Vail Resorts' second-quarter performance fell short of expectations due to insufficient snowfall, leading to a downward revision of guidance; stock price down 3%

2026-03-09 20:59:03

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Vail Resorts, Inc. (NYSE: MTN) in Boulder, Colorado, reported second-quarter results that fell short of analyst expectations and lowered its full-year guidance due to historic severe weather conditions at its Rocky Mountain resorts.

Following the announcement, the stock dropped 3.2%.

The ski resort operator reported an adjusted quarterly earnings of $5.87 per share as of January 31, compared to the analyst consensus of $6.25, a decrease of $0.38. Revenue was $1.08 billion, below the expected $1.12 billion, a 4.7% year-over-year decline.

The main reason for the performance decline was that the Colorado and Utah resorts experienced the lowest snowfall in over 30 years, combined with higher temperatures that reduced available ski terrain. Despite a 13% drop in visitors, total cable car revenue only decreased by 2.9%, thanks to a 3% increase in North American season pass sales.

The company now expects net income for fiscal 2026 to be between $144 million and $190 million, with resort EBITDA reported between $745 million and $775 million. The midpoint EBITDA guidance of $760 million has been significantly lowered from previous estimates due to ongoing severe weather in the Rockies, which continues to limit ski terrain availability.

CEO Rob Katz stated, “This has been the most challenging winter in the Rockies we have experienced.” “In this context, we are pleased with the resilience and stability of our operations, as cable car revenue only saw a slight decline even in what many consider the worst weather conditions.”

For this quarter, the resort reported an EBITDA of $421.3 million, down 8.3% from $432.4 million a year earlier. As of March 1, the cumulative data for the quarter shows a total of ski visitors decreased by 11.9% year-over-year, while total cable car revenue declined by 3.6%.

The company announced a quarterly dividend of $2.22 per share, payable on April 9 to shareholders registered as of March 26.

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