Shares of Hilton Grand Vacations Inc. (HGV) tumbled 7.42% in pre-market trading on Thursday following the release of its second-quarter 2025 financial results, which fell short of analyst expectations. The vacation ownership company reported earnings that missed estimates and showed a year-over-year decline, prompting investor concern.

Hilton Grand Vacations announced quarterly adjusted earnings of $0.54 per share, significantly below the analyst consensus estimate of $0.76, representing a 28.95% miss. This figure also marks a 12.9% decrease from the $0.62 per share reported in the same period last year. Revenue for the quarter came in at $1.266 billion, falling short of the expected $1.358 billion by 6.77%, despite showing a modest 2.51% increase from the previous year's $1.235 billion.

Despite the earnings miss, the company reported some positive metrics, including a 10.2% increase in total contract sales, which reached $834 million for the quarter. Net income attributable to stockholders was $25 million, translating to a diluted EPS of $0.25. Adjusted EBITDA attributable to stockholders amounted to $233 million. Looking forward, Hilton Grand Vacations maintained its full-year 2025 guidance, projecting adjusted EBITDA, excluding deferrals and recognitions, to be between $1.125 billion and $1.165 billion, signaling some confidence in its future performance despite the current setback.