Gross margins have exhibited extreme instability, swinging from a peak of 91.3% in 2024Q3 to a low of 14.7% in 2025Q4, reflecting significant challenges in maintaining consistent profitability.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 |
|---|
| Sales/Revenue | 4.64B | 5.03B | 4.97B | 4.73B | 4.66B | 3.89B | 2.89B | 4.26B | 2.97B | 2.18B | 1.81B | 1.83B | 1.74B | 1.75B | 1.65B | 1.61B | 1.58B | 1.6B |
| Revenue Growth % | -6.72% | 1.31% | 5.08% | 1.52% | 19.69% | 34.79% | -32.24% | 43.5% | 35.96% | 20.53% | -1.05% | 5.44% | -0.78% | 6.17% | 2.17% | 1.83% | -0.75% | - |
| Cost of Goods Sold | 2.31B | 4.27B | 3.11B | 2.91B | 2.67B | 2.44B | 2.19B | 2.59B | 1.87B | 1.42B | 1.1B | 1.13B | 1.11B | 1.14B | 1.09B | 1.05B | 997M | 1.04B |
| COGS % of Revenue | - | 84.9% | 62.65% | 61.54% | 57.37% | 62.65% | 75.88% | 60.77% | 62.94% | 64.96% | 60.98% | 61.74% | 64.23% | 65.29% | 66.26% | 65.16% | 62.94% | 65.35% |
| Gross Profit | 2.33B | 760M | 1.85B | 1.82B | 1.99B | 1.45B | 696M | 1.67B | 1.1B | 765M | 706.78M | 700.3M | 621M | 607.29M | 556M | 562M | 587M | 553M |
| Gross Margin % | 50.26% | 15.1% | 37.35% | 38.46% | 42.63% | 37.35% | 24.12% | 39.23% | 37.06% | 35.04% | 39.02% | 38.26% | 35.77% | 34.71% | 33.74% | 34.84% | 37.06% | 34.65% |
| Gross Profit Growth % | - | -59.03% | 2.04% | -8.41% | 36.61% | 108.76% | -58.35% | 51.91% | 43.79% | 8.24% | 0.93% | 12.77% | 2.26% | 9.23% | -1.07% | -4.26% | 6.15% | - |
| Operating Expenses | 1.83B | 206M | 1.31B | 1.23B | 1.19B | 990M | 696M | 1.2B | 1.1B | 505M | 458.13M | 433.56M | 414M | 415M | 416M | 423M | 441M | 553M |
| OpEx % of Revenue | - | 4.09% | 26.33% | 26.04% | 25.52% | 25.45% | 24.12% | 28.25% | 37.06% | 23.13% | 25.29% | 23.69% | 23.85% | 23.72% | 25.24% | 26.22% | 27.84% | 34.65% |
| Selling, General & Admin | 890M | 1.19B | 1.16B | 1.1B | 1.06B | 844M | 540M | 996M | 725M | 494M | 434M | 436.7M | 414M | 414.99M | 416M | 423M | 426M | 501M |
| SG&A % of Revenue | - | 23.55% | 23.39% | 23.19% | 22.68% | 21.7% | 18.71% | 23.39% | 24.43% | 22.63% | 23.96% | 23.86% | 23.85% | 23.72% | 25.24% | 26.22% | 26.89% | 31.39% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | -979M | 146M | 135M | 132M | 146M | 156M | 0 | 375M | 4M | 0 | 0 | 0 | 1M | 0 | 0 | 15M | 623M |
| Operating Income | 503M | 554M | 547M | 587M | 797M | 463M | 0 | 564M | 313M | 260.67M | 220M | 243.97M | 180.81M | 175M | 94M | 151M | 161M | -571M |
| Operating Margin % | 10.85% | 11.01% | 11.01% | 12.42% | 17.12% | 11.9% | - | 13.24% | 10.55% | 11.94% | 12.15% | 13.33% | 10.42% | 10% | 5.7% | 9.36% | 10.16% | -35.78% |
| Operating Income Growth % | - | 1.28% | -6.81% | -26.35% | 72.14% | - | -100% | 80.19% | 20.07% | 18.49% | -9.82% | 34.93% | 3.32% | 86.17% | -37.75% | -6.21% | 128.2% | - |
| EBITDA | 591M | 703M | 693M | 722M | 929M | 609M | -67M | 705M | 375M | 281.67M | 241.04M | 266.18M | 199.81M | 197.59M | 124M | 184M | 196M | -529M |
| EBITDA Margin % | 12.74% | 13.97% | 13.95% | 15.27% | 19.95% | 15.66% | -2.32% | 16.55% | 12.63% | 12.9% | 13.31% | 14.54% | 11.51% | 11.29% | 7.52% | 11.41% | 12.37% | -33.15% |
| EBITDA Growth % | -59.24% | 1.44% | -4.02% | -22.28% | 52.55% | 1008.96% | -109.5% | 88% | 33.13% | 16.86% | -9.44% | 33.22% | 1.12% | 59.35% | -32.61% | -6.12% | 137.05% | - |
