HGV 2026 Q2 Earnings Report

[dayooper]

Previous Investor Calls/Reports

2026 Q1 Earnings Call
2025 Q4/Annual Earnings Call
2025 Q3 Earnings Call
2025 Q2 Earnings Call
2025 Q1 Earnings Call
2024 Q4/Annual Earnings Call
2024 Q3 Earnings Call
2024 Q2 Earnings Call
2024 Q1 Investor Call
2023 Q4/Annual Earnings Call
2023 Q3 Earnings Call
2023 Q2 Earnings Call
2023 Q1 Earnings Call
2022 Q3 Earnings Call
2022 Q1 Earnings Call
2021 Q3 Earnings Call

HGV’s 2026 Quarter 2 earnings report was released on July 30. Here are the results:

• Total contract sales were $810 million.
• Total revenues were $1.358 billion.
  • Total revenues were affected by a net construction deferral of $54 million.
• Net income attributable to stockholders was $12 million and diluted EPS was $0.15.
  • Adjusted net income attributable to stockholders was $72 million and adjusted diluted EPS was $0.89.
  • Net income and Adjusted net income attributable to stockholders were affected by a net construction deferral of $28 million, or $(0.35) per share.
• Adjusted EBITDA attributable to stockholders was $265 million.
  • Adjusted EBITDA attributable to stockholders was affected by a net construction deferral of $28 million.
• During the second quarter, the Company repurchased 3.1 million shares of common stock for $150 million.
  • From July 1 through July 23, 2026, the Company repurchased approximately 488,000 shares for $25 million and currently has $103 million of remaining availability under the 2025 Repurchase Plan.
• The Company is reiterating its prior guidance for the full year 2026 Adjusted EBITDA, excluding deferrals and recognitions of $1.225 billion to $1.265 billion.

After the results were released, HGV stock dropped almost 10% (9.92%) and 11.55% over the last 30 days. It’s still higher than at the beginning of the year, but it has been volatile with 11 moves of 5% or greater over the last year. Missing the target was not a good sign and, while tours are up, they sold $24 million less in contract sales than in Q2 2025. That means a drop in VPG, down to $3400 per guest.

A good sign is the revenues were up ~$100 million over last year at this time. As I reference below in the transcript review, there was considerable growth in both rental and management fees among other things. They did adjust the EBITDA up $40 million.

One of the big issues was Geopolitical unrest and non discretionary commodities (like gas and food) costing more. The “All-In” cost of travel has increased as well. Airplane tickets, gas and food have made it hard for many to travel. I’m curious if Marriott Vacation Club will see similar results when their Q2 earnings are released next week.

Simply Wall St lists HGV as undervalued by ~20%, but says they are susceptible to “bad debt on customer loans and execution on large acquisitions, which could pressure margins if conditions turn.”

Here are the highlights from the 2026 Quarter 2 Earnings Call:

​

• Total Revenue -- $1.3 billion, representing 3% growth before cost reimbursements.
• Adjusted EBITDA -- $293 million, a 5% increase reflecting the resiliency of the operating model and cost efficiency programs.
• Tour Volume -- 239,000 tours, a 6% increase marking the fourth consecutive quarter of consolidated tour growth.
• Volume Per Guest (VPG) -- $3,400, a 9% decrease resulting from a higher mix of trust and new buyer transactions which carry lower average prices.
• New Buyer Sales Mix -- 28% of total volume, an increase of 70 basis points versus the prior year.
• HGV Max Membership -- 300,000 members, accounting for 40% of the total base and growing 24% year over year.
• Cost of Product -- 10%, a reduction of 130 basis points driven by a higher mix of trust sales and inventory recapture.
• Real Estate Sales and Marketing Expense -- $397 million, representing 49% of contract sales compared to 49.4% in the previous year.
• Real Estate Profit -- $173 million, growing 7% with margins expanding 220 basis points to 28%.
• Financing Revenue -- $144 million, with segment profit reaching $86 million.
• Loan Portfolio -- $5 billion in gross receivables, with an allowance for bad debt of $1.4 billion, or 28% of the portfolio.
• Loan Loss Provision -- 17% of own contract sales, rising due to higher financing propensity and a shift toward trust and new buyer sales.
• Resort and Club Revenue -- $189 million, growing 3% with profit margins of 68%.
• Rental and Ancillary Revenue -- $210 million, an 8% increase supported by RevPAR growth and higher room nights.
• Elara Transaction Contribution -- $20 million expected on a run-rate basis in 2026, with acceleration to $25 million to $30 million anticipated for 2027.

