BROOMFIELD, Colo., April 19,
2024 /CNW/ -- Vail Resorts, Inc. (NYSE: MTN)
today reported certain ski season metrics for the comparative
periods from the beginning of the ski season through April 14, 2024, and for the prior year period
through April 16, 2023. The reported
ski season metrics are for the Company's North American destination
mountain resorts and regional ski areas, excluding the results of
the Australian ski areas and Andermatt-Sedrun in both periods. The
data mentioned in this release is interim period data and is
subject to fiscal quarter end review and adjustments.
- Season-to-date total skier visits were down 7.8% compared to
the prior year season-to-date period.
- Season-to-date total lift ticket revenue, including an
allocated portion of season pass revenue for each applicable
period, was up 3.2% compared to the prior year season-to-date
period.
- Season-to-date ski school revenue was up 7.0% and dining
revenue was up 2.4% compared to the prior year season-to-date
period. Retail/rental revenue for North American resort and ski
area store locations was down 7.1% compared to the prior year
season-to-date period.
Commenting on the ski season to date, Kirsten Lynch, Chief Executive Officer, said,
"Given the unfavorable conditions across our North American resorts
for a large portion of the season, we are pleased with our overall
results as the 2023/2024 North American ski season nears
completion, highlighting the stability provided by our season pass
program and the investments we have made in our resorts and
employees. While visitation declined, our lift revenue increased
driven by the growth in pass sales committed ahead of the season,
and our ancillary businesses performed well, with particularly
strong growth in spending per visit in our ski and ride school,
dining, and rental businesses compared to the same period in the
prior year. The results throughout the 2023/2024 North American ski
season demonstrate the resiliency of our strategic business model
and our network of resorts and loyal guests.
"As expected, results in March and April improved compared to
the season-to-date period through March 3,
2024, with March and April visitation across our western
North American resorts exceeding prior year record levels supported
by the improved conditions. Pass product visitation returned as
expected to normal historical guest behavior for the spring.
However, lift ticket visitation did not return to normal historical
guest behavior, primarily at Whistler Blackcomb, which was down
significantly relative to the prior year period. As noted in the
March earnings release, the challenging early season conditions at
Whistler Blackcomb and our Tahoe resorts persisted through early
March. When conditions improved, visitation at our Tahoe resorts
responded as expected, however visitation at Whistler Blackcomb
remained below expectations."
Regarding the outlook for fiscal 2024, Lynch said, "While late
season results improved, we now expect to finish the year at or
around the low end of our Resort Reported EBITDA guidance range
issued on March 11, 2024, primarily
driven by Whistler Blackcomb performance in the March and April
period. Our strong season pass sales results, prior to the start of
this season, greatly mitigated the impact of the unfavorable
conditions that existed across our North American resorts for a
large portion of the season, highlighting the stability created by
our advance commitment strategy."
Commenting on spring season pass sales, Lynch continued, "Our
attention is already turning to the 2024/2025 season, with spring
pass sales underway. To date, through the April deadline, we have
seen a modest decline in pass product units and growth in sales
dollars. The April sales deadline only impacts a portion of our
renewing pass holders that are eligible for buddy ticket benefits,
and we will have more to share in our third quarter earnings
release in June 2024."
Basis of Presentation
The reported ski season metrics include growth for season pass
revenue based on estimated fiscal 2024 North American season pass
revenue compared to fiscal 2023 North American season pass revenue.
The metrics include all North American destination mountain resorts
and regional ski areas, and are adjusted to eliminate the impact of
foreign currency by applying current period exchange rates to the
prior period for Whistler Blackcomb's results. "Eastern" U.S.
resorts collectively refers to the 26 Midwest, Mid-Atlantic and
Northeast resorts.
About Vail Resorts, Inc. (NYSE: MTN)
Vail Resorts is a network of the best destination and
close-to-home ski resorts in the world including Vail Mountain,
Breckenridge, Park City Mountain,
Whistler Blackcomb, Stowe, and 32 additional resorts across
North America; Andermatt-Sedrun in
Switzerland; and Perisher, Hotham,
and Falls Creek in Australia. We
are passionate about providing an Experience of a Lifetime to our
team members and guests, and our EpicPromise is to reach a zero net
operating footprint by 2030, support our employees and communities,
and broaden engagement in our sport. Our company owns and/or
manages a collection of elegant hotels under the RockResorts brand,
a portfolio of vacation rentals, condominiums and branded hotels
located in close proximity to our mountain destinations, as well as
the Grand Teton Lodge Company in Jackson
Hole, Wyo. Vail Resorts Retail operates more than 250 retail
and rental locations across North
America. Learn more about our company at
www.VailResorts.com, or discover our resorts and pass options at
www.EpicPass.com.
