Travel + Leisure Co. (NYSE:TNL) Q3 2023 Earnings Conference Call October 25, 2023 8:30 AM ET

Company Participants

Chris Agnew - Senior Vice President, Investor Relations

Michael Brown - President & Chief Executive Officer

Mike Hug - Chief Financial Officer

Conference Call Participants

Joe Greff - JPMorgan

David Katz - Jefferies

Dany Asad - Bank of America

Brandt Montour - Barclays

Patrick Scholes - Truist Securities

Chris Woronka - Deutsche Bank

Isaac Sellhausen - Oppenheimer

Operator

Hello and welcome to the Travel + Leisure Q3 2023 Earnings Call and Webcast. [Operator Instructions] A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder this conference is being recorded.

It is now my pleasure to turn the call over to Christopher Agnew, Investor Relations. Please go ahead sir.

Chris Agnew

Thanks, Kevin and good morning. Before we begin, we'd like to remind you that our discussions today will include forward-looking statements. Actual results could differ materially from those indicated in the forward-looking statements and the forward-looking statements made today are effective only as of today. We undertake no obligation to publicly update or revise these statements.

The factors that could cause actual results to differ are discussed in our SEC filings and in our earnings press release accompanying the earnings call. And you can find a reconciliation of the non-GAAP financial measures discussed in today's call in the earnings press release available on our website at travelandleisureco.com/investors.

This morning Michael Brown, our President and Chief Executive Officer will provide an overview of our third quarter results and Mike Hug, our Chief Financial Officer will then provide greater detail on the quarter our balance sheet and outlook for the rest of the year. Following our prepared remarks, we will open up the call for questions.

With that, I'm pleased to turn the call over to Michael Brown.

Michael Brown

Thanks, Chris and thank you for joining us on our third quarter earnings call. This morning we reported adjusted EBITDA of $248 million, a 6% increase over the prior year and adjusted diluted earnings per share of $1.54, a 20% improvement over Q3 2022.

Third quarter adjusted EBITDA margin was 25% flat compared to the prior quarter and prior year. Our team delivered solid results against key performance indicators, particularly the Vacation Ownership business. Sales volume per guest and gross VOI sales were at the top end of expectations, as well, new owner, and total tour flow increased 36% and 18% respectively year-over-year.