Quarterly report pursuant to Section 13 or 15(d)

Revenue From Contracts With Customers

v3.22.2.2
Revenue From Contracts With Customers
 9 Months Ended
Sep. 30, 2022
Revenue From Contracts With Customers [Abstract]  
Revenue From Contracts With Customers
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3. Revenue from Contracts with Customers

The table below sets forth the Company’s disaggregated revenue by category from contracts with customers (in thousands):

For the Three Months Ended

For the Nine Months Ended

September 30,

September 30,

2022

2021

2022

2021

Sales of VOIs (1)

$

155,218

$

107,383

$

398,506

$

255,126

Fee-based sales commission revenue (1)

14,241

35,585

57,174

96,921

Resort and club management revenue (2)

28,073

25,879

81,098

76,250

Cost reimbursements (2)

20,719

18,699

54,950

50,859

Title fees and other (1)

3,699

3,730

10,216

8,867

Other revenue (2)

2,787

2,311

7,239

6,142

Revenue from customers

224,737

193,587

609,183

494,165

Interest income (3)

25,803

20,931

71,506

59,787

Other income, net

296

—

774

157

Total revenue

$

250,836

$

214,518

$

681,463

$

554,109

(1) Included in the Company’s sales of VOIs and financing segment described in Note 14.

(2) Included in the Company’s resort operations and club management segment described in Note 14.

(3) Interest income of $25.5 million and $20.9 million for the three months ended September 30, 2022 and 2021, respectively, and $71.0 million and $59.5 million for the nine months ended September 30, 2022 and 2021, respectively, are included in the Company’s sales of VOIs and financing segment described in Note 14.

As of September 30, 2022 and December 31, 2021, the Company had commission receivables, net of an allowance, of $7.7 million and $17.4 million, respectively, related to sales of VOIs owned by third-parties, which are included in other assets in the unaudited consolidated balance sheets. Commission receivables relate to contracts with customers, including amounts associated with the Company’s contractual right to consideration for completed performance obligations, and are settled when the related cash is received. Commission receivables are recorded when the right to consideration becomes unconditional and is only contingent on the passage of time.

Contract liabilities include payments received or due in advance of satisfying performance obligations, including points awarded to customers as an incentive for the purchase of VOIs that may be redeemed in the future, advance deposits on owner programs for future services, and deferred revenue on prepaid vacation packages for future stays at the Company’s resorts or nearby hotels. Both points incentives and owner programs are recognized upon redemption, and deferred revenue for vacation packages is recognized net of sales and marketing expenses upon customer stays. Contract liabilities are included in deferred income in the Company’s unaudited consolidated balance sheets.

The following table sets forth the Company’s contract liabilities as of September 30, 2022 and December 31, 2021 (in thousands):

September 30,

December 31,

2022

2021

Point incentives

$

4,085

$

2,676

Owner programs

2,262

2,159

Deferred revenue vacation packages

1,115

1,274

$

7,462

$

6,109