Greetings, and welcome to Marriott Vacations Worldwide 4th Quarter 2018 Earnings Conference Call. As a reminder, this conference is being recorded. It is now my pleasure to turn the conference over to your host, Mr. John Geller, Chief Financial Officer and Administrative Officer. Thank you.
You may begin.
Thank you, and welcome to the Marriott Vacations Worldwide 4th quarter 2018 earnings call. I am joined today by Steve Weisz, President and Chief Executive Officer. I do need to remind everyone that many of our comments today are not historical facts are considered forward looking statements under federal securities laws. These statements are subject to numerous risks and uncertainties as described in our SEC filings which could cause future results to differ materially from those expressed in our in or implied by our comments. Forward looking statements in the press release that we issued this morning along with our comments on this call are effective only today February 28, 2019 and will not be updated as actual events unfold.
Throughout the call, we will make references to non GAAP financial information. You can find a reconciliation of non GAAP financial measures referred to in our remarks in the schedules attached to our press release, as well as the Investor Relations page on our website at ir.mvwc.com. I will now turn the call over to Steve Weisz, President and CEO of Marriott Vacations Worldwide.
Thanks, John. Good morning, everyone, and thank you for joining our fourth quarter earnings call. Today, I'll walk you through the financial for 2018. I'll also provide an update on the progress of our integration efforts of the ILG business as well as the savings I'll then turn the call turn to the 2019 guidance before I hand the call over to John to provide further details on our 2018 financial results. And 2019 outlook.
We'll then begin taking your questions. I'm extremely happy with how we were able to close out the year especially given the significant ongoing work surrounding the integration of the businesses since the acquisition on September 1st. For the full year, consolidated contract sales were $1,070,000,000, including $902,000,000 MVW. On a combined basis, assuming the ILG acquisition occurred at the beginning of 2017, contract sales would have totaled $1,400,000,000, reflecting an 8% increase year over year. Adjusted EBITDA for the full previous guidance as we benefited from strong revenue reportability and better performance across the business, reflecting the strength of our diversified business model.
On a more comparable combined basis, adjusted EBITDA would have totaled $667,000,000, an increase of $21,000,000 or 3 percent, driven by a $26,000,000 or 9% increase from legacy MVW. Legacy ILG's adjusted EBITDA in the prior year benefited from roughly $20,000,000 of favorable product costs true up activity. Adjusting for this impact, total company adjusted EBITDA in 2018 would have increased $41,000,000 or nearly 7%. Looking at just the 4th quarter, combined contract sales grew $25,000,000 or 8%. Including $17,000,000 or 8% growth for legacy MVW.
In our legacy MVW business, while the majority of our sales growth came from existing sales from our and combined adjusted EBITDA grew $11,000,000 or 7 percent in the quarter, including $16,000,000 or 20% growth from legacy MVW you. Legacy ILGs adjusted EBITDA in the prior year benefited from roughly $5,000,000 of favorable product cost true up activity. After adjusting for this impact, total company adjusted EBITDA for the quarter would have increased 16000000 dollars or 10%.
We are very
late in the quarter. Our as we were still able to generate strong contract sales both of which were above the high end of our previous guidance. Looking at just the legacy MVW North America vacation ownership business, tour flow grew over 9% in the quarter, including a 14% increase in first time buyer tours. The higher first time buyer tour flow was driven by contributions from our linkage, encore and call transfer programs, as well as growth our newer sales distributions. I'm also pleased to report that our tour package pipeline activated tours with a scheduled arrival date in the current year grew more than 17% year over year.
VPG for legacy MVW North America Vacation Ownership Business was $3496, roughly in line with the fourth quarter of last year, despite In addition, we generated margin as a result of the lower cost inventory being sold and to a lesser extent, from more efficient marketing and sales spending. Now let me provide you with an update on our continuing integration efforts. As I mentioned on our previous earnings call, in excess of $100,000,000 within the next three years. I continue to view the combination of our world class brands and vacation ownership together with our extraordinary exchange and management businesses as a once in a lifetime opportunity and we are looking at the integration as just that a chance to make a transformational change to the way we do business. As it relates to savings to date, I'm pleased to say that of the end of 2018, we have achieved run rate savings of over $30,000,000, roughly $5,000,000 higher than the projection provided during our to achieve over $50,000,000 of run rate savings The teams have worked diligently over the last several months and have identified initiatives that are projected to achieve $100,000,000 of annual savings within the next three years.
