Shares of Marriott Vacations Worldwide (VAC) surged 8.24% in after-hours trading on Wednesday, following the release of its first-quarter 2025 financial results that exceeded analyst expectations and a reaffirmation of its positive full-year outlook.
The vacation ownership company reported adjusted earnings per share (EPS) of $1.66 for Q1, surpassing the analyst consensus estimate of $1.49 by 11.41%. While this represents a 7.78% decrease from the $1.80 per share reported in the same period last year, the better-than-expected performance likely contributed to investor enthusiasm. Quarterly sales came in at $1.20 billion, slightly missing the analyst estimate of $1.21 billion by 0.47%, but still showing a modest 0.42% increase year-over-year.
Adding to the positive sentiment, Marriott Vacations Worldwide reiterated its full-year outlook, projecting adjusted EBITDA in the range of $750-780 million and adjusted EPS between $6.40 and $7.10. The company also provided guidance for adjusted free cash flow, estimating it to be between $270-330 million for the fiscal year. These forward-looking statements suggest management's confidence in the company's financial performance for the remainder of 2025, which appears to have resonated well with investors.
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