| D&A (Non-Cash Add-back) | 111M | 149M | 146M | 135M | 132M | 146M | 123M | 141M | 62M | 21M | 21.04M | 22.22M | 19M | 22.59M | 30M | 33M | 35M | 42M |
| EBIT | -226M | -130M | 468M | 543M | 700M | 291M | -190M | 357M | 157M | 250M | 207M | 243.97M | 188.75M | 148M | 89M | -170M | 168M | -763M |
| Net Interest Income | -173M | -169M | -162M | -145M | -118M | -164M | -150M | -132M | -54M | -10M | -9M | -37.47M | -38.16M | -43.95M | -58M | -47M | -56M | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 173M | 169M | 162M | 145M | 118M | 164M | 150M | 132M | 54M | 10M | 9M | 37.47M | 38.16M | 43.95M | 58M | 47M | 56M | 0 |
| Other Income/Expense | -859M | -853M | -241M | -189M | -215M | -336M | -340M | -339M | -210M | -20.67M | 2.93M | -37.47M | -29.81M | -44M | -57M | -365M | -49M | -192M |
| Pretax Income | -356M | -299M | 306M | 398M | 582M | 127M | -340M | 225M | 103M | 240M | 222.93M | 206.5M | 151M | 131M | 37M | -214M | 112M | -763M |
| Pretax Margin % | -7.68% | -5.94% | 6.16% | 8.42% | 12.5% | 3.26% | -11.78% | 5.28% | 3.47% | 10.99% | 12.31% | 11.28% | 8.7% | 7.49% | 2.25% | -13.27% | 7.07% | -47.81% |
| Income Tax | -14M | 8M | 89M | 146M | 191M | 74M | -84M | 83M | 51M | 5M | 76M | 83.7M | 70M | 51.47M | 21M | -36M | 45M | -231M |
| Effective Tax Rate % | 3.93% | -2.68% | 29.08% | 36.68% | 32.82% | 58.27% | 24.71% | 36.89% | 49.51% | 2.08% | 34.09% | 40.53% | 46.36% | 39.29% | 56.76% | 16.82% | 40.18% | 30.28% |
| Net Income | -342M | -308M | 218M | 254M | 391M | 49M | -275M | 138M | 55M | 235M | 137.35M | 122.8M | 80.76M | 79.73M | 7M | -178M | 67M | -521M |
| Net Margin % | -7.37% | -6.12% | 4.39% | 5.37% | 8.4% | 1.26% | -9.53% | 3.24% | 1.85% | 10.76% | 7.58% | 6.71% | 4.65% | 4.56% | 0.42% | -11.04% | 4.23% | -32.64% |
| Net Income Growth % | -250.66% | -241.28% | -14.17% | -35.04% | 697.96% | 117.82% | -299.28% | 150.91% | -76.6% | 71.1% | 11.85% | 52.06% | 1.29% | 1039% | 103.93% | -365.67% | 112.86% | - |
| Net Income (Continuing) | -342M | -307M | 217M | 252M | 391M | 53M | -256M | 142M | 52M | 235M | 137.35M | 122.8M | 80.76M | 80M | 16M | -178M | 67M | -532M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | -1M | 0 | 2M | 10M | 31M | 12M | 5M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -9.80 | -8.83 | 5.61 | 6.28 | 8.65 | 1.13 | -6.65 | 3.10 | 1.62 | 8.49 | 4.83 | 3.82 | 2.33 | 2.18 | 0.18 | -5.12 | 1.99 | -15.49 |
| EPS Growth % | -270.77% | -257.4% | -10.67% | -27.4% | 665.49% | 116.99% | -314.52% | 91.36% | -80.92% | 75.78% | 26.44% | 63.95% | 6.88% | 1111.11% | 103.52% | -357.29% | 112.85% | - |
| EPS (Basic) | - | -8.83 | 6.16 | 6.96 | 9.68 | 1.15 | -6.65 | 3.14 | 1.64 | 8.70 | 4.93 | 3.90 | 2.40 | 2.25 | 0.19 | -5.12 | 1.99 | -15.49 |
| Diluted Shares Outstanding | 34.9M | 34.9M | 42.1M | 43.5M | 45.2M | 43.3M | 41.35M | 44.5M | 34M | 27.7M | 28.42M | 32.17M | 34.63M | 36.62M | 36.2M | 33.7M | 33.63M | 33.63M |
| Basic Shares Outstanding | 34.9M | 34.9M | 35.4M | 36.5M | 40.4M | 42.61M | 41.35M | 44.66M | 33.54M | 27.1M | 27.88M | 31.49M | 34.66M | 35.4M | 34.4M | 33.7M | 33.63M | 33.63M |
| Dividend Payout Ratio | - | - | 49.08% | 41.73% | 25.32% | 46.94% | - | 58.7% | 92.73% | 16.17% | 24.75% | 19.38% | 10.13% | - | - | - | 394.03% | - |
Cyclical Sales Velocity Volatility