We aren't planning to stop there. Let me take a in addition to our Our initial focus is I refer to Vistana, I'm talking about both the Weston and Sheraton brands. Starting with our sales associates, we have centralized recruiting across all brands and we will be working to centralize training throughout 2019. As we have found with our legacy MVW Sales Associates, a consistent on boarding experience and education process, ensures our associates are better prepared for consistent messaging during the sales process, providing them a greater likelihood of success. We believe that this will help reduce the higher than normal turnover experience last year with Faustana sales associates.
With a better prepared and stable sales force and all of the Marriott license vacation ownership brands under 1 umbrella, We have more we have many opportunities to grow the Vistana business similar to how we've grown the legacy MVW business over the last several years. We're working to grow Vistana VPG over time to the levels achieved by Marriott Vacation Club by focusing on best practices more efficient and profitable marketing channels like our Encore program. In addition, we've made very good progress with aligning our pricing and sales incentive programs across the system which again helps with messaging and the overall customer experience. We are also focused on leveraging best practices line by expanding our call transfer program utilization with Marriott International, expanding our marketing linkage opportunity across the Marriott branded lodging properties and expanding on core package production, especially at the Vistana sales locations. From a pack of the house perspective, in the short term, we are focused on consolidating human resource technology platforms, combining financial applications and reporting and integrating technology and relations related processes across the entire business.
As you might imagine, given the size of the new organization and the complexity of harmonizing the various systems, These changes require a meaningful amount of time and investment to be successful. While many of these initiatives will be substantially complete by year end, most of the savings won't begin to materialize until early 2020. Before I turn I want to read the highlight that in late December, we completed the disposition of our majority interest in VRI Europe for $63,000,000. After closing, we had a better opportunity to understand and to determine that while the VRI Europe business was expected to provide roughly $10,000,000 of adjusted EBITDA in 2019, we didn't view it as a strategic growth opportunity for We saw this we also entered into a long term extension of our former joint venture partners global affiliation agreement with Interval International. Now let's turn to 2019.
Before I get to our guidance, let me highlight a couple of vacation ownership properties coming online in 2019. Starting with our Westin brand, we reopened our beautiful property on St. John in the U. S. Virgin Islands in early January.
As you may recall, this property was closed for all of 2018 after it suffered significant damage during the 2017 hurricane season. We're very excited to have this wonderful resort and sales center back up and running for our guests and look forward to what it can deliver this year from a contract sales perspective. In Ameri Vacation Club brand, we're looking forward to opening our San Francisco property late in the second quarter. Located in the heart of the Fisherman's Wharf District, we believe this property will be a wonderful addition to our Marriott Vacation Club Pulse Portfolio, and expect this location to we are targeting contract sales between $1,530,000,000 $1,600,000,000, reflecting a year over year increase on a combined basis mainly from many of the initiatives I previously mentioned, we are also targeting significant growth in tour volumes as we expand profitable programs across the brand. Perhaps what we are most looking forward to is our ability to tap into the digital marketing environment.
By the end of third quarter, we expect to launch our digital marketing program with Marriott International Similar to our current call transfer program, this marketing channel will allow users of marriott.com to receive attractive offers and promotions linked to our products, driving higher tour flow at our Marriott, Weston and Sheraton branded locations. In addition to advertising platforms. I'm very excited about the many opportunities our newly expanded business provides. We expect 2019 to be a year of significant change for MVW as we continue to integrate and enhance the overall business. But we also accelerates as we move through the year and as we continue to harmonize business processes.
John will speak more to that cadence in a few moments. Moving to adjusted EBITDA. Percent growth at the midpoint of our guidance over 2018 with contributions coming from both of our segments. With that, me hand the call over to John to walk through further details on our fourth quarter results as well as our guidance for 2019. John?
Thank you.
Excuse me. Thank you, Steve. I too am very pleased with our strong performance in the fourth quarter as well as the progress we've continued to make on the integration of the businesses. As a reminder, with the ILG acquisition, we realigned our to manage the business To better highlight how these businesses performed in 2018, since we did not own the ILG businesses for the majority of the year, we have included additional supplemental financial results in our These results exclude ILG's 2018 performance subsequent to the acquisition. In addition, to provide a more as if the acquisition of ILG had occurred at the beginning of 2017.
