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+ INVESTOR PRESENT A TION May 2025 MANHATTAN, NY
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Presentation of Financial Information Financial information discussed in this presentation includes non-GAAP measures such as Adjusted EBITDA, Adjusted EBITDA margin, Adjusted diluted EPS, Adjusted free cash flow, Adjusted free cash flow conversion, gross VOI sales and Adjusted net income, which include or exclude certain items, as well as non-GAAP guidance. The Company utilizes non-GAAP measures on a regular basis to assess performance of its reportable segments and allocate resources. These non-GAAP measures differ from reported GAAP results and are intended to illustrate what management believes are relevant period-over-period comparisons and are helpful to investors when considered with GAAP measures as an additional tool for further understanding and assessing the Company’s ongoing operating performance by adjusting for items which in our view do not necessarily reflect ongoing performance. Management also internally uses these measures to assess our operating performance, both absolutely and in comparison to other companies, and in evaluating or making selected compensation decisions. Exclusion of items in the Company’s non-GAAP presentation should not be considered an inference that these items are unusual, infrequent or non-recurring. See the appendix to this presentation for definitions of these Non-GAAP measures, and full reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures where applicable. The Company may use its website as a means of disclosing information concerning its operations, results and prospects, including information which may constitute material nonpublic information, and for complying with its disclosure obligations under SEC Regulation FD. Disclosure of such information will be included on the Company’s website in the Investor Relations section at travelandleisureco.com/investors. Accordingly, investors should monitor that Investor Relations section of the Company website, in addition to accessing its press releases, its submissions and filings with the SEC, and its publicly noticed conference calls and webcasts. About Travel + Leisure Co. Travel + Leisure Co. (NYSE:TNL) is the world’s leading leisure travel company, providing more than six million vacations to travelers every year. The Company operates a portfolio of vacation ownership, travel club, and lifestyle travel brands designed to meet the needs of the modern leisure traveler, whether they’re traveling the world or staying a little closer to home. With hospitality and responsible tourism at its heart, the Company’s nearly 19,000 dedicated associates around the globe help the Company achieve its mission to put the world on vacation. Learn more at travelandleisureco.com. Forward-Looking Statements This presentation includes “forward-looking statements” as that term is defined by the Securities and Exchange Commission (“SEC”). Forward-looking statements are any statements other than statements of historical fact, including statements regarding our expectations, beliefs, hopes, intentions or strategies regarding the future. In some cases, forward-looking statements can be identified by the use of words such as “may,” “will,” “expects,” “should,” “believes,” “plans,” “anticipates,” “estimates,” “predicts,” “potential,” “projects,” “continue,” “outlook,” “guidance,” “commitments,” “future” or other words of similar meaning. Forward-looking statements are subject to risks and uncertainties that could cause actual results of Travel + Leisure Co. and its subsidiaries (“Travel + Leisure Co.” or “we”) to differ materially from those discussed in, or implied by, the forward-looking statements. Factors that might cause such a difference include, but are not limited to, risks associated with: the acquisition of the Travel + Leisure brand and the future prospects and plans for Travel + Leisure Co., including our ability to execute our strategies to grow our cornerstone timeshare and exchange businesses and expand into the broader leisure travel industry through travel clubs; our ability to compete in the highly competitive timeshare and leisure travel industries; uncertainties related to acquisitions, dispositions and other strategic transactions; the health of the travel industry and declines or disruptions caused by adverse economic conditions (including inflation, recent tariff actions and other trade restrictions, higher interest rates, and recessionary pressures), terrorism or acts of gun violence, political strife, war (including hostilities in Ukraine and the Middle East), pandemics, and severe weather events and other natural disasters; adverse changes in consumer travel and vacation patterns, consumer preferences and demand for our products; increased or unanticipated operating costs and other inherent business risks; our ability to comply with financial and restrictive covenants under our indebtedness; our ability to access capital and insurance markets on reasonable terms, at a reasonable cost or at all; maintaining the integrity of internal or customer data and protecting our systems from cyber-attacks; the timing and amount of future dividends and share repurchases, if any; and those other factors disclosed as risks under “Risk Factors” in documents we have filed with the SEC, including in Part I, Item 1A of our Annual Report on Form 10-K most recently filed with the SEC. We caution readers that any such statements are based on currently available operational, financial and competitive information, and they should not place undue reliance on these forward-looking statements, which reflect management’s opinion only as of the date on which they were made. Except as required by law, we undertake no obligation to review or update these forward-looking statements to reflect events or circumstances as they occur. 2
