Travel & Leisure Co.TNL

Travel & Leisure Co. Goodwill & Intangibles Disclosure

10-KFiled Feb 18, 20262 min read
Intangible Assets
Intangible assets consisted of (in millions):
As of December 31, 2025As of December 31, 2024
Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount		Gross
Carrying
Amount		Accumulated
Amortization		Net
Carrying
Amount
Unamortized Intangible Assets:
Goodwill$972 $966 
Trademarks (a)
$143 $144 
Amortized Intangible Assets:
 Customer lists (b)
$77 $55 $22 $77 $48 $29 
 Management agreements (c)
72 44 28 69 41 28 
 Trademarks (d)
8 7 1 8 7 1 
Other (e)
9 2 7 9 2 7 
$166 $108 $58 $163 $98 $65 
(a)Comprised of trademarks and tradenames the Company has acquired that are expected to generate future cash flows for an indefinite period of time. During 2025, the Company recorded a $1 million tradename impairment at the Travel and Membership segment.
(b)Amortized between 4 to 15 years with a weighted average life of 13 years.
(c)Amortized between 5 to 25 years with a weighted average life of 19 years.
(d)Amortized between 5 to 8 years with a weighted average life of 7 years. During 2024, the Company recorded impairments of $1 million to trademarks at the Travel and Membership segment.
(e)Includes business contracts and noncompetition covenants, which are amortized between 10 to 69 years with a weighted average life of 58 years.
Goodwill
During the fourth quarters of 2025, 2024, and 2023, the Company performed its annual goodwill impairment test and determined no impairment existed as the fair value of goodwill at its reporting units was in excess of the carrying value.
The changes in the carrying amount of goodwill are as follows (in millions):
Balance as of December 31, 2024Goodwill Acquired During 2025Foreign ExchangeBalance as of December 31, 2025
Travel and Membership$933 $— $6 $939 
Vacation Ownership33 — — 33 
Total Company$966 $— $6 $972 
Amortizable Intangible Assets
Amortization expense relating to amortizable intangible assets is included as a component of Depreciation and amortization on the Consolidated Statements of Income and was as follows (in millions):
Year Ended December 31,
202520242023
Customer lists$7 $6 $6 
Management agreements3 2 4 
Other— 2 — 
Total$10 $10 $10 
Based on the Company’s amortizable intangible assets as of December 31, 2025, the Company expects related amortization expense for the next five years as follows (in millions):
Amount
2026$10 
2027$8 
2028$4 
2029$4 
2030$4 

Historical Timeline

Fiscal YearFiled
2025Feb 18, 2026Showing above
2024Feb 19, 2025
2023Feb 21, 2024
2022Feb 22, 2023

About Goodwill & Intangibles Disclosures

Goodwill and intangible asset disclosures reveal the premium paid in acquisitions and how management assesses whether that premium retains its value. Since goodwill is no longer amortized under US GAAP, the annual impairment test is the only mechanism that adjusts carrying values downward — making the assumptions behind that test critically important for investors.

Key signals: a history of goodwill impairments suggests management consistently overpays for acquisitions. Watch the gap between reporting unit fair value and carrying amount — when fair value exceeds carrying amount by less than 10-20%, a small decline in business performance could trigger a write-down. For finite-lived intangibles, examine useful life assumptions across customer relationships, technology, and trade names; aggressive estimates inflate near-term earnings. Compare total intangibles-to-total-assets ratios against peers to assess acquisition dependency. Rising goodwill as a percentage of equity can signal balance sheet fragility.

Other Available Disclosures

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