ORLANDO - Travel + Leisure Co. (NYSE:TNL), a global leisure travel company, has declared a regular cash dividend for its shareholders. The dividend of $0.50 per share is scheduled to be paid on December 31, 2024, to shareholders of record as of December 13, 2024.
The company, known for providing vacations to over six million travelers annually, operates a diverse portfolio that includes vacation ownership, travel clubs, and lifestyle travel brands. With a focus on hospitality and responsible tourism, Travel + Leisure Co. employs over 19,000 associates worldwide, all working towards their mission of making leisure travel accessible to more people.
This announcement comes as part of the company's ongoing financial strategy and commitment to shareholder returns. Travel + Leisure Co. has emphasized its dedication to maintaining a strong balance sheet and providing consistent dividends, which reflects its stable position within the competitive timeshare and leisure travel industries.
While the company has expressed confidence in its business model and future prospects, it also acknowledges the various risks associated with the travel industry. These include economic factors such as inflation and recessionary pressures, geopolitical tensions, and other unpredictable events like pandemics and natural disasters, which could impact consumer travel patterns and demand for the company's products.
Travel + Leisure Co.'s forward-looking statements, as defined by the SEC, highlight their expectations and beliefs regarding future company performance. However, they are subject to uncertainties and potential differences in actual results due to the factors mentioned above and others detailed in the company's SEC filings.
The declaration of this dividend is based on information available as of the date of the press release and does not constitute a promise of future dividends, which are subject to change based on the company's financial health and market conditions.
The information for this article is based on a press release statement from Travel + Leisure Co.
In other recent news, Travel + Leisure Co. reported a robust Q3 2024 performance, with a 24.4% margin on adjusted EBITDA of $242 million and over $150 million in adjusted free cash flow. The company also highlighted the successful integration of Accor (EPA:ACCP) Vacation Club and ongoing developments within the Travel & Membership segment, which are expected to contribute to long-term growth strategies. Gross Vacation Ownership Interest (VOI) sales reached $606 million, marking a 2% increase in revenue. Management also returned $105 million to shareholders through dividends and buybacks. Furthermore, the company closed a $325 million asset-backed securities transaction at a 5.2% rate. Despite some challenges such as hurricanes impacting operations in Florida and North Carolina, and slight underperformance in Las Vegas, the company maintains a positive outlook for Q4 and beyond. These are among the recent developments for Travel + Leisure Co.
InvestingPro Insights
Travel + Leisure Co.'s recent dividend announcement aligns with its strong financial performance and commitment to shareholder returns. According to InvestingPro data, the company's dividend yield stands at 4.01%, with a notable dividend growth of 11.11% over the last twelve months. This consistent dividend policy is further supported by an InvestingPro Tip highlighting that TNL has maintained dividend payments for 18 consecutive years.
The company's financial health appears robust, with a P/E ratio of 8.78, significantly lower than many in the travel industry. This valuation metric, coupled with an InvestingPro Tip indicating that TNL is trading at a low P/E ratio relative to near-term earnings growth, suggests the stock may be undervalued. Additionally, the company's revenue for the last twelve months reached $3.829 billion, with a healthy gross profit margin of 48.73%.
Investors may find comfort in TNL's profitability, as emphasized by another InvestingPro Tip stating that the company has been profitable over the last twelve months. This is further reinforced by the strong return on assets of 6.31% and an impressive operating income margin of 19.56%.
For those interested in a deeper analysis, InvestingPro offers 11 additional tips for Travel + Leisure Co., providing a comprehensive view of the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.