Vail Resorts Reports $245.5 Million Net Income and $1.137 Billion Revenue for Quarter Ended January 31, 2025

Vail Resorts, Inc. reported a net income of $245.5 million for the three months ended January 31, 2025, an increase of 11.9% compared to $219.3 million for the same period in 2024. The company's total net revenue for the quarter reached $1.137 billion, up 5.5% from $1.078 billion year-over-year. The growth in revenue was primarily driven by a 6.3% increase in the Mountain segment, which generated $1.063 billion, bolstered by higher skier visitation and improved weather conditions compared to the previous year. The Lodging segment, however, saw a decline in revenue, dropping to $74 million from $78 million, reflecting decreased demand for lodging services.

In terms of operational metrics, Vail Resorts reported a total of 7.8 million skier visits during the quarter, a 6.8% increase from 7.3 million in the prior year. The effective ticket price remained stable at $83.16, slightly up from $83.08. The company also noted a significant increase in ancillary revenue streams, including dining and ski school services, which benefited from the higher volume of destination guests. However, the Lodging segment's performance was impacted by a decrease in destination skier visitation, leading to lower occupancy rates and average daily rates.

Strategically, Vail Resorts completed the acquisition of Crans-Montana in Switzerland on May 2, 2024, for approximately $107.2 million. This acquisition is expected to enhance the company's international presence and contribute to future revenue growth. The company also repurchased $40 million worth of its shares during the six months ended January 31, 2025, as part of its ongoing share repurchase program, which has a total authorization of up to 11.1 million shares.

Looking ahead, Vail Resorts anticipates continued growth driven by its season pass program, which has shown resilience despite broader economic challenges. The company reported $474.7 million in deferred revenue related to pass sales as of January 31, 2025, indicating strong future cash flow potential. However, management acknowledged potential risks, including economic uncertainties, fluctuating consumer spending, and adverse weather conditions that could impact visitation and revenue.

As of January 31, 2025, Vail Resorts had $488.2 million in cash and cash equivalents, with an additional $508.5 million available under its revolving credit facility. The company’s long-term debt stood at $2.7 billion, with a net debt of $2.2 billion, reflecting an increase from the previous year primarily due to the acquisition of Crans-Montana and share repurchases. The company remains committed to maintaining liquidity and funding its capital expenditures, which are projected to be between $249 million and $254 million for the fiscal year.