Adjusted EBITDA was $180,000,000 in the fourth quarter of 2019 $11,000,000 or 7% increase and contract sales totaled $358,000,000, a $25,000,000 or 8% increase from the prior year. Looking first at legacy MVW, adjusted EBITDA increased $16,000,000 or 20 percent $99,000,000, reflecting improvements in all lines of business. In our development business, contract sales grew $17,000,000 or 8% to $224,000,000 in the quarter. Development margin in the 4th quarter was $67,000,000 or up $13,000,000 or 24 percent to the prior year. Adjusted development margin percentage was 22.4 affected the benefit of a favorable mix of inventory being sold and to a lesser extent more efficient marketing and sales spend as we continue to leverage fixed costs.
In our financing business, financing revenue net of expenses and consumer financing interest expense totaled $24,000,000, $1,000,000 above the prior year. Results include a $5,000,000 increase in interest income from our growing notes receivable balance, partially offsetting this increase was $2,000,000 of additional costs from our financing incentive programs and $2,000,000 of higher consumer financing interest expense from a combination of slightly higher cost of funds and our growing securitized debt balance. Our notes receivable portfolio continues to perform very well. The average FICO score of buyers who financed with us in the quarter was 741, while delinquency rates remain near historic lows and financing propensity remains strong at 61%. In the rental business, rental revenues net of expenses were $11,000,000, a $5,000,000 increase from the prior year.
These legacy MVW results were driven by a 1% increase in transient keys rented, a 2% increase in transient rate. And $2,000,000 of higher plus point revenues, partially offset by higher variable rental expenses. In our resort management and other services business, revenues increased $6,000,000 or 9% and margin increased $4,000,000 or 10% to $38,000,000 in the quarter. These adjusted results were driven by higher fees from managing our portfolio of resorts and higher club activity. Legacy MVW G and A costs were $30,000,000 in the quarter, $5,000,000 higher than the prior year, reflecting normal inflationary cost increases as well as higher litigation related expenses.
Royalty fees totaled $17,000,000, an increase of $1,000,000 from the fourth quarter of 2017 mainly driven by the comparable basis, adjusted EBITDA see ILG Vacation Ownership business was $4,000,000 lower in the fourth quarter. Contract sales were up $8,000,000 or 6 percent and the business also generated higher financing and rental margins as well as lower G And A spend. However, these increases were offset related to the true up activity that benefited the prior year. For the legacy ILG exchange and third party management business, adjusted EBITDA resulting primarily from the non renewal of certain agreements offset by lower G and A costs, primarily from synergy initiatives. Moving to the company total company balance sheet.
At the end of the quarter, cash and cash equivalents totaled $231,000,000, We also had approximately $119,000,000 including $51,000,000 related to legacy MVW. Further, we had roughly $596,000,000 in available capacity under our $600,000,000 revolving credit facility. Our total net debt outstanding at the end of the year was roughly $3,800,000,000, consisting primarily of $2,100,000,000 of corporate debt, most of which resulted from the ILG acquisition and $1,700,000,000 associated with our non recourse securitized notes receivable. $122,000,000 of senior unsecured notes assumed as part of the ILG acquisition. From a leverage perspective, assuming the companies were combined for all of 2018 and including $100,000,000 of synergy savings Our pro form a net debt to adjusted EBITDA ratio at the end of the year would be 2.7 times, slightly higher than our longer term target of 2 to 2.5 times.
In 2018, we generated adjusted free cash flow of $265,000,000 $10,000,000 above the high end of Turning to our return of capital in the 4th quarter, we repurchased 1,200,000 shares for $94,000,000 at an average price per share of $76.51 and we also paid quarterly dividends of $19,000,000. Subsequent to the end of the 4th quarter and through February 26, we repurchased over 931,000 shares of common stock for nearly $78,000,000 at an Let me take a moment to update you on the status of For legacy MVW, we received $38,000,000 including $6,000,000 sub went to the end of 2018 to settle the legacy MVW claim. As it relates to the legacy ILG and claim, we continue to work with our insurance carriers to finalize that claim. We received a $25,000,000 advance towards the claim which was accounted we expect to settle the claim during the second quarter. As we've done in the past, our adjusted EBITDA and adjusted free cash flow results and guidance do not reflect any insurance proceeds from settling these claims.