One of Mark Wang's initial remarks was the sales management at the BlueGreen resorts in Myrtle Beach and Orlando did not hit the mark and were replaced. He also mentioned that the trust sales carry a lower price point and an increase of new buyer sales resulting in lower VPG and contract sales. He also stated both the trust sales and new buyers are important to the long term health of the company. In addition to the increase in Max membership, they had 137,000 members participated in HGV Ultimate Experiences . They had activities at the World Cup, LPGA Championships and concerts, including Ashley Cooke, Tucker Wetmore, and Don Felder of the Eagles. Talked of the importance of the relationship with Hilton Hotels and the levels of luxury HGV aligns with.

The majority of the short call centered around the issues with VPG.

Here's the link to the transcript:

HGV (HGV) Q2 2026 Earnings Call Transcript | The Motley Fool

Tour volume surged 6% despite a 9% pricing decline from mix shifts.

www.fool.com

 

[HuskerATL]

Here is the HGV page for it, https://investors.hgv.com/events-an...etails/2026/HGV-Q2-2026-Earnings/default.aspx

The slides are at the bottom of this page, https://investors.hgv.com/events-and-presentations/default.aspx

 

[Oliver2025]

Blames on middle management sales leaders versus the big dog.

 

[CalGalTraveler]

VPG?

 

[dayooper]

VPG?

Volume per Guest. Average of how much each tour participant purchases.

 

[CalGalTraveler]

Thanks! I thought VPG was another term like HGV

 

[dioxide45]

Sometimes also called Value Per Guest. It is total sales minus expenses (commissions, free gifts, etc) divided by the total number of tour guests. The higher the number the more efficient the sales process is.

 

[JohnnyO]

Sometimes also called Value Per Guest. It is total sales minus expenses (commissions, free gifts, etc) divided by the total number of tour guests. The higher the number the more efficient the sales process is.

Anything I can do to help?

 

[dioxide45]

Anything I can do to help?

Nothing I would recommend. The only way to help is to buy something or not attend presentations. I would be a hypocrite if I told someone to do those things.

 

[dayooper]

Anything I can do to help?

I think you might have single handedly brought that down a couple of notches your self!

 

[JohnnyO]

I think you might have single handedly brought that down a couple of notches your self!

Just trying to get their tour numbers up and meet the quota. I can't help it if they don't lower the price enough to get me to buy. And someone has to scoop up all the HH points the newbies leave lying on the table.

 

[dioxide45]

Just trying to get their tour numbers up and meet the quota. I can't help it if they don't lower the price enough to get me to buy. And someone has to scoop up all the HH points the newbies leave lying on the table.

I don't know how many presentations you did in Q2, but with a VPG at $3400 you could say you helped make them money. Each time you toured you helped them make $3400. If you did three tours, then you helped them make $10,000.

 

[mountainboy]

I don't know how many presentations you did in Q2, but with a VPG at $3400 you could say you helped make them money. Each time you toured you helped them make $3400. If you did three tours, then you helped them make $10,000.

Except they made no sales with him & he took home 150k HH pts on most, so a little pressure on that VPG ....

 

[GT75]

Rental and Ancillary Revenue -- $210 million, an 8% increase supported by RevPAR growth and higher room nights.

This looks significant part of HGV business. It is even higher than resort and club revenue.

 

[dayooper]

This looks significant part of HGV business. It is even higher than resort and club revenue.

Yup, I was walking a reservation last year and open days ahead were gone. There’s no way anybody could have booked it and it was mid week so no home weeks could have been booked. The prices they charge are enormous and people pay.

 

[GT75]

Yup, I was walking a reservation last year and open days ahead were gone. There’s no way anybody could have booked it and it was mid week so no home weeks could have been booked. The prices they charge are enormous and people pay.

