While the top- and bottom-line numbers for Vail Resorts (MTN) give a sense of how the business performed in the quarter ended October 2024, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
Vail Resorts (MTN) came out with a quarterly loss of $4.61 per share versus the Zacks Consensus Estimate of a loss of $5.14. This compares to loss of $4.60 per share a year ago.
Beyond analysts' top -and-bottom-line estimates for Vail Resorts (MTN), evaluate projections for some of its key metrics to gain a better insight into how the business might have performed for the quarter ended October 2024.
Vail Resorts is undervalued after a 20% YTD drop, despite maintaining dividends and a new plan to grow adjusted EBITDA. The company recently unveiled a two-year transformation plan aiming for $100M in annual savings by FY26, with significant corporate job cuts to boost efficiency. Vail is also enjoying an increase in season pass sales in dollar terms, despite a sharp price increase.
MTN's emphasis on the Resource Efficiency Transformation Plan bodes well. However, weather disruptions are a concern.
I maintain a hold rating on Vail Resorts. Key concerns include unfavorable weather conditions, normalization of demand post-COVID, and ongoing macroeconomic challenges impacting MTN's ability to meet FY25 EBITDA targets. Despite market optimism reflected in current valuation, I remain cautious, anticipating a potential miss in EBITDA guidance and subsequent valuation adjustments.
Vail's bottom line is under pressure as rising costs aren't offset by more revenue. As Epic Pass sales fall, the company's future profitability is in question.
MTN's fiscal fourth-quarter performance reflects a decline in skier visits owing to unfavorable weather conditions.
After struggling this year because of limited snow and a falloff in visitors, ski resort operator Vail Resorts (MTN) announced a "transformation plan" that includes layoffs. Shares slumped as the company also reported a bigger loss for the fourth quarter.
Vail Resorts' Q4'24 results show strategic efforts to address weather and labor challenges, with the Resource Efficiency Transformation Plan aiming to streamline operations, improve margins, and enhance guest experiences. Despite a 1.6% revenue decline and negative EPS, ancillary spending and steady EBITDA highlight resilience; liquidity remains strong with nearly $1 billion available. The transformation plan targets $100 million in annual cost savings by FY'26, with a focus on global shared services and workforce management to improve margins.
Vail Resorts, Inc. (NYSE:MTN ) Q4 2024 Earnings Conference Call September 26, 2024 5:00 PM ET Company Participants Kirsten Lynch - Chief Executive Officer Angela Korch - Executive Vice President and Chief Financial Officer Conference Call Participants Shaun Kelley - Bank of America Jeffrey Stantial - Stifel Megan Alexander - Morgan Stanley Xian Siew - BNP Paribas Brandt Montour - Barclays Patrick Scholes - Truist David Katz - Jefferies Benjamin Chaiken - Mizuho Operator Good afternoon, everyone. Welcome to the Vail Resorts Fiscal 2024 Year-End Earnings Conference Call.
The headline numbers for Vail Resorts (MTN) give insight into how the company performed in the quarter ended July 2024, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.