Now let's turn to 2019. As Steve mentioned, we are targeting contract sales of $1,530,000,000 to $1,600,000,000 reflecting growth of 7% throughout the year coming from a combination of higher tours at both our existing However, this growth will be offset by slower growth in the Vistana timeshare business during the first half of the year as we continue to integrate the Vistana business into our vacation ownership business. In addition, Vistana's contract sales in the prior year benefited from certain financing programs and tour qualification incentive programs that we have since discontinued. All of these changes will allow us to set the foundation for stronger growth throughout second half of the year. For the Exchange And Third Party Management segment, active members are projected to decline slightly in 2019, reflecting the full year impact slightly higher than inflationary levels as a result of programs being implemented or enhanced that expand membership benefits.
As we look ahead to 2019 our strategy for these businesses includes diversifying beyond the traditional vacation ownership business, increasing average revenue per member and identifying and expanding benefits to exchange members and of course, focusing on adding new resorts and properties to the network. For adjusted EBITDA we are projecting $745,000,000 to $785,000,000 in 20 19 or almost 15% growth at the midpoint of our guide over 2018 combined results. Sales growth, let me try to put this into perspective. We estimate that roughly half of the growth, call it 7 to 8 percentage points will come from improved the 2017 2018 hurricanes primarily from the ramp up of our Westin St. John property and 4 to 5 points will come from incremental synergy savings.
Partially offsetting this growth, however, will be the loss of 1 to 2 percentage points from the disposition of VRI Europe in late 2018. From a quarterly perspective, with adjusted EBITDA being impacted by the timing of contract sales growth as well as the accumulation of incremental synergy savings throughout the year, we also expect a ramp up in adjusted EBITDA growth as we progress through 2019. We expect adjusted net income in 2019 to be between $337,365,000,000 And when assuming no further share repurchase activity, adjusted fully diluted earnings per share to be between $7.23 $7.83. Lastly, with these projected financial results, we are targeting adjusted free cash flow between 400 $475,000,000 for 2019, highlighting the benefits of our capital efficient development model which allows us to add As we have done in the past, we will continue to identify ways to enhance cash flow generation in 2019, while ensuring our spending continues to support future we expect to receive in 2019 from settling the legacy ILG claim as well as roughly $60,000,000 to $80,000,000 related to costs to achieve our synergies half times debt to adjusted EBITDA, our capital allocation strategy remains the same. We will look to use free cash flow to invest dollars We finished the year strong and we are very excited about what lies ahead.
I look forward to providing updates on our progress towards questions worldwide. And with that, we will open up the
call for
Q you. Our first question comes from Brian Dobson with Nomura. Please proceed with your question.
So I have two questions this morning. The first on free cash flow, would it be possible for you to run through some of the puts and takes for cash flow available to be returned to shareholders this year as well as any integration expenses that you might expect?
Sure. So, yeah, you have, obviously, our free cash flow, the guidance we provided, Brian, 400 to 4.75 we don't include kind of one time items. So I guess a couple of puts and takes there. One, because of the BI settlements late year and the sale of GRI late in the year. We came into the year with probably roughly a $100,000,000 give or take of excess cash.
And then you obviously have the 4 to 4 75 of and so pick a midpoint there. That you would add into that. And then backing off, you got the one time integration costs and a little bit of litigation settlement. So call that probably in the $80,000,000 to $90,000,000 range as a deduct. The other potential upsides really are 1.
We expect to get the remaining VRIE proceeds here in the first quarter and that could be roughly, call it, $35,000,000 that wouldn't be in our guidance. And then While I'm not going to give you a number, we do see potential significant upside still from settling the legacy business interruption for the ILG business. We're still working through that with the insurer. So if you kind of take the puts and takes, and then assuming our same dividend rate of roughly $80,000,000 a year. I think the number maybe that you're looking for is probably in the $350,000,000 to $450,000,000 of additional cash that, we could potentially return back to shareholders.
That's great. Thank you. And then as a follow-up question, could you talk a little bit about what the tech marketing will look like? Will that take the form of in app advertising? Or, or will there be something a little bit more subtle to that?
There's going to be a couple of things to look for. So let me, let me start first with the, the kind of digital version of the call transfer program. Imagine this that you're on marriott.com, you're either making a reservation or you're modifying a reservation, whatever. We will push an offer to you chronically, that you can either choose to engage with or not. So that's that one.
We have already begun and we continue to work with a number of the social media companies where we do some put some offers out there on an advertising basis. Then that potentially then generates a lead sheet, which we then follow-up on and try to book a package. So those are 2 different versions. There's some other software with, but I think that gives you the general sense of what we're doing.
