Consolidated adjusted EBITDA declined modestly to approximately $53 million, impacted by $9 million incremental loyalty and marketing investments and higher costs.
Domestic Company-owned restaurant segment EBITDA margins declined about 220 basis points due to labor inflation, aggregator fees, advertising, and food costs, partially offset by average ticket growth.
Global system-wide restaurant sales were $1.26 billion, up 4% in constant currency in Q2 2025.
International comparable sales grew 4%, reflecting progress in transformation initiatives.
Net cash provided by operating activities was approximately $67 million for the first half of 2025, with free cash flow of $37 million, up $24 million primarily due to timing and working capital improvements.
North America commissary segment adjusted EBITDA margins improved by 130 basis points to 7.3%.
North America comparable sales increased 1%, with transaction comps also up 1%, driven by strategic investments and initiatives.
Total available liquidity was approximately $500 million with a gross leverage ratio of 3.4x at quarter end.
Total revenues increased 4% to $529 million, driven by higher commissary revenues despite declines in Company-owned restaurant revenues due to refranchising.
Contract sales were down less than 1% for the quarter, with first-time buyer sales up 6% year-over-year and owner sales down 4% due to lower VPGs.
Development profit more than doubled year-over-year due to a prior year sales reserve adjustment, though excluding that, development profit declined 11%.
Leverage ended at 3.9x with $800 million in liquidity; $1 billion of inventory on the balance sheet with $310 million of inventory commitments over the next few years.
Loan delinquencies declined 110 basis points year-over-year to the lowest levels in two years, with a sales reserve of 13% of contract sales in the quarter.
Management and exchange profit increased 3% to $98 million, and financing profit increased 7% to $53 million.
Marriott Vacations Worldwide delivered $203 million in adjusted EBITDA in Q2 2025, a 29% increase with margins improving 360 basis points compared to last year.
Total company rental profit declined 16% to $35 million, driven by increased unsold maintenance fees and marketing expenses, partially offset by higher ADRs.
Dafinchi