That has happened to me also several times at Ocean Oak. I noticed the same thing happening again in next year's inventory.

 

[dayooper]

That has happened to me also several times at Ocean Oak. I noticed the same thing happening again in next year's inventory.

Ugh! Not cool. Just checked Hilton Hotels. Next June, it would cost you over $7000 for a week in a 2 bedroom at Ocean Enclave. Ocean Oak was sold out for each of the weeks I tried. My guess is there will be openings later in the year.

Interestingly enough, I could book Enclave past a year out while Ocean Oak cut off any bookings after today’s date.

 

[Chris-ATX]

I don't know how many presentations you did in Q2, but with a VPG at $3400 you could say you helped make them money. Each time you toured you helped them make $3400. If you did three tours, then you helped them make $10,000.

I know this doesn't actually hold up to logic inspection, but I love it none the less! We did an OU in Q2, so we contributed to HGVC earning $3400! Proud to help out too Plus we contributed to the number of tours, so that also helped their stats....

 

[JohnnyO]

I know this doesn't actually hold up to logic inspection, but I love it none the less! We did an OU in Q2, so we contributed to HGVC earning $3400! Proud to help out too Plus we contributed to the number of tours, so that also helped their stats....

Not only that but we helped the sales people too ... in sales every NO get's you closer to the next yes. I feel like an enabler.

 

[NachoDaddy]

Glad I helped put a ding in their VPG number last week!

 

[JohnnyO]

Nothing I would recommend. The only way to help is to buy something or not attend presentations. I would be a hypocrite if I told someone to do those things.

So we might be called grifters? We are in our design process for our unofficial TUG t-shirts: GriftersRUs or Grifters R Us or Grifters-R-Us on the front. And on the back @easyrider came up with TUG … We’re Here For The Booty. Maybe a pirate theme as well since I’m a Raiders fan. Maybe a Shiver Me Timbers on the sleeve?

 

[dioxide45]

So we might be called grifters? We are in our design process for our unofficial TUG t-shirts: GriftersRUs or Grifters R Us or Grifters-R-Us on the front. And on the back @easyrider came up with TUG … We’re Here For The Booty. Maybe a pirate theme as well since I’m a Raiders fan. Maybe a Shiver Me Timbers on the sleeve?

I don't think Grifter would be the correct term. You hear grifter a lot in the online influencer space. Here is the official definition;

A grifter is a con artist or swindler who tricks people out of money or property through fraud, lies, and manipulation rather than by physical force.

The timeshare industry term for people like us is mooches. This was a term I first heard coined in the documentary Queen of Versailles by the son of Westgate Founder David Seigel. Here's the clip.

 

[JohnnyO]

I don't think Grifter would be the correct term. You hear grifter a lot in the online influencer space. Here is the official definition;

A grifter is a con artist or swindler who tricks people out of money or property through fraud, lies, and manipulation rather than by physical force.

The timeshare industry term for people like us is mooches. This was a term I first heard coined in the documentary Queen of Versailles by the son of Westgate Founder David Seigel. Here's the clip.

Oh I know. Thanks. It's a joke, because on another thread someone on TUG called us grifters for going to an Owner Update (actually a sales push) and not intending to buy. I want to get updated ... not sold. But hey, maybe I will buy if they meet my terms of negotiation. So we embraced it ... why not??? I like it better than moocher. And the developer timeshare sales people are actually the grifters so it's a psychological play on words. Thick skin here. Didn't mean to offend anyone else.

And thanks for that clip. It's a classic. And it's weird seeing Ph Westgate on the Elara. Can't wait for the other tower to be built lol.

 

[GT75]

I don't know how many presentations you did in Q2, but with a VPG at $3400 you could say you helped make them money.

I didn't realize that I also helped HGV earn $3400 for each of my latest OUs. I will continue to attend so that HGV continues to make money.

 

[cd5]

If enough of you attended maybe it could even get down to a new target of $2000?
Unfortunately, I won't be able to help as I usually go to the Embarc clubs where there is no sales team.
Good luck!