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Marriott Vacations 2Q profit grows sixfold

ORLANDO, Fla. (AP) -- Timeshare company Marriott Vacations Worldwide Corp. reported that its second-quarter net income grew sixfold on double-digit revenue growth.

The company also raised its full-year adjusted earnings forecast on Thursday due to lower income tax rates.

Its shares reached their highest point since going public in November 2011.

For the period ended June 14, Marriott Vacations earned $30 million, or 85 cents per share. That compares with $5 million, or 15 cents per share, a year earlier.

Stripping out certain items, earnings were 73 cents per share, up from 33 cents per share in the prior-year period.

The performance easily topped the 48 cents per share analysts surveyed by FactSet predicted.

Revenue increased 10 percent to $421 million from $383 million as rental revenue climbed 18 percent on improved demand and a favorable mix of available inventory. This handily beat Wall Street's estimate of $403.2 million.

Volume per guest, or room efficiency, in North America rose 8 percent to $3,211.

Marriott Vacations, whose brands include The Ritz-Carlton Destination Club and Marriott Vacation Club, now expects full-year adjusted earnings of $1.94 to $2.10 per share. Previously, the company predicted adjusted earnings between $1.87 and $2.03 per share.

Analysts expect earnings of $2.02 per share.

The stock shed 16 cents to $46.81 in afternoon trading. Earlier in the session, the shares struck $47.92, the highest level since trading began more than a year ago.