Annual report pursuant to Section 13 and 15(d)

Earnings/(Loss) Per Share

v3.22.4
Earnings/(Loss) Per Share
 12 Months Ended
Dec. 31, 2022
Earnings Per Share Reconciliation [Abstract]  
Earnings Per Share Earnings/(Loss) Per Share
The computations of basic and diluted earnings/(loss) per share (“EPS”) are based on Net income/(loss) attributable to Travel + Leisure Co. shareholders divided by the basic weighted average number of common shares and diluted weighted average number of common shares outstanding. The following table sets forth the computations of basic and diluted EPS (in millions, except per share data):
Year Ended December 31,
2022 2021 2020
Net income/(loss) from continuing operations attributable to Travel + Leisure Co. shareholders $ 356  $ 313  $ (253)
Gain/(loss) on disposal of discontinued business attributable to Travel + Leisure Co. shareholders, net of income taxes 1  (5) (2)
Net income/(loss) attributable to Travel + Leisure Co. shareholders $ 357  $ 308  $ (255)
Basic earnings/(loss) per share (a)
Continuing operations $ 4.27  $ 3.62  $ (2.95)
Discontinued operations 0.01  (0.06) (0.02)
$ 4.28  $ 3.56  $ (2.97)
Diluted earnings/(loss) per share (a)
Continuing operations $ 4.23  $ 3.58  $ (2.95)
Discontinued operations 0.01  (0.06) (0.02)
$ 4.24  $ 3.52  $ (2.97)
Basic weighted average shares outstanding 83.4  86.5  86.1 
RSUs (b), PSUs (c) and NQs (d)
0.8  0.8  — 
Diluted weighted average shares outstanding (e)
84.2  87.3  86.1 
Dividends:
Cash dividends per share (f)
$ 1.60  $ 1.25  $ 1.60 
Aggregate dividends paid to shareholders $ 135  $ 109  $ 138 
(a)Earnings/(loss) per share amounts are calculated using whole numbers.
(b)Excludes 0.7 million, 0.4 million, and 1.1 million of restricted stock units (“RSUs”) that would have been anti-dilutive to EPS for the years 2022, 2021, and 2020, of which 0.2 million would have been dilutive during 2020 had the Company not been in a net loss position. These shares could potentially dilute EPS in the future.
(c)Excludes performance-vested restricted stock units (“PSUs”) of 0.5 million, 0.4 million, and 0.3 million for the years 2022, 2021, and 2020, as the Company had not met the required performance metrics. These PSUs could potentially dilute EPS in the future.
(d)Excludes 1.6 million, 1.4 million, and 2.1 million of outstanding non-qualified stock options (“NQs”) that would have been anti-dilutive to EPS for the years 2022, 2021, and 2020. These outstanding NQs could potentially dilute EPS in the future.
(e)The dilutive impact of the Company’s potential common stock is computed utilizing the treasury stock method using average market prices during the period.
(f)During 2022, the Company paid cash dividends of $0.40 per share for all four quarters. During 2021, the Company paid cash dividends of $0.30 per share for the first, second, and third quarters, and $0.35 per share for the fourth quarter. The Company paid cash dividends of $0.50 per share for the first and second quarters, and $0.30 per share for the third and fourth quarters of 2020.

Share Repurchase Program
During 2022, the Company’s Board of Directors increased the authorization for the Company’s share repurchase program by $500 million. Proceeds received from stock option exercises have increased the repurchase capacity by $81 million since the inception of this program. As of December 31, 2022, the Company had $477 million of remaining availability under this program.
The following table summarizes stock repurchase activity under the current share repurchase program (in millions):
Shares Cost
As of December 31, 2021 111.8  $ 5,753 
Repurchases 8.2  351 
As of December 31, 2022 120.0  $ 6,104