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Company Overview LIMETREE BEACH RESORT BY CLUB WYNDHAM ST . THOMAS, VI ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 3
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T ravel + Leisure Co.: The Leader in Vacation Ownership • Industry has consolidated around large, branded-name companies • Product evolution to points-based system provides greater utility to owners • Long-term stable owner base generates significant recurring revenue • Margin stability in a variety of economic conditions • Strong free cash generation supports capital allocation flexibility • Over $2.6B returned to shareholders since spin in 2018 through dividends and share repurchases(1) LEADING THE TRANSFORMA TION OF THE INDUSTRY RESILIENT , PROVEN BUSINESS MODEL SHAREHOLDER-FRIENDL Y APPROACH TO CAPIT AL ALLOCA TION ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW (1) As of March 31, 2025. QUARTERL Y RESUL TS AND OUTLOOK 4
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$3.9B Net Revenue 2024 22.6% Avg. Adj. EBITDA Margin(1) 2018 - 2024 $2 .7B Cumulative Adj. FCF(1) 2018 - 2024 3.4M Avg. Exchange Members 2024 ~19,000 Employees Worldwide 2024 391K New Owner T ours 2024 270+ Resorts Worldwide 2024 3,600 Affiliated RCI Resorts 2024 809K Timeshare Owners 2024 T ravel + Leisure Co.: By the Numbers WORLDMARK SCHOONER LANDING NEWPORT , OR ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW (1) Non-GAAP measure: see appendix for definition and reconciliation. Note: All amounts presented as of December 31, 2024. QUARTERL Y RESUL TS AND OUTLOOK 5
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V ACA TION OWNERSHIP TRA VEL AND MEMBERSHIP + Overview • Sales of vacation ownership interests • Resort Management • Consumer Financing + Overview • Exchange services for timeshare intervals • Travel club membership + 2024 Financials + 2024 Financials $3,171M Net Revenue $695M Net Revenue 24% Adj. EBITDA Margin(1) 36% Adj. EBITDA Margin(1) $764M Adj. EBITDA(1) $251M Adj. EBITDA(1) (1) Non-GAAP measure: see appendix for definition and reconciliation. ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 6
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Consolidation + Product Evolution Driving Industry T ransformation Fragmented, Regional Developers Consolidated industry with large global networks Mono-Brand Branded hospitality developers with ~80% of sales tied to top four brands(1) Fixed Week, Fixed Unit Flexibility with points-based system to curate unique vacation experiences Real Estate Focused/ Capital Intensive Capital efficient with inventory spend ~10% of annual sales(2) HISTORICAL TODA Y: SCALED & POISED FOR ACCELERA TED GROWTH PRODUCT CAPIT AL INTENSITY FOOTPRINT BRAND (1) Source: ARDA Fourth Quarter 2024 Pulse Survey. (2) Average presented as a percentage of gross VOI sales from 2018-2024. ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 7
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+ Secular Growth In T ravel • Global leisure travel market is forecasted to grow at a CAGR of 7% (2024-2032)(1) • 25% of our guests surveyed in 2025 worked during their stay at our resorts(2)(3) + Attractive Product • “Best of both” with spacious accommodations of vacation rental with consistent, safe experience similar to hotel • Split points into multiple stays, borrow from the future, or bank points into next year • Strong value proposition vs hotel stay or vacation rental + Generational Shift • Average age of new owner is ~50 years old(3) • 65% of sales are to Gen X, Millennials, and younger generations(3) Favorable T rends in the Business + Strong Owner Satisfaction • Owners buy more— ~70% of sales are to existing owners(3) • 98% annual retention of owners who fully paid off their purchase or are current on their loan(4) (1) Source: Expert Market Research.com (2) Wyndham Destinations post-stay surveys of guests younger than 67. (3) Information provided for the three months ended March 31, 2025. (4) As of March 31, 2025. ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW WORLDMARK CLEAR LAKE NICE, CA QUARTERL Y RESUL TS AND OUTLOOK 8
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Consumer Financing $3.2B portfolio with weighted average interest rate of 15% $5.0B Consumer Financing Interest revenue on existing and potential upgrade loans Exchange T ransactions Subscription Revenue VOI Upgrade Owners consistently buy 2.6X their initial purchase $11.5B Gross VOI Sales (2) Owner upgrade potential of current members Other New owner sales New Owner Sales Create Solid Foundation for Future Revenue Growth MORE THAN 75% OF REVENUES ARE PREDICT ABLE AND/OR RECURRING (1) STRONG PIPELINE OF POTENTIAL FUTURE REVENUE (1) 10 Y ear Revenue Potential (Not Discounted) $3.2B Club + Resort Management Fees > 75% of T otal$19.7B (1) As of December 31, 2024. (2) Gross VOI Sales, a forward looking non-GAAP measure, the reconciliation of which is not available without unreasonable effort. See appendix for definition. ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW Property Management Resort management fees Cost plus pass through QUARTERL Y RESUL TS AND OUTLOOK 9
