)See Note 13: Debt & Non-recourse Debt for further discussion.
(2)Other restricted cash primarily includes cash collected on behalf of HOAs, deposits related to servicer arrangements and other deposits.
Note 6: Accounts Receivable
Accounts receivable within the scope of ASC 326 are measured at amortized cost. The following table represents our accounts receivable, net of allowance for credit losses:
($ in millions)September 30,
2022
December 31,
2021
Fee-for-service commissions(1)
$89 $73 
Real estate and financing52 51 
Resort and club operations118 76 
Tax receivables25 95 
Insurance claims receivable81