Marriott Vacations Profit Tops Estimate, Again Lifts FY Guidance; Stock Up

(RTTNews) - Marriott Vacations Worldwide Corp (VAC) Wednesday said its profit for the third quarter came in flat amid a marginal increase in revenue. Nevertheless, earnings per share improved due to a lower share count, and topped Wall Street estimates by a penny. Revenues, however, missed expectations.

The company also initiated a quarterly dividend of $0.25 per share and authorized the repurchase of an additional 3.4 million shares.

Marriott Vacations shares jumped 6 percent on the New York Stock Exchange, following the announcement.

Marriott Vacations, based in Orlando, Florida, posted quarterly net earnings of $25 million, unchanged from last year. On a per share basis, earnings were $0.75, compared with $0.67 a year ago. Earnings per share for the quarter improved as a result of lower share count.

Excluding items, earnings for the quarter were $0.81 per share, compared with $0.72 per share last year.

On average, eight analysts polled by Thomson Reuters expected earnings of $0.80 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter was up by $1 million at $413 million, but missed analysts' expectations of $421.9 million.

The company said its North America volume per guest increased 6.9 percent year-over-year to $3,477.

For the full year, the company now expects adjusted earnings of $2.67 to $2.84 per share, up from prior range of $2.64 to $2.82 per share. Analysts currently expect earnings of $2.77 per share.

The company's stock is trading at $62.82, up $3.75 or 6.35%.