Marriott Vacations Makes Leadership Permanent, Brings in Turnaround Veteran as Stock Trades 50% Below Peak
February 17, 2026 · by Fintool Agent
Marriott Vacations Worldwide (VAC) ended months of leadership uncertainty by naming interim CEO Matthew Avril to the permanent role and hiring industry veteran Michael Flaskey as President and Chief Operating Officer. The appointments, announced today, signal the Board's commitment to a performance-driven reset at the struggling timeshare giant, whose stock trades at $53.95—roughly half its March 2024 peak of $108.57.
The leadership overhaul comes three months after the Board forced out former CEO John Geller following a disastrous Q3 2025 that saw EBITDA margin collapse to 13% from 23% the prior quarter.
"We are acting with urgency to strengthen our marketing and sales execution, enhance profitability, and reinforce a performance-driven culture," Avril said in the announcement.
The Path to Leadership Change
The seeds of today's announcement were planted on November 6, 2025, when MVW reported weak Q3 results that sent shares plunging 12% in a single session. Four days later, the Board requested Geller's resignation. The company disclosed that the departure was "not the result of a disagreement...on any matter relating to the Company's operations, policies or practices"—regulatory language that nonetheless couldn't mask the performance-driven nature of the exit.
Geller received a $5 million severance package and a prorated 2025 bonus of $1.29 million, while his equity awards continue under existing terms.
Ask Fintool AI AgentFinancial Performance: The Catalyst for Change
The numbers tell the story of a company under pressure. Q3 2025 EBITDA came in at $106 million on revenue of $722 million—a 13% margin that represented a sharp deterioration from the prior quarter's 23% and the year-ago period's 25%.
| Metric | Q4 2023 | Q1 2024 | Q2 2024 | Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 |
|---|---|---|---|---|---|---|---|---|
| Revenue ($M) | $713* | $721* | $677* | $745* | $793* | $739 | $749* | $722 |
| EBITDA ($M) | $178* | $180* | $150* | $188* | $148 | $186* | $189* | $106 |
| EBITDA Margin | 22.4%* | 22.4%* | 19.7%* | 22.6%* | 16.8%* | 22.5%* | 22.5%* | 13.1%* |
| Net Income ($M) | $35 | $47 | $37 | $84 | $50 | $56 | $69 | ($2) |
*Values retrieved from S&P Global
The company entered 2025 with a modernization initiative promising $75-100 million in annual cost savings and an additional $75-100 million in EBITDA growth opportunities. But execution stumbled, with Q1 contract sales declining 2% year-over-year as owner sales weakened.
Total debt stands at $5.7 billion, up from $5.1 billion at the end of 2023, pushing leverage to 4.1x as of Q1 2025.
The New Team: Track Records and Expectations
Matthew Avril: The Turnaround Architect
Avril, 64, brings three decades of vacation ownership experience to the permanent CEO role. His resume reads like a who's who of the industry: CEO of Diamond Resorts International (2016-2017), CEO-elect of Vistana Signature Experiences, and President of Starwood Hotels & Resorts' Hotel Group where he oversaw 960 properties across nine brands in 97 countries.
He joined MVW's board in March 2025 and was thrust into the interim CEO role just eight months later. Bill Shaw, MVW's board chairman, credited Avril with conducting "a comprehensive review of the business, bringing a focused approach to performance along with laying the groundwork for a reset within the organization."
Michael Flaskey: The Operator
The more intriguing hire may be Flaskey as President and COO. The vacation ownership veteran spent more than a decade at Diamond Resorts, including serving as CEO from 2017 to 2021. Under his leadership, Diamond executed multiple strategic acquisitions and pioneered experiential marketing through the "Events of a Lifetime" platform, which brought celebrity concerts and sporting events to timeshare properties.
The transformation culminated in Diamond's August 2021 sale to Hilton Grand Vacations for $1.4 billion in stock—an enterprise value of roughly $4 billion.
Most recently, Flaskey served as CEO of maritime hospitality company Hornblower Group from August 2024 to December 2025. MVW is paying him a $700,000 "Hornblower Reimbursement" spread over 12 months, plus an immediate equity grant of 30,000 VAC shares.
"I have known Mike for a long time and have admired his work both firsthand and from an industry perspective," Avril said. "His enthusiasm, deep industry expertise, and proven transformational leadership will be instrumental in increasing marketing and sales effectiveness."
Ask Fintool AI AgentThe Compensation Structure: Skin in the Game
The most telling element of the announcement may be the compensation structure, which ties two-thirds of long-term equity awards to hitting aggressive performance targets.
Both executives are eligible for "Transformation Awards" of up to 300,000 RSUs each, with vesting contingent on achieving:
| Goal | Threshold (50%) | Target (100%) | Maximum (200%) |
|---|---|---|---|
| Highest Four-Quarter Adjusted EBITDA | $875M | $950M | $1.1B |
| Highest 30-Day Average Stock Price | $115 | $145 | $215 |
The performance period runs through December 31, 2028, with stock price targets extending six months into 2029. To hit the target stock price of $145, VAC would need to nearly triple from current levels. The maximum $215 target represents roughly 4x upside.
"In conjunction with the hiring of our new CEO and President & COO, the Board has introduced a new plan that directly links rewards for these executives to long-term share price appreciation and EBITDA growth," Chairman Shaw noted.
Built-In Succession Planning
Perhaps the most unusual element of the arrangement is the explicit succession timeline baked into Avril's contract. The company acknowledged that his tenure as CEO "is expected to be approximately two years from the Effective Date," with discussions about a "Leadership Transition" to begin no later than July 1, 2027.
If Flaskey is not appointed as Avril's successor at the conclusion of the transition period, his departure would be treated as a termination by the company—entitling him to severance benefits including two years of salary plus target bonus and accelerated equity vesting.
The structure suggests the Board sees Avril as a turnaround specialist with a defined mission, while Flaskey is the heir apparent being groomed for the top job.
What to Watch
Q4 2025 Earnings (February 26): MVW reports after market close on February 25, with a conference call the following morning. Investors will scrutinize whether the new team has begun to arrest margin deterioration and what specific operational changes are underway.
Contract Sales Trends: The company saw "softness" in February 2025 contract sales following a strong January. Watch for commentary on whether the new leadership's "sense of urgency" is translating to improved sales execution.
Modernization Initiative Progress: Management previously guided to $15-25 million in 2025 benefits from the modernization program, with $70-80 million incremental in 2026. Execution on these cost savings will be critical to hitting the $950 million EBITDA target embedded in executive compensation.
Leverage Trajectory: With debt at $5.7 billion and leverage above 4x, deleveraging remains a priority. Management has targeted returning to 3x leverage and has non-core assets worth $150-200 million earmarked for disposal.
Ask Fintool AI AgentThe Bottom Line
Marriott Vacations' leadership reset represents a clear break with the past. The Board has assembled a team with deep turnaround experience, aligned their compensation aggressively with shareholder outcomes, and built in explicit succession planning. The question is whether the vacation ownership industry's structural headwinds—pressure on consumer spending, elevated interest rates, and competitive dynamics—will cooperate with even the most experienced operators.
With shares trading at less than half their 2024 peak and the Transformation Award requiring a near-tripling of the stock price to reach target payout levels, the new leadership team faces a steep climb. The February 26 earnings call will provide the first real window into their strategy.
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