Travel + Leisure Sets 2026 EBITDA Outlook and $750 Million Buyback After Strong 2025

Overview

• The company guided 2026 adjusted EBITDA to $1.03 billion–$1.055 billion, assuming a $15 million–$25 million net benefit from its resort optimization program, and authorized a new $750 million share repurchase.
• Fourth-quarter adjusted EBITDA topped the full-year outlook that management raised in Q3 as 2025 delivered 4% revenue growth and 7% EBITDA growth.
• Vacation ownership remained the growth engine with 8% gross sales growth, a 6% VPG increase, and the year’s fastest tour flow in Q4, supported by higher-credit, higher-income owner demographics.
• The Resort Optimization Initiative targets the removal of 17 older, low-demand resorts, drove a $216 million non-cash write-down in 2025, and is modeled as a $120 million revenue headwind partly offset by $70 million of expense savings.
• Management expects VPG to ease to $3,175–$3,275 on a higher mix of new owners as multi-brand partnerships such as Sports Illustrated and Eddie Bauer scale, while exchange-rate pressures persist and loan-loss provisions are projected to trend toward roughly 20% in 2026.