Marriott Vacations Q1 adjusted EPS and EBITDA miss on fewer tours, higher costs

Marriott Vacations Worldwide

05/05/2026 12:10

Overview

Global vacation ownership firm's Q1 adjusted EPS and adjusted EBITDA missed analyst expectations

Company cites lower contract sales, higher costs, and fewer tours, especially in Asia-Pacific, for declines

Company closed Westin Cancun sale, generating $50 mln, as part of asset disposition strategy

Outlook

Company expects Q2 contract sales to increase 4% to 8%

Company sees Q2 Adjusted EBITDA of $187 mln to $202 mln

Company raises full-year 2026 contract sales guidance to $1.815 bln-$1.885 bln

Company reiterates full-year 2026 Adjusted EBITDA guidance of $755 mln-$780 mln

Result Drivers

FEWER TOURS AND CREDIT SCREENING - Co said decline in tours was due to planned actions to prioritize higher profitability and cash flow in Asia-Pacific and a decision to reduce tours to people with FICO scores below 640

HIGHER COSTS - Segment adjusted EBITDA and margin declined primarily due to lower contract sales, increased marketing and sales costs, higher product cost, and increased unsold maintenance fee expense

AQUA-ASTON WEAKNESS - Lower revenue at Aqua-Aston contributed to year-over-year declines in Exchange & Third-Party Management segment revenues and adjusted EBITDA

Company press release: ID:nBw7x3Snwa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Adjusted EPS
Miss
$1.24
$1.65 (8 Analysts)
Q1 Net Income
$22 mln
Q1 Adjusted EBITDA
Miss
$161 mln
$180.89 mln (8 Analysts)

Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and 4 "sell" or "strong sell"

The average consensus recommendation for the hotels, motels & cruise lines peer group is "buy."

Wall Street's median 12-month price target for Marriott Vacations Worldwide Corp is $82.50, about 17.5% above its May 4 closing price of $70.21

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 8 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)