Great. Thank you. I look forward to seeing you all at our time share day in Orlando on Monday.
We look forward to that as well. Thank you. Our next question is from Cameron McKnight with Credit Suisse. Please proceed with your question.
Good morning, Kyle. Good morning. Thanks very much. A question for you, Steve, first you mentioned, you mentioned volatility in the stock market and the economy. I noticed that VPG was off a little bit year over year in the quarter.
Can you talk about close rates through the quarter? And Did you see any impact on close rates as we progress through the volatile days of December?
Yes. I can tell you for the quarter, our close rate was actually up 10 basis points. However, the mix of the closed rate, was a little bit different. So our first time buyer closing rate was down about 50 basis points our owner closing rate was up about 50 to 60 basis points. So that's where you get the net of 10 or 10 basis points.
If you think about it, my my view of the world is that starting and call it mid to late November, there obviously were some negative vibes out in the market place. The market got a little skittish in terms of the equity markets. The R word started coming out of people's mouths on a more frequent basis. And so I think, no mystery here. Our typical customer probably has a little more exposure to the equity market than maybe some other of our brethren in the industry.
And our folks are very attuned to what's going on. So not unlike when Brexit was announced or when the China trade sanctions were put in place, our sales executives have a tendency to get questions from our customers, during that period of time. So And where you might think it would manifest itself most would be a first time buyer who hasn't really, had that much track experience with us in terms of, great vacations, etcetera. So that's where we saw it dip down a little bit.
Great. Thanks. That makes perfect sense. And then a question for John in terms of the bridge to free cash flow. Do you specs that inventory spending will be a source or use of cash, as far as the cash flow statement is concerned relative to cost sales?
Yes. For the guidance we've given, obviously, it's a fairly broad range. I would say kind of the midpoint of the guidance There may be a little bit of benefit in those numbers, but it's not a material amount, Cameron. Clearly as we've done in the past, we'll focus on spending the right amount to drive the top line but not spending more than we have to. And so that's always our goal.
So, there's always opportunity every year usually to outperform meaning spend less and manage our cash flow. And that's what we've been able do over the last couple of years. And clearly with the ILG acquisition, in certain buckets there, we do have some excess inventory, but We're focused on growth and adding new sales centers and resorts in the right locations. And similar to what we've done with legacy MVW over the years, we expect to add resorts, both in the Western Sheridan and Hyatt and do that on a more capital efficient basis. So that gives you kind of where we're at on the guidance, but also just a little additional color there.
Perfect. Thanks very much.
Thank you.
Our next question is from Jared Shojaian with Wolfe Research. Please proceed with your question.
Hi, Jerry. Hey, good morning, everyone. Hey, good morning. So just sticking with the 4th quarter here, you beat the implied 4th quarter EBITDA expectation by around $20,000,000. Can you just talk about, I guess, what came in better for you relative to what you were thinking?
I know the reportability was better, but I think sprinkled throughout the P and L, I guess, what really drove that? And I guess, did you take more of a conserve of approach given that the ILG combination is still early days? And have you sort of assumed that same mindset as you think about your 2019 guidance? Thank you.
Yeah. Hey, Jared, it's John. Yeah, you're right. I think the real outperformance versus the guidance we gave in the third quarter with some of the reportability on the legacy MVW side. So as you're aware, we now report revenues based on closing.
So closings outperformed in the quarter based versus our expectations. We did better getting getting contracts closed and getting the cash in prior to the end of the year. So that was probably, maybe $7,000,000 to $8,000,000 versus our expectation I mean, and as I went through, it was really the legacy MVW business that seemed to outperform a little bit on our expectations. I think the Vistana and the legacy exchange in rental or excuse me, 3rd party management businesses pretty much performed in line the legacy on VW as I went through rentals were a little bit better. The management business did a little bit better.
And then the other place we outperformed a little bit probably a couple of $1,000,000 in synergy capture in the fourth quarter, versus our expectations. In terms of the outlook, We're trying to put out what we think is the most likely to occur. This year, probably obviously a lot more moving parts with the integration of the vacation ownership business on the Marriott and the Vistana side. So We feel good about the guidance we put out and we'll update you obviously with performance as we move through the year.
Great. Thank you. And then as we think about VRI Europe, are there any other segments that we could see additional opportunity, monetization. I know obviously there was a lot of speculation when you first closed the deal about the interval exchange network. So we would just love to hear any updated thoughts on, what else you could really pursue from a decision standpoint?