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PROVEN BRANDS BRANDS WITH EXPANDED GROWTH POTENTIAL BRANDS IN DEVELOPMENT Stable of Brands to Appeal to a Wide Range of Consumers Throughout the Stages of Their Lives Newer, faster-growing brands augment growth in mature brands ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 10
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2007 2008 2009 2010-2019 2020 2021 2022 2023 2024 Q1 2025 1,993 1,987 1,315 1,935 (2) 967 1,491 1,982 2,149 2,293 512 24% 21% 2023 24% 2024 Q1 2025 Resilient Business with Strong Adjusted EBITDA Margins Vacation Ownership Segment Adjusted EBITDA Margin (1) 2007 2008 2009 0% 5% 10% 15% 20% 25% 30% 16% 2021 23% 2022 23% 2010-2019 24% (2) 2020 7% COVID-19 GROSS VOI (1) (1) Non-GAAP measure: see appendix for definition and reconciliation. (2) Average from 2010-2019. ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW 22% 16% The Great Recession QUARTERL Y RESUL TS AND OUTLOOK 11
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Consumer Financing Drives Substantial Earnings Stream 2007 2008 2009 2010-2019 (2) 2020 2021 2022 2023 2024 Q1 2025 248 295 296 360 366 323 327 315 314 78 NET INTEREST INCOME (1) Weighted average FICO Score on New Originations. (2) Average from 2010 - 2019. FICO(1)Weighted Average Interest Rate 2007 2008 2009 2010-2019(2) 2020 2021 2024 Q1 202520232022 10.0% 11.0% 12.0% 13.0% 14.0% 15.0% 16.0% 18.0% 17.0% 500 600 700 800 683 12.5% 691 12.7% 725 12.9% 726 13.8% 736 14.7%14.7% 736 14.6% 735 744 15.0% 748 15.0% 739 14.9% ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 12
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Disciplined Approach to Underwriting Has Improved Relative Position of Loan Portfolio Weighted Avg. FICO (At origination) % of loans < 640 FICO Portfolio Equity Weighted Avg. Coupon Loan Loss Provision 12/31/2019 14.3% 722 52.7% 14.6% 3/31/2025 10.7% 736 55.5% 15.0% INCREASED FICO MINUMUM TO 640 IMPLEMENTED MINIMUM FICO UNDERWRITING STANDARD (1) Portfolio Characteristics as of 3/31/2025. Qualified Non-defaulted North American Portfolio, including Shell originations starting 07/01/13. LOAN COUNT (1) ~132,000 AVG. BALANCE (1) $2 2 ,741 RECEIVABLES (1) $3.01B AUTO PAY ENROLLMENT (1) 88% 12/31/2008 31.4% 680 39.1% 12.7% 22.6% 20.6% 19.1% ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 13
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EXCHANGE TRA VEL CLUBS TRA VEL AND MEMBERSHIP Our T ravel and Membership Business is T ransforming • Pressure on volumes as industry has consolidated and points-based products expand • Resized footprint and more targeted approach will drive higher quality service and better efficiency • Refining offering to broaden appeal to closed-user groups • Driving mix toward higher margin transactions • Higher Revenue per Transaction • Increased Member Retention + = High Margin, Low Capital Intensity, and High Adjusted Free Cash Flow ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW QUARTERL Y RESUL TS AND OUTLOOK 14
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QUARTERL Y RESUL TS AND OUTLOOK ADDITIONAL FINANCIAL INFORMA TION NON- GAAPS COMPANY OVERVIEW INVESTING IN THE BUSINESS CAPIT AL RETURNS TO SHAREHOLDERS BALANCE SHEET Disciplined and Balanced Capital Allocation Framework Opportunistic M&A Organic growth Dividends Share repurchases Leverage reduction through EBITDA growth Manageable maturities CLUB WYNDHAM DUNSBOROUGH DUNSBOROUGH AUSTRALIA CLUB WYNDHAM ORANGE TREE RESORT SCOTTSDALE, AZ ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW WORLDMARK ESTES PARK ESTES PARK, CO QUARTERL Y RESUL TS AND OUTLOOK 15
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$235 $70 $26 $125 Shareholder-Focused Capital Allocation (1) Average annual dividend growth. (2) Annualized dividend amount includes expected 2025 dividends that are subject to declaration at the discretion of the Board of Directors. (3) Average since 2022. CAPITAL ALLOCATION • Have paid a dividend every quarter as an independent company, including during COVID • Repurchase an average of ~10% of shares each year(3) DIVIDEND GROWS IN LINE WITH BUSINESS SUBSTANTIAL SHARE REPURCHASES 20202019 20192021 2022 20222023 20232024 2025 2024 Q1 2025 $340 $351 $1.80 $1.60 $1.25 $1.60 $2.00 $2.24(2) $1.80 2020 2021 2023 $41M for Sports Illustrated Resorts 2024 $44M for Accor Vacation Club CAPITAL INVESTMENTS ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW $307 COVID-19 +16%(1) COVID-19 QUARTERL Y RESUL TS AND OUTLOOK 16
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ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW Cumulative Capital Returned to Shareholders Since Spin (1) Over $2.6B of capital returned to shareholders post spin $808 $562 $246 2019 $687 $1,071 $384 2020 $628 $1,064 $1,692 2022 $493 $1,206 $713 2021 $764 $1,371 $2 ,13 5 2023 Repurchases Diluted Weighted Average Shares Outstanding Dividends 2018 $302 $221 $81 $500 $0 $1,000 $1,500 $2,000 $2,500 $3,000 99.2 92.4 86.1 87.3 84.2 75.0 $906 $1,606 $2,512 2024 70.7 $947 $1,676 $2,623 Q1 2025 68.2 QUARTERL Y RESUL TS AND OUTLOOK (1) Information provided as of March 31, 2025. 17
