Vail Resorts, Inc. (MTN) released its fourth-quarter financial results after the market closed on Thursday, revealing a mixed bag of news. While the company exceeded revenue expectations, it reported a quarterly loss that fell short of analyst estimates.
The company reported a loss of $4.67 per share, missing the analyst consensus estimate for losses of $4.25. However, revenue came in at $265.39 million, surpassing the analyst consensus estimate of $264.54 million.
Vail Resorts CEO Kirsten Lynch attributed the performance to the company’s “advance commitment strategy,” highlighting its stability and resilience. She acknowledged a 9.5% decline in skier visitation compared to the previous year, citing unfavorable weather conditions across North America and Australia, as well as the impact of industry normalization after record visitation during the 2022/2023 ski season.
The company also announced a $100 million transformation plan aimed at streamlining operations and positioning Vail Resorts for future growth. This plan includes workforce reductions, impacting less than 2% of the company’s total workforce. The reductions will affect 14% of the corporate workforce, less than 1% of the operational workforce, and 0.2% of frontline roles.
Lynch emphasized that the transformation plan represents a natural progression and a strategic step for the company, building upon its success and paving the way for future growth. “Our mission: to create an Experience of a Lifetime for our employees and our guests, galvanizes our company, as does our commitment to reinvesting for growth,” she stated.
Looking ahead, Vail Resorts anticipates revenue of $3.03 billion for fiscal year 2025, exceeding the analyst consensus estimate of $3.01 billion.
Following the earnings release, Vail Resorts shares were down 0.77% in after-hours trading, settling at $186.50 per share as of Thursday’s close.