Well, I think it's an excellent question. I mean, clearly, we have, we've not only tried to learn more about each these businesses, whether it be interval or whether it be Aqua Aston or VRI or TPI, and all of those businesses businesses that are very attractive to us. They have very attractive cash flow profiles. And I think it really helps fill out our portfolio very nicely. As in all cases, we'll obviously try to understand what's the highest and best of our capital and everything else.
If we see something out there that might be a better use of capital than what we could get from loan one of those businesses we consider it. But I can be honest with you and tell you that it's not on our radar screen, either now or in the immediate future.
All right. Thank you very much.
Our next question comes from Patrick Scholes with SunTrust Robinson.
A couple of questions here. You had noted to begin the online marketing with Marriott I believe is in the third quarter. How should we think about the lag time between you starting that and actually seeing sales coming from that? How long does that you think that'll take to really ramp up?
Yes. Obviously, it's new for us on the digital side, but I would expect it perform reasonably similar to the call transfer program that we put in place several years ago, which means that you'll get the ability to book a package, but by the time the package actually comes through the house in terms of people taking a tour, etcetera. It could be as much as 6 to almost 18 months later when they actually do it. Obviously, we'll update you more as we get more experience there. But I so as we think about coming online called the end of the third quarter.
I would not expect any meaningful benefit in terms of that package production resulting in contract sales until at least 2020. Okay.
Thank you. My next question relates to your interval exchange revenue per members. And I apologize if I didn't see this in the release, certainly looked like the membership levels were flat, but what was how did the revenue per member perform? Certainly as you're aware, I think RCI had some challenges within the fourth quarter, did you see similar?
For the quarter, it was down about 210ths of a about 4%
about 2% on the For the full year. For the full year, yes. In
the quarter, it was down 4%. Got it.
Okay. What was driving it down 4%. Was there resistance to any price increases?
No. As you may be aware, we there were several different large accounts that moved away from interval one of which was wealth resource, which moved away in the end of the end of 2017. Obviously, because of that, there are different forms of revenue that come from an account like that. You get not only the corporate membership revenue, but also the transaction revenue that comes with it. Wyndham also had purchased Shell Resorts a number of years ago.
That contract within roll was up and it, it moved it transitioned over to RCI in the fourth quarter. That was largely it. There's nothing that we see that's a structural impediment to the revenue growth. And I think as you may recall, in our remarks, we said that we expect that revenue growth per member will actually be a little bit higher than typical inflation. The only other thing I would point out and this is something that I would expect that you'll hear elsewhere.
There is softness in Mexico. And as a result, the number of people that want to go there because of some of the crime problems, etcetera, that are down there, that is affecting the change business, but it's also affecting the Vacation Ownership business to a lesser degree.
Okay. Thank you. And then two more questions here. Certainly, you laid out, potential uses for free cash flow balance sheet this year. After having made this large acquisition last year, how realistic do you think it is that you couldn't be making another sizable acquisition from that free cash flow this year.
And this will be certainly something that helps us think about model and share repurchases and the like going forward?
Sure. I think it's a very legitimate question. I mean, if a great thing came along, we'd have to study it pretty hard and understand. I mean, I'll be the first to admit to you that The integration work that we're doing and have been about for the last 6 months is not insignificant in terms of trying to tie the two businesses together from an MVW and ILG standpoint. That have to be kind of woven into our thinking about taking it on other big acquisition, but if it was a great opportunity and meaningfully accretive to our shareholders, we certainly have to give it serious consideration.
Okay. Thank you. And just one last quick question. Any thoughts on timing or holding an Investor Day this year? Timing of that Investor Day?
Yeah. Our goal is still to do one here, call it by the end of the 3rd quarter. So more to come on that, but it's definitely, definitely the goal to get something on everyone's calendar here shortly.
Okay, thank you. That's it.
Thank you. Ladies and gentlemen, we reached the end of the question and answer session. At this time, I'd like to turn the call back to Steve Weisz for closing comments.
Thanks, Rob. I'm very excited with how the business wrapped up 2018. But I'm even more excited about the opportunities that lie ahead of us for in 2019 and beyond. I'm confident that the transformation and plan to execute should result in robust performance for our shareholders for many years to come. Thank you for your time and finally to everyone on the call and your families.
Enjoy your next vacation.
This concludes today's conference. You may disconnect your lines at this time, and we thank you for your participation and interest in Marriott Vacations Worldwide.