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Solid Balance Sheet with Manageable Debt Maturities S&P BB- Moody’s Ba3 Fitch BB+ T erm Loan B Revolving Credit Facility Secured Notes (1)As of 3/31/2025 $2.4B of Corporate debt was fixed. (2) As of March 31, 2025. A security rating is not a recommendation to buy, sell or hold securities and is subject to revision or withdrawal by the assigning rating organization. Reference to any such credit rating is intended for the limited purpose of discussing or referring to aspects of our liquidity and of our costs of funds. Any reference to a credit rating is not intended to be any guarantee or assurance of, nor should there be any undue reliance upon, any credit rating or change in credit rating, nor is any such reference intended as any inference concerning future performance, future liquidity, or any future credit rating. (3) Excludes remaining Term Loan B amortization payments of $7M in 2025 and $9M per year in 2026 – 2029. The $1B revolving credit facility is expected to be renewed prior to its maturity in 2026. Corporate debt excludes our securitization transactions indebtedness and securitization conduit facilities. At 3/31/25 the revolving credit facility of $1.0B had $785M of capacity, net of $1M outstanding letters of credit. CORPORA TE DEBT MA TURITIES (3) As of March 31, 2025 ($ in millions) 3.3x leverage ratio at 3/31/25 CORPORA TE DEBT RA TINGS (2) STATS 69% of corporate debt is fixed (1)Weighted Avg. Interest Rate on Corporate Debt 6.0% (1) QUARTERL Y RESUL TS AND OUTLOOK ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS COMPANY OVERVIEW $350 2025 2028 $400 2027 $873 $650 2029 $350 2030 $650 2026 $214 18
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Results and Outlook COMPANY OVERVIEW CLUB WYNDHAM SEDONA SEDONA, AZ ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS QUARTERL Y RESUL TS AND OUTLOOK 19
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Gross VOI Sales(1) $512M +4% YOY growth Adj. EBITDA(1) $202M +6% YOY growth Net Revenue $934M +2% YOY growth Adj. Diluted Earnings Per Share(1) $1.11 +14% YOY growth THREE MONTHS ENDED 3/31/2025 HIGHLIGHTS VPG of $3,212, at the high end of our guidance range (1) Non-GAAP measure: see appendix for definition and reconciliation. Returned $111 million to shareholders through dividends and share repurchases Closed on a $350 million term securitization on March 19, 2025 COMPANY OVERVIEW ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS 1Q 2025 Results WORLDMARK CASCADE LODGE WHISTLER, BC QUARTERL Y RESUL TS AND OUTLOOK 2020
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Adjusted EBITDA (1) — Q1’24 v. Q1’25 (1) Non-GAAP measure: see appendix for definition and reconciliation. (2) Net of Fee-for-Service sales. (3) Revenue-related costs: Cost of VOI sales, Sales & Marketing expense (incl. commissions), and license fees for our Vacation Ownership business. Q1’24 Net interest income Other Q1’25Gross VOI Sales(2) Revenue-related costs(3) Loan loss provision 28 Gross VOI Sales (2) Volume per guest (VPG) up 6% YOY, driven by owner performance Revenue-related costs (3) Cost of sales of less than 5% in the quarter, from low-cost inventory burn due to higher than usual inventory levels built up during COVID 191 202 COMPANY OVERVIEW ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS QUARTERL Y RESUL TS AND OUTLOOK 116 (13) (21) 21
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Q4‘24 70 34 104 180 Q4‘24 (1) Non-GAAP measure: see appendix for definition and reconciliation. (2) Capital investment of $44M for Accor Vacation Club occurred primarily in Q1’24. (3) Adj. Free Cash Flow conversion is a forward looking non-GAAP measure, the reconciliation of which is not available without unreasonable effort. See appendix for definition. (4) Corporate debt as of March 31, 2025. Utilizing a Proven Capital Allocation Framework • $111M returned to shareholders in Q1’25 • Repurchased 2% of shares outstanding in Q1’25 SHAREHOLDER RETURNS Q1‘24 3.5x Q2‘24 3.5x Q4‘24 Q1‘25Q3‘24 3.4x 3.3x 3.3x • $152M Adj. FCF(1) produced in Q1’25 • On track for Adj. EBITDA to Adj. FCF conversion in excess of 50%(3) STRONG CASH GENERA TION SOLID BALANCE SHEET • Strong access to capital markets • Weighted average interest rate of 6.0%(4) • Leverage improved 19 bps over prior year (4) Dividends Repurchases LEVERAGE RA TIOCASH RETURNED TO SHAREHOLDERS (2)ADJUSTED FREE CASH FLOW (1)(2) Q1‘24 25 38 63 Q2‘24 70 35 105 Q1‘25 70 111 Q3‘24 7070 35 105105 22 Q1‘24 90 Q2‘24 154 Q3‘24 152 Q1‘25 COMPANY OVERVIEW ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS QUARTERL Y RESUL TS AND OUTLOOK 41 22
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Expectations for 2025 Gross VOI Sales (1) VPG (1) Adj. EBITDA (1) T&M Adj. EBITDA (1) $955M–$985M $2.4B–$2.5B $3,050–$3,150 Flat to down 2% Q2‘25E 2025E $245M–$255M $620M–$640M $3,050–$3,150 N/A PROVIDING SECOND QUARTER GUIDANCE 2025 T ARGETS (1) Adjusted EBITDA and Gross VOI Sales are forward looking non-GAAP measures, the reconciliation of which is not available without unreasonable effort. See appendix for definitions. Outlook is as of April 23, 2025. Nothing herein is intended to update such outlook or guidance after such date or to reflect any facts, circumstances or other factors occurring since the date of such outlook or guidance. COMPANY OVERVIEW ADDITIONAL FINANCIAL INFORMA TION NON-GAAP RECONCILIA TIONS WORLDMARK ISLA MUJERES QUINTANA ROO, MEXICO QUARTERL Y RESUL TS AND OUTLOOK 23
