Vail Resorts Skis Through Q1 with Strong North American Summer Business and Season Pass Sales
Vail Resorts, a leader in the mountain resort industry, has reported strong results for its fiscal first quarter 2025. Despite challenges at their Australian resorts due to record low snowfall and lower demand, the company's North American summer business saw significant growth from increased activity spending and lodging results.
In a recent conference call, Kirsten Lynch, Chief Executive Officer of Vail Resorts, highlighted the company's resilience in the face of these challenges. "Our resort reported EBITDA was consistent with the prior year, driven by growth in our North American summer business," she said.
One area where Vail Resorts excelled in Q1 was its season pass sales for the 2024-2025 North American ski season. Despite a slight decline of 2% in units sold, sales dollars increased by approximately 4%, with the company benefiting from an 8% price increase and growth among lower-priced Epic Day Pass products.
The company's resource efficiency transformation plan, designed to improve organizational effectiveness and scale for operating leverage as it grows globally, continues to make progress. Vail Resorts aims to achieve $100 million in annualized cost efficiencies by the end of its 2026 fiscal year.
Kirsten Lynch emphasized the importance of this plan in driving future growth and efficiency for the company. "Through scaled operations, global shared services, and expanded workforce management, we will provide updates as significant milestones are achieved," she said.
Vail Resorts also reported strong loyalty among its pass holders, with growth among renewing pass holders across all geographies. The company acquired a substantial number of new pass holders for the full selling season, but the absolute number of new guests was smaller compared to the prior year.
Epic Day Pass products achieved unit growth, driven by strength in renewing pass holders. This positive trend is expected to continue as the company continues to invest in the guest experience at its resorts.
Overall, Vail Resorts' Q1 results demonstrate its ability to navigate challenges and capitalize on opportunities for growth. As the company continues to execute its resource efficiency transformation plan and invest in its pass products, investors will be watching closely for further developments.
