NYSE$MTN

Vail Resorts Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported a decrease in net income and Resort Reported EBITDA, but experienced growth in ancillary businesses and season-to-date metrics.

Vail Resorts reported a decrease in net income attributable to Vail Resorts, Inc. to $208.7 million for the second fiscal quarter of 2023, compared to $223.4 million in the same period in the prior year. Resort Reported EBITDA was $394.8 million, a slight decrease from $397.9 million in the prior year. However, season-to-date total skier visits and lift revenue increased, with strong growth in ski school, dining, and retail/rental revenue. The company updated its fiscal year 2023 guidance, expecting net income to be between $282 million and $328 million and Resort Reported EBITDA to be between $831 million and $859 million.

  • Net income attributable to Vail Resorts, Inc. decreased to $208.7 million compared to $223.4 million in the prior year.
  • Resort Reported EBITDA was $394.8 million, slightly down from $397.9 million in the prior year.
  • Season-to-date total skier visits increased by 3.6% and total lift revenue increased by 2.5%.
  • The company updated its fiscal year 2023 guidance, projecting net income between $282 million and $328 million, and Resort Reported EBITDA between $831 million and $859 million.

Headline financials

Total Revenue

$1.1B

Previous: $907M+21.5%
EPS (adj)

$5.16

Previous: $5.47-5.7%
Total Skier Visits

8.3M

Previous: 7.4M+12.9%
Effective Ticket Price

$71.33

No prior period
Free Cash Flow

$209M

Previous: $223M-6.6%
Net Income

$209M

Previous: $223M-6.6%
Operating Income

$328M

Previous: $325M+0.9%
Gross Profit

$1.1B

Previous: $907M+21.5%
Cash & Equivalents

$1.3B

Previous: $1.41B-7.9%
Total Assets

$6.56B

Previous: $6.37B+3.1%
Stock-Based Comp

$6.84M

Previous: $6.48M+5.6%

Revenue & EPS history

Vail Resorts · Revenue · Quarterly

$1.1B

Q2 2023+21.5%vs Q2 2022
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Vail Resorts · $255M total across 3 segments · Q1 2024

  • Mountain
    $172M-14.5%
  • Lodging
    $78.4M+6.0%
  • Real Estate
    $4.29M

Forward guidance

The company lowered its fiscal 2023 guidance due to weather disruptions at Eastern U.S. and Tahoe resorts, expecting net income between $282 million and $328 million and Resort Reported EBITDA between $831 million and $859 million.

Tailwinds

  • Strong demand from destination guests at western North American resorts is expected to continue for the remainder of the season.
  • Advance commitment products provide an incredible value to the consumer.
  • Advance commitment products provide much greater stability to the Company and our communities.
  • Company will roll out new technology and infrastructure upgrades next season.
  • On average, our pass prices have increased 8% over the prior season’s launch price and continue to represent strong value to our guests.

Headwinds

  • Significant weather disruptions at Eastern U.S. resorts throughout the season-to-date period.
  • Continued significant snowstorm disruptions at Tahoe resorts.
  • Contribution margin from our 26 Eastern U.S. resorts, excluding an allocated portion of pass product revenue, to underperform initial expectations provided in September 2022 by approximately $43 million.
  • Weather disruptions in the East and in Tahoe impacted both operating days and visitation and drove increased operating costs.
  • There continues to be uncertainty around the economic outlook and the impact that may have on travel and consumer behavior.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

+0.5%

Avg return

Earnings day

-0.7%

Avg return

5 days after

-2.2%

Avg return

30 days after

54%

37 / 68 earnings

Positive

+13.9%

Q2 2015

Best reaction

-13.7%

Q1 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-4.4%-2.7%
Q2 2026+0.9%-1.6%-3.3%
Q1 2026+9.2%+11.7%-2.7%
Q4 2025+0.9%+6.1%-1.9%
Q3 2025+0.0%+3.4%+5.7%
Q2 2025+7.7%+3.9%-9.0%
Q1 2025+2.5%-0.1%-5.5%
Q4 2024-1.2%-5.3%-8.0%
Q3 2024-9.8%-6.0%-9.6%
Q2 2024+1.1%-2.3%+3.6%
Q1 2024+5.7%+7.0%-1.7%
Q4 2023-6.0%-11.9%-12.5%
Q3 2023-6.4%-2.7%-4.8%
Q2 2023-5.5%-7.6%+0.4%
Q1 2023+4.7%+8.1%+0.6%
Q4 2022+4.7%+4.8%+6.3%
Q3 2022-3.1%-10.0%-15.7%
Q2 2022+3.2%+12.7%+6.7%
Q1 2022-1.7%-5.6%-10.7%
Q4 2021+9.4%+6.6%+10.3%
Q3 2021-2.1%-4.0%-3.6%
Q2 2021+3.2%+1.5%-0.3%
Q1 2021-2.9%-3.6%-2.5%
Q4 2020-1.5%-6.4%+9.4%
Q3 2020-2.6%-6.6%-9.5%
Q2 2020-9.5%-13.6%-19.8%
Q1 2020+0.1%+4.3%+6.8%
Q4 2019+0.4%-3.2%-0.1%
Q3 2019+8.6%+6.3%+2.2%
Q2 2019+9.0%+7.8%+8.4%
Q1 2019-13.7%-17.2%-19.9%
Q4 2018-7.2%-10.1%-16.9%
Q3 2018+6.2%+7.9%+9.5%
Q2 2018+4.7%+2.1%+3.3%
Q1 2018+1.9%-1.2%-6.3%
Q4 2017+0.0%-2.8%-0.3%
Q3 2017-6.0%-4.5%-5.9%
Q2 2017+3.7%+3.6%+5.2%
Q1 2017+3.2%+1.7%+2.2%
Q4 2016-2.9%-2.3%-2.8%
Q3 2016+5.4%+2.0%+3.7%
Q2 2016-1.4%
Q1 2016+5.1%
Q4 2015-5.7%
Q3 2015-2.9%
Q2 2015+13.9%
Q1 2015-0.9%
Q4 2014-1.4%
Q3 2014+7.1%
Q2 2014-2.7%
Q1 2014-1.9%
Q4 2013+0.6%
Q3 2013+1.5%
Q2 2013+6.9%
Q1 2013-6.1%
Q4 2012+8.5%
Q3 2012+6.8%
Q2 2012+7.7%
Q1 2012+0.7%
Q4 2010-6.3%
Q4 2011-6.3%
Q4 2009-6.3%
Q3 2011+0.1%
Q3 2010+0.1%
Q2 2011-0.5%
Q2 2010-0.5%
Q1 2011+4.4%
Q1 2010+4.4%

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