Vail Resorts misses Q2 profit estimates, cuts 2026 net income guidance due to challenging weather

Reuters03-10
Vail Resorts misses <a href="https://laohu8.com/S/QTWO">Q2</a> profit estimates, cuts 2026 net income guidance due to challenging weather

Overview

  • Ski resort operator's fiscal Q2 net income fell yr/yr due to challenging weather conditions

  • Adjusted EPS for fiscal Q2 missed analyst expectations

  • Company reduced fiscal 2026 guidance due to adverse weather impacts

Outlook

  • Vail Resorts lowers fiscal 2026 net income guidance to $144 mln-$190 mln

  • Company expects fiscal 2026 Resort Reported EBITDA of $745 mln-$775 mln

  • Vail Resorts cites challenging weather in Rockies for guidance revision

Result Drivers

  • WEATHER IMPACT - Historically low snowfall and warmer temperatures in the Rockies led to reduced terrain and visitation, impacting revenue

  • PASS SALES - Despite a 13% drop in visitation, lift revenue declined only 2.9% due to a 3% increase in North American pass sales revenue

  • COST MANAGEMENT - Declines in Resort Reported EBITDA were partially offset by disciplined cost management and resource efficiency savings

Company press release: ID:nPnzSFXLa

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q2 Resort Net Revenue

$1.08 bln

Q2 EPS

Miss

$5.87

$6.09 (9 Analysts)

Q2 Net Income

$225.85 mln

Q2 Income from Operations

Miss

$345.05 mln

$362.81 mln (8 Analysts)

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the leisure & recreation peer group is "buy"

  • Wall Street's median 12-month price target for Vail Resorts Inc is $167.00, about 20.4% above its March 6 closing price of $138.76

  • The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 20 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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