Forward-Looking Statements
Certain statements discussed in this press release other than
statements of historical information are forward-looking statements
within the meaning of the federal securities laws, including the
statements regarding expected fiscal 2024 performance (including
the assumptions related thereto) and, our operations; sales
patterns and expectations related to our season pass sales and
products; our expectations regarding the 2024/2025 season; and our
expectations regarding our ancillary lines of business. Readers are
cautioned not to place undue reliance on these forward-looking
statements, which speak only as of the date hereof. All
forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially
from those projected. Such risks and uncertainties include but are
not limited to the economy generally and our business and results
of operations, including the ultimate amount of refunds that we
would be required to refund to our pass product holders for
qualifying circumstances under our Epic Coverage program; prolonged
weakness in general economic conditions, including adverse effects
on the overall travel and leisure related industries; risks
associated with the effects of high or prolonged inflation, rising
interest rates and financial institution disruptions; unfavorable
weather conditions or the impact of natural disasters or other
unexpected events; the willingness of our guests to travel due to
terrorism, the uncertainty of military conflicts or public health
emergencies, and the cost and availability of travel options and
changing consumer preferences, discretionary spending habits, or
willingness to travel; risks related to interruptions or
disruptions of our information technology systems, data security,
or cyberattacks; risks related to our reliance on information
technology, including our failure to maintain the integrity of our
customer or employee data and our ability to adapt to technological
developments or industry trends; our ability to acquire, develop
and implement relevant technology offerings for customers and
partners, including effectively implementing our My Epic
application; the seasonality of our business combined with adverse
events that may occur during our peak operating periods;
competition in our mountain and lodging businesses or with other
recreational and leisure activities; risks related to the high
fixed cost structure of our business; our ability to fund resort
capital expenditures; risks related to a disruption in our water
supply that would impact our snowmaking capabilities and
operations; our reliance on government permits or approvals for our
use of public land or to make operational and capital improvements;
risks related to federal, state, local and foreign government laws,
rules, and regulations, including environmental and health and
safety laws and regulations; risks related to changes in security
and privacy laws and regulations which could increase our operating
costs and adversely affect our ability to market our products,
properties, and services effectively; potential failure to adapt to
technological developments or industry trends regarding information
technology; risks related to our workforce, including increased
labor costs, loss of key personnel, and our ability to maintain
adequate staffing, including hiring and retaining a sufficient
seasonal workforce; a deterioration in the quality or reputation of
our brands, including our ability to protect our intellectual
property and the risk of accidents at our mountain resorts; risks
related to scrutiny and changing expectations regarding our
environmental, social and governance practices and reporting; our
ability to successfully integrate acquired businesses, or that
acquired businesses may fail to perform in accordance with
expectations, such as, the Seven Springs Resorts and
Andermatt-Sedrun, including their integration into our internal
controls and infrastructure; our ability to successfully navigate
new markets, including Europe;
risks associated with international operations; fluctuations in
foreign currency exchange rates where the Company has foreign
currency exposure, primarily the Canadian and Australian dollars
and the Swiss franc, as compared to the U.S. dollar; changes in tax
laws, regulations or interpretations, or adverse determinations by
taxing authorities; risks related to our indebtedness and our
ability to satisfy our debt service requirements under our
outstanding debt, including our unsecured senior notes, which could
reduce our ability to use our cash flow to fund our operations,
capital expenditures, future business opportunities, and other
purposes; a materially adverse change in our financial condition;
adverse consequences of current or future legal claims; changes in
accounting judgments and estimates, accounting principles,
policies, or guidelines; and other risks detailed in the Company's
filings with the Securities and Exchange Commission, including the
"Risk Factors" section of the Company's Annual Report on Form 10-K
for the fiscal year ended July 31,
2023, which was filed on September
28, 2023.
All forward-looking statements attributable to us or any persons
acting on our behalf are expressly qualified in their entirety by
these cautionary statements. All guidance and forward-looking
statements in this press release are made as of the date hereof and
we do not undertake any obligation to update any forecast or
forward-looking statements whether as a result of new information,
future events or otherwise, except as may be required by law.
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SOURCE Vail Resorts, Inc.