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Additional Financial Information ADDITIONAL FINANCIAL INFORMA TION QUARTERL Y RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS WYNDHAM GRAND PHUKET KALIM BA Y PHUKET , THAILAND 2424
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Model Sensitivities Three major drivers to performance in the Vacation Ownership segment Loan Loss Provision Volume Per Guest (VPG) T our Growth Number of tours taken by guests in our efforts to sell vacation ownership interests Portion of financed Gross VOI sales(1) reserved at point of sale to account for potential future loan losses Gross VOI sales (excluding telesales and virtual) divided by number of tours, a measure of efficiency of our tour selling efforts 100 BPS CHANGE = ~$6 MILLION ADJ. EBITDA ON AN ANNUAL BASIS $50 VPG CHANGE = ~$18 MILLION ADJ. EBITDA ON AN ANNUAL BASIS 50 BPS CHANGE = ~$8 MILLION ADJ. EBITDA ON AN ANNUAL BASIS (1) Net of Fee-for-Service sales. Note: Sensitivities provided as of March 31, 2025. Sensitivities are based on our general expectations. Sensitivities to Adjusted EBITDA include system-wide trends. Operating circumstances, including but not limited to brand mix, product mix, geographical concentrations, and market segment variations, among other factors, may cause impacts to differ materially. ADDITIONAL FINANCIAL INFORMA TION COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS QUARTERL Y RESUL TS AND OUTLOOK 25
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(1) Non-GAAP measure: see appendix for definition and GAAP reconciliation. Adjusted EBITDA to Adjusted Free Cash Flow Conversion % 2018 to 2019 Actual 100% Adj. EBITDA(1) (3%) Net inventory spending (18%) Capex and working capital 61% Adj. FCF(1) conversion (16%) Cash Interest (13%) Cash T axes 11% Net consumer finance 2024 Actuals 100% Adj. EBITDA(1) (2%) Net inventory spending (7%) Capex and working capital 48% Adj. FCF(1) conversion Cash Interest (11%) Cash T axes (6%) Net consumer finance (26%) ADDITIONAL FINANCIAL INFORMA TION COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS QUARTERL Y RESUL TS AND OUTLOOK 26
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QUARTERL Y RESUL TS AND OUTLOOK ADDITIONAL FINANCIAL INFORMA TION NON- GAAPS COMPANY OVERVIEW 27 27
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APPENDIX: NON-GAAP RECONCILIA TIONS 28
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APPENDIX: NON-GAAP RECONCILIA TION T ravel + Leisure Co. Net Income to Adjusted EBITDA Reconciliation ($ in millions) 2024 2023 2022 2021 2020 2019 2018 (1) 2018 + 2019 Net income/(loss) attributable to T+L shareholders $ 411 $ 396 $ 357 $ 308 $ (255) $ 507 $ 672 $ 1,179 Loss from ops of disc bus, net of income taxes - - - - - - 50 50 (Gain)/loss on disposal of disc bus, net of income taxes (33) (5) (1) 5 2 (18) (456) (474) Provision for/(benefit from) income taxes 135 94 130 116 (23) 191 130 321 Depreciation and amortization 115 112 119 124 126 121 138 259 Interest expense 249 251 195 198 192 162 170 332 Interest (income) (14) (13) (6) (3) (7) (7) (5) (12) Stock-based compensation 40 36 42 32 20 20 23 43 Restructuring 16 26 14 (1) 39 9 16 25 Legacy items 11 8 1 4 4 1 1 2 Asset impairments/(recoveries), net 3 1 11 (5) 57 27 (4) 23 Acquisition/divestiture related 2 - - - - 1 - 1 Integration costs 1 - - - - - - - Loss/(gain) on equity investment - - 5 (3) - - - - COVID-19 related costs - - 2 3 56 - - - Exchange inventory write-off - - - - 48 - - - Separation and related costs (2) - - - - - 45 223 268 Loss/(gain) on sale of business - 2 - - - (68) - (68) Value-added tax refund - - - - - - (16) (16) Fair value change in contingent consideration (7) - (10) - - - - - Further adjustments (3) - - - - - - 15 15 T+L Adjusted EBITDA $ 929 $ 908 $ 859 $ 778 $ 259 $ 991 $ 957 $ 1,948 T otal Revenue $ 3,864 $ 3,750 $ 3,567 $ 3,134 $ 2,160 $ 4,043 $ 3,931 $ 7,974 Net income margin 11% 11% 10% 10% -12% 13% 17% 15% Adj. EBITDA margin 24% 24% 24% 25% 12% 25% 24% 24% Avg Adj. EBITDA Margin (2018 - 2024) 22.6% (1) 2018 Adjusted EBITDA is further adjusted. (2) Includes $4 million and $105 million of stock-based compensation expenses for the years ended 2019 and 2018. (3) Includes incremental license fees paid to Wyndham Hotels & Resorts and other changes being affected in conjunction with the spin-off. ADDITIONAL FINANCIAL INFORMA TION RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS 29