According to recent quarterly financial data, Marriott Vacations Worldwide experienced significant revenue volatility, with growth rates fluctuating from a 75.6% surge in 2024Q3 to a 37.8% contraction by 2025Q3, suggesting that the post-pandemic demand environment has normalized into a more challenging and unpredictable sales cycle.
The erratic top-line performance indicates that the company's reliance on vacation ownership interest sales is highly sensitive to discretionary spending shifts. Investors should monitor whether the recent 4.8% growth in 2026Q1 represents a sustainable stabilization or merely a temporary reprieve from the broader deceleration observed throughout 2025.
Based on reported income statements, VAC's gross margin has exhibited extreme variance, ranging from a high of 91.3% in 2024Q3 to a low of 14.7% in 2025Q4, which highlights the inherent difficulty in maintaining consistent profitability within a capital-intensive vacation ownership development model.
This wide dispersion in margins suggests that accounting recognition timing and inventory development costs are creating significant noise in the reported figures. The sharp compression observed in late 2025 warrants further investigation into whether this reflects structural cost increases or temporary accounting adjustments related to project completions.
As reported in recent filings, the company's net income has been severely impacted by non-operating items, most notably a $431 million loss in 2025Q4, which suggests that one-time charges or significant asset impairments are currently masking the underlying operational performance of the core hospitality business.
The divergence between operating income and net income indicates that investors should focus on normalized earnings metrics rather than GAAP bottom-line figures. The presence of substantial stock-based compensation, reaching $45 million in 2025Q4, further complicates the assessment of true shareholder value creation during periods of negative net profitability.
Based on the provided financial data, SG&A expenses have remained relatively sticky, hovering near $300 million per quarter despite significant fluctuations in revenue, which implies that management faces challenges in scaling operating costs down in alignment with declining sales velocity during cyclical downturns.
The inability to meaningfully reduce overhead during revenue contractions suggests a high fixed-cost burden that may continue to pressure operating margins. Analysts should evaluate whether current marketing spend is yielding sufficient tour flow to justify these persistent expense levels in a more cautious consumer environment.
Quick answers to the most common questions about buying VAC stock.
For fiscal year 2025, Marriott Vacations Worldwide Corporation (VAC) reported total revenue of $5.03B. This represents a 215.3% increase compared to $1.60B in 2009.
Marriott Vacations Worldwide Corporation (VAC) reported a net loss of $308.0M for the fiscal year ending 2025.
Marriott Vacations Worldwide Corporation (VAC) reported an operating income of $554.0M, resulting in an operating profit margin of 11.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Marriott Vacations Worldwide Corporation (VAC) generated $760.0M in gross profit for the year, representing a gross profit margin of 15.1%. This demonstrates the company's core pricing power and production efficiency.