Vail Resorts Reports Wider Loss in Fiscal Fourth Quarter
Vail Resorts reports a wider loss in the fiscal fourth quarter due to decreased demand for summer mountain travel. Analysts predicted a per-share loss of $3.22.
Vail Resorts, a ski resort company based in Broomfield, Colorado, experienced a wider loss in the fiscal fourth quarter due to a decrease in summer mountain travel. Despite missing revenue expectations, Chief Executive Kirsten Lynch believes that the decline in demand can be attributed to increased vacation options as travel restrictions ease.
In the quarter ended July 31, Vail Resorts reported a loss of $128.6 million, or $3.35 per share. This represents an increase from the loss of $108.7 million, or $2.70 per share, recorded in the same quarter of the previous year. Analysts predicted a per-share loss of $3.22, according to FactSet data.
Although revenue did increase to $269.8 million from $267.1 million, it fell short of the $282.3 million expected by analysts.
The company attributes its results to several factors. Firstly, lower snowfall and warmer temperatures during the Australian winter season impacted Vail Resorts' performance. Additionally, there was a decrease in demand for destination mountain travel in North America.
Vail Resorts acknowledges that the availability of more vacation options played a role in the decline in demand for summer mountain travel. While the company faced challenges in the fiscal fourth quarter, it remains optimistic about future opportunities.