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2024 2023 2022 2021 2020 2019 2018 2018 + 2019 Net cash provided by operating activities from continuing operations $ 464 $ 350 $ 442 $ 568 $ 374 $ 453 $ 292 $ 745 Property and equipment additions (81) ( 74) (52) (57) (69) (108) (99) (207) Sum of proceeds and principal payments of non-recourse vacation ownership debt 62 103 47 (294) (333) 185 264 449 Free cash flow 445 379 437 217 (28) 530 457 987 T ransaction costs for acquisitions 1 - - - - - - - COVID-19 related adjustments (1) - - 2 6 47 - - - Separation and other adjustments (2) - - - - 16 87 123 210 Adjusted free cash flow $ 446 $ 379 $ 439 $ 223 $ 35 $ 617 $ 580 $ 1,197 Net cash used in investing activities from continuing operations (125) (80) (45) (93) (60) (44) (99) (143) Net cash (used in)/provided by financing activities from con- tinuing operations (458) (500) (196) (1,288) 502 (289) (1,786) (2,075) Net income 411 396 357 308 (255) 507 672 1,179 Adjusted EBITDA 929 908 859 778 259 991 957 1,948 Net income cash flow conversion 113% 88% 124% 184% (147)% 89% 43% 63% Adjusted Free Cash Flow conversion 48% 42% 51% 29% 14% 62% 61% 61% Cumulative Adj. FCF (2018-2024) $ 2,719 APPENDIX: NON-GAAP RECONCILIA TION Net Cash Provided by Operating Activities from Continuing Operations to Adjusted Free Cash Flow ($ in millions) (1) Includes cash paid for COVID-19 expenses factored into the calculation of Adjusted EBITDA. (2) Includes cash paid for separation-related activities and transaction costs for acquisitions and divestitures as well as certain adjustments to 2018 for comparative purposes for incremental license fees paid to Wyndham Hotels and other corporate costs being affected in order to reflect the company’s position as if the spin-off had occurred for all periods presented. ADDITIONAL FINANCIAL INFORMA TION RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS 30
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APPENDIX: NON-GAAP RECONCILIA TION Vacation Ownership Net Income to Adjusted EBITDA Reconciliation ($ in millions) Q1 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 VO net income/(loss) $ 85 $ 443 $ 429 $ 373 $ 309 $ (69) $ 404 $ 340 $ 174 $ 316 $ 316 $ 295 $ 248 $ 227 $ 195 $ 156 $ 117 $ (1,281) $ 150 NI attributable to NCI - - - - - - - - - 1 - 1 1 - - - - - - Provision for income taxes 36 176 160 149 128 (17) 150 119 110 194 196 185 144 137 122 96 72 50 95 Depreciation and amortization 19 71 70 78 82 86 81 73 63 53 47 47 47 38 38 46 54 58 48 Interest expense 16 58 47 38 34 43 78 117 142 131 130 133 180 147 160 142 144 100 85 Interest (income) (1) (3) (2) - - - - (1) - (1) (2) (1) (1) - - - - (1) - Acquisition related - 1 - - - - - - - - - - 2 1 - - - - - Integration costs - 1 - - - - - - - - - - - - - - - - - COVID-19 related - - - - 3 34 - - - - - - - - - - - - - Restructuring Costs - 2 10 3 (1) 14 5 11 - 8 1 - - 2 (1) - 37 66 - Asset Impairments/(recoveries) - 1 - 8 1 22 27 (4) 205 - - - - - - - 9 1,374 - Executive Costs - - - - - - - - - 6 - - - - - - - - - Separation & related costs - - - - - - 4 67 1 - - - - - - - - - 9 Stock-based compensation 4 14 15 16 13 8 7 9 13 16 - - - - - - - - - 2016 Grant Modifer - - - - - - - - 1 - - - - - - - - - - Further adjustments - - - - - - - (10) (25) (21) - - - - - - - - - VO Adjusted EBITDA $ 159 $ 764 $ 729 $ 665 $ 569 $ 121 $ 756 $ 721 $ 684 $ 703 $ 688 $ 660 $ 621 $ 552 $ 514 $ 440 $ 433 $ 366 $ 387 T otal Revenue $ 755 $ 3,171 $ 3,041 $ 2,835 $ 2,423 $ 1,637 $ 3,151 $ 2,979 $ 2,881 $ 2,774 $ 2,772 $ 2,638 $ 2,515 $ 2,269 $ 2,077 $ 1,979 $ 1,945 $ 2,278 $ 2,425 Net Income Margin 11% 14% 14% 13% 13% (4)% 13% 11% 6% 11% 11% 11% 10% 10% 9% 8% 6% (56)% 6% Adj. EBITDA Margin 21% 24% 24% 23% 23% 7% 24% 24% 24% 25% 25% 25% 25% 24% 25% 22% 22% 16% 16% 2010 - 2019 VO Adj. EBITDA $ 6,339 T otal Revenue $ 26,035 Avg Adj. EBITDA Margin 24.3 % Note: 2007-2015 Adjusted EBITDA is per Wyndham Worldwide’s definition and does not reflect the adoption of ASC 606 revenue recognition accounting standard. 2016-2018 Adjusted EBITDA is further adjusted. (1) Includes incremental license fees paid to Wyndham Hotels & Resorts and other changes being affected in conjunction with the spin-off. ADDITIONAL FINANCIAL INFORMA TION RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS 31
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2024 T&M net income $ 157 Gain on disposal of disc bus, net of income taxes (37) Provision for income taxes 49 Depreciation and amortization 28 Interest expense 7 Interest (income) (3) Loss on sale of business 32 Legacy items 13 Restructuring Costs 10 Asset Impairments 2 Fair value change in contingent consideration (7) T&M Adjusted EBITDA $ 251 T otal Revenue $ 695 Net Income Margin 23% Adj. EBITDA Margin 36% APPENDIX: NON-GAAP RECONCILIA TION T ravel and Membership Net Income to Adjusted EBITDA Reconciliation ($ in millions) ADDITIONAL FINANCIAL INFORMA TION RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS 32
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APPENDIX: NON-GAAP RECONCILIA TION Reconciliation of Net VOI Sales to Gross VOI Sales ($ in millions) The Company believes gross VOI sales provide an enhanced understanding of the performance of its vacation ownership business because it directly measures the sales volume of this business during a given reporting period. Q1 2025 Q1 2024 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 Net VOI Sales $ 384 $ 369 $ 1,721 $ 1,582 $ 1,484 $ 1,176 $ 505 $ 1,848 $ 1,769 $ 1,684 $ 1,601 $ 1,604 $ 1,485 $ 1,379 $ 1,323 $ 1,150 $ 1,072 $ 1,053 $ 1,463 $ 1,666 Net effect of percentage- of-completion accounting - - - - - - - - - - - (13) 12 1 - - - (187) 74 22 Loan loss provision 91 78 432 348 302 129 415 479 456 420 342 248 260 349 409 339 341 449 450 305 Gross VOI sales, net of Fee-for-Service sales $ 475 $ 447 $ 2,153 $ 1,930 $ 1,786 $ 1,305 $ 920 $ 2,327 $ 2,225 $ 2,104 $ 1,943 $ 1,839 $ 1,757 $ 1,729 $ 1,732 $ 1,489 $ 1,413 $ 1,315 $ 1,987 $ 1,993 Fee-for-Service sales 37 43 140 219 196 186 47 28 46 34 64 126 132 160 49 106 51 - - - Gross VOI sales $ 512 $ 490 $ 2,293 $ 2,149 $ 1,982 $ 1,491 $ 967 $ 2,355 $ 2,271 $ 2,138 $ 2,007 $ 1,965 $ 1,889 $ 1,889 $ 1,781 $ 1,595 $ 1,464 $ 1,315 $ 1,987 $ 1,993 2010-2019 Average $ 1,935 Note: 2007-2015 Gross VOI sales does not reflect the adoption of ASC 606 revenue recognition accounting standard. ADDITIONAL FINANCIAL INFORMA TION RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS 33
