Viad(US:VVI)2025-08-06 20:11Revenue Performance - Revenue for Q2 2025 was $116.7 million, an increase of $15.5 million (15.4%) compared to Q2 2024[3] - Total revenue for Q2 2025 was $116,743,000, an increase of 15.4% compared to $101,201,000 in Q2 2024[30] - Ticket, rooms, transportation, and other services revenue rose to $88,063,000, reflecting a 15.8% increase from $76,050,000 in the same period last year[30] - Food and beverage and retail products revenue increased by 14.0% to $28,680,000, up from $25,151,000 in Q2 2024[30] - The company reported a total revenue of $154,322 for the six months ended June 30, 2025, an 11.5% increase from $138,432 in the same period of 2024[49] Profitability Metrics - Adjusted EBITDA for Q2 2025 was $29.7 million, reflecting a year-over-year increase of $9.8 million (49.2%) due to higher revenue and cost discipline[3] - Adjusted EBITDA for Q2 2025 was $29,708, representing a 49.2% increase from $19,914 in Q2 2024[49] - Adjusted EBITDA margin improved to 25.4% in Q2 2025, up from 19.7% in Q2 2024[49] - Net income attributable to Pursuit was $5.6 million, down from $29.3 million in the prior year, primarily due to the sale of the GES business[3] - Net income for Q2 2025 was $8,731,000, a decrease of 71.7% compared to $30,878,000 in Q2 2024[30] - Net income attributable to Pursuit for Q2 2025 was $5,646, down 80.7% from $29,311 in Q2 2024[49] Expenses and Costs - Selling, general, and administrative expenses increased by 14.9% to $15,729,000 in Q2 2025, driven by higher transaction-related costs[33] - Operating expenses (excluding depreciation and amortization) rose to $62,563,000, a 4.6% increase from $59,793,000 in Q2 2024[32] - Interest expense decreased by 51.0% to $1,928 in Q2 2025 from $3,937 in Q2 2024[49] - Transaction-related costs for Q2 2025 were $3,364, a substantial increase from $55 in Q2 2024, reflecting ongoing corporate development activities[49] - Other expenses, net, surged to $5,962 in Q2 2025 from $309 in Q2 2024, indicating significant changes in operational costs[49] Guidance and Future Outlook - The company raised its full-year 2025 adjusted EBITDA guidance to a range of $108 million to $118 million, an increase of $10 million from previous guidance[2] - Pursuit's revenue is expected to grow by approximately 20% at the midpoint compared to 2024, with total capital expenditures projected between $71 million and $76 million[18] - The company plans to invest approximately $38 million to $43 million in organic growth capital expenditures during 2025[15] - The company anticipates continued growth in the travel industry and plans to focus on capital expenditures and acquisitions to support its growth strategy[25] Shareholder Metrics - Basic income per share for Q2 2025 was $0.20, down 79.6% from $0.98 in Q2 2024[30] - Basic weighted-average outstanding common shares increased by 7,130 shares or 33.7% to 28,256 for the three months ended June 30, 2025, compared to 21,126 in 2024[38] - The diluted weighted-average outstanding common shares for the three months ended June 30, 2025, increased by 7,266 shares or 34.4% to 28,392 compared to 21,126 in 2024[43] - Diluted adjusted earnings per share (EPS) for the three months ended June 30, 2025, was $0.36, compared to a loss of $0.06 in 2024, representing a change of $0.42[43] Discontinued Operations - The company reported a loss from discontinued operations attributable to Pursuit of $1,135 for the three months ended June 30, 2025, a decrease of $28,607 or 96.2% compared to a loss of $29,742 in 2024[43] - Income from discontinued operations improved significantly, with a net loss of $(1,135) in Q2 2025 compared to $(29,742) in Q2 2024, a 96.2% change[49] Other Notable Items - The acquisition of Tabacón Thermal Resort & Spa was completed for approximately $111 million, enhancing Pursuit's portfolio in Costa Rica[14] - The net leverage ratio was 0.6x at the end of Q2 2025, projected to be 1.5x on a pro forma basis after the Tabacón acquisition[11] - The legacy pension termination resulted in a non-cash settlement charge of $5.4 million associated with the termination of the legacy Giltspur Inc. Employees' Pension Plan[46] - The company experienced a significant restructuring charge of $259 for the three months ended June 30, 2025, compared to only $1 in 2024, indicating a substantial increase in restructuring activities[43]