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34 APPENDIX: NON-GAAP RECONCILIA TION Net Cash Provided by Operating Activities from Continuing Operations to Adj. Free Cash Flow ($ in millions) ADDITIONAL FINANCIAL INFORMA TION RESUL TS AND OUTLOOK COMPANY OVERVIEW NON-GAAP RECONCILIA TIONS QTD Q1 2024 QTD Q2 2024 QTD Q3 2024 QTD Q4 2024 QTD Q1 2025 Net cash provided by operating activities from continuing operations $ 47 $ 174 $ 145 $ 98 $ 121 Property and equipment additions (17) (21) (20) (23) (21) Sum of proceeds and principal payments of non-recourse vacation ownership debt (8) (63) 28 105 52 Free cash flow 22 90 153 180 152 T ransaction costs for acquisitions - - 1 - - Adjusted free cash flow $ 22 $ 90 $ 154 $ 180 $ 152 Net cash used in investing activities from continuing operations (57) (24) (20) (24) (22) Net cash provided by/(used in) financing activities from continuing operations 203 (464) (113) (84) (63) 34
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APPENDIX: NON-GAAP RECONCILIA TION Reconciliation of Net Income to Adjusted Net Income to Adjusted EBITDA ($ in millions except per share data) Note: Amounts may not calculate due to rounding. (1) Amortization of acquisition-related intangible assets is excluded from Adjusted net income and Adjusted EBITDA. (2) Represents the tax effects on the adjustments. We determine the tax effects of the non-GAAP adjustments based on the nature of the underlying adjustment and the relevant tax jurisdictions. The tax effect of the non-GAAP adjustments was calculated based on an evaluation of the statutory tax treatment and the applicable statutory tax rate in the relevant jurisdictions. (3) All stock-based compensation is excluded from Adjusted EBITDA. Q1 2025 EPS Margin % Q1 2024 EPS Margin % Net income attributable to TNL shareholders $ 73 $ 1.07 8% $ 66 $0.92 7% Amortization of acquired intangibles(1) 2 2 Legacy items 1 - Acquisition-related deal costs - 2 Ta xe s(2) (1) (1) Adjusted net income 76 $ 1.11 8% 69 $ 0.97 8% Income taxes on adjusted net income 29 27 Stock-based compensation expense(3) 14 9 Depreciation 28 26 Interest expense 57 64 Interest income (1) (4) Adjusted EBITDA $ 202 22% $ 191 21% Diluted shares outstanding 68.2 72.0 35
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36 DEFINITIONS Adjusted Diluted Earnings per Share: A non-GAAP measure, defined by the Company as Adjusted net income divided by the diluted weighted average number of common shares. Adjusted Diluted Earnings per Share is useful to assist our investors in evaluating our ongoing operating performance for the current reporting period and, where provided, over different reporting periods. Adjusted EBITDA: A non-GAAP measure, defined by the Company as net income from continuing operations before depreciation and amortization, interest expense (excluding consumer financing interest), early extinguishment of debt, interest income (excluding consumer financing revenues) and income taxes, each of which is presented on the Condensed Consolidated Statements of Income. Adjusted EBITDA also excludes stock-based compensation costs, separation and restructuring costs, legacy items, transaction and integration costs associated with mergers, acquisitions, and divestitures, asset impairments/recoveries, gains and losses on sale/ disposition of business, and items that meet the conditions of unusual and/or infrequent. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels & Resorts, Inc. and Avis Budget Group, Inc. (ABG), and the sale of the vacation rentals businesses. Integration costs represent certain non-recurring costs directly incurred to integrate mergers and/or acquisitions into the existing business. We believe that when considered with GAAP measures, Adjusted EBITDA is useful to assist our investors in evaluating our ongoing operating performance for the current reporting period and, where provided, over different reporting periods. We also internally use these measures to assess our operating performance, both absolutely and in comparison to other companies, and in evaluating or making selected compensation decisions. Adjusted EBITDA should not be considered in isolation or as a substitute for net income/ (loss) or other income statement data prepared in accordance with GAAP and our presentation of Adjusted EBITDA may not be comparable to similarly-titled measures used by other companies. Adjusted EBITDA Margin: A non-GAAP measure, represents Adjusted EBITDA as a percentage of revenue. Adjusted EBITDA Margin is useful to assist our investors in evaluating our ongoing operating performance for the current reporting period and, where provided, over different reporting periods. Adjusted Free Cash Flow: A non-GAAP measure, defined by the Company as net cash provided by operating activities from continuing operations less property and equipment additions (capital expenditures) plus the sum of proceeds and principal payments of non-recourse vacation ownership debt, while also adding back cash paid for transaction costs for acquisitions and divestitures, separation adjustments associated with the spin-off of Wyndham Hotels, and certain adjustments related to COVID-19. TNL believes Adjusted FCF to be a useful operating performance measure to evaluate the ability of its operations to generate cash for uses other than capital expenditures and, after debt service and other obligations, its ability to grow its business through acquisitions and equity investments, as well as its ability to return cash to shareholders through dividends and share repurchases. A limitation of using Adjusted free cash flow versus the GAAP measure of net cash provided by operating activities as a means for evaluating TNL is that Adjusted free cash flow does not represent the total cash movement for the period as detailed in the consolidated statement of cash flows. Adjusted Free Cash Flow Conversion: A non-GAAP measure, defined by the Company as Adjusted free cash flow as a percentage of Adjusted EBITDA. We use this non-GAAP performance measure to assist in evaluating our operating performance and the quality of our earnings as represented by adjusted EBITDA, and to evaluate the performance of our current and prospective operating and strategic initiatives in generating cash flows from our earnings performance. This measure also assists investors in evaluating our operating performance, management of our assets, and ability to generate cash flows from our earnings, as well as facilitating period-to-period comparisons. Adjusted Net Income: A non-GAAP measure, defined by the Company as income from continuing operations adjusted to exclude separation and restructuring costs, legacy items, transaction and integration costs associated with mergers, acquisitions, and divestitures, amortization of acquisition-related assets, debt modification costs, impairments, gains and losses on sale/disposition of business, and items that meet the conditions of unusual and/or infrequent and the tax effect of such adjustments. Legacy items include the resolution of and adjustments to certain contingent assets and liabilities related to acquisitions of continuing businesses and dispositions, including the separation of Wyndham Hotels and Cendant, and the sale of the vacation rentals businesses. Adjusted Net Income is useful to assist our investors in evaluating our ongoing operating performance for the current reporting period and, where provided, over different reporting periods. Average Number of Exchange Members: Represents the average number of paid members in our vacation exchange programs who are considered to be in good standing, during a given reporting period. Free Cash Flow (FCF): A non-GAAP measure, defined by TNL as net cash provided by operating activities from continuing operations less property and equipment additions (capital expenditures) plus the sum of proceeds and principal payments of non-recourse vacation ownership debt. TNL believes FCF to be a useful operating performance measure to evaluate the ability of its operations to generate cash for uses other than capital expenditures and, after debt service and other obligations, its ability to grow its business through acquisitions and equity investments, as well as its ability to return cash to shareholders through dividends and share repurchases. A limitation of using FCF versus the GAAP measure of net cash provided by operating activities as a means for evaluating TNL is that FCF does not represent the total cash movement for the period as detailed in the consolidated statement of cash flows. Gross Vacation Ownership Interest Sales: A non-GAAP measure, represents sales of vacation ownership interests (VOIs), including sales under the fee-for-service program before the effect of loan loss provisions. We believe that Gross VOI sales provide an enhanced understanding of the performance of our vacation ownership business because it directly measures the sales volume of this business during a given reporting period. Leverage Ratio: The Company calculates leverage ratio as net debt divided by Adjusted EBITDA as defined in the credit agreement. Net Debt: Net debt equals total debt outstanding, less non-recourse vacation ownership debt and cash and cash equivalents. Tours: Represents the number of tours taken by guests in our efforts to sell VOIs. Travel and Membership Revenue per Transaction: Represents transaction revenue divided by transactions, provided in two categories; Exchange, which is primarily RCI, and Travel Club. Travel and Membership Transactions: Represents the number of exchanges and travel bookings recognized as revenue during the period, net of cancellations. This measure is provided in two categories; Exchange, which is primarily RCI, and Travel Club. Volume Per Guest (VPG): Represents Gross VOI sales (excluding telesales and virtual sales) divided by the number of tours. The Company has excluded non-tour sales in the calculation of VPG because non-tour sales are generated by a different marketing channel. We believe that VPG provides an enhanced understanding of the performance of our Vacation Ownership business because it directly measures the efficiency of this business’ efforts in generating sales from tours during a given reporting period. 36