Why Is Vail Resorts (MTN) Down 9.4% Since Last Earnings Report?

Core Viewpoint - Vail Resorts has reported its Q1 fiscal 2025 results, showing a mixed performance with revenues exceeding estimates but a wider adjusted loss compared to the previous year [2][5]. Financial Performance - The company reported a loss of $4.61 per share, which was narrower than the consensus estimate of a loss of $5.14, while the prior-year quarter loss was $4.60 per share [5]. - Quarterly net revenues reached $260.3 million, surpassing the consensus mark of $249.4 million, reflecting a year-over-year increase of 0.7% [5]. Segment Results - The Mountain segment generated net revenues of $173.3 million, up 0.5% year-over-year, with dining revenues increasing by 14.1% to $20.6 million, while retail/rental revenues declined by 11.8% to $29.5 million [6]. - The Lodging segment reported total net revenues of $86.9 million, marking a 6.2% year-over-year increase [7]. EBITDA and Operating Expenses - The consolidated EBITDA loss for the quarter was $124.6 million, an improvement from the $134.4 million loss reported in the previous year [9]. - Operating expenses totaled $403.6 million, slightly up from $400.1 million in the year-ago quarter [9]. Balance Sheet - As of October 31, 2024, cash and cash equivalents amounted to $403.8 million, an increase from $322.8 million at the end of fiscal 2024 [10]. - Net long-term debt was $2.71 billion, down from $2.72 billion as of July 31, 2024 [10]. Guidance and Outlook - The company has raised its fiscal 2025 guidance for net income to a range of $240-$316 million, up from the previous estimate of $224-$300 million, indicating growth from $230.4 million reported in fiscal 2024 [14]. - Total reported EBITDA is now expected to be between $844 million and $906 million, an increase from the prior range of $827-$889 million, also reflecting growth from $826.6 million in fiscal 2024 [14]. Market Position and Trends - The company anticipates around 2.3 million guests to commit to its resorts, generating over $975 million in revenues, which represents about 75% of all skier visits [13]. - Vail Resorts has a strong Growth Score of A and a momentum score of A, with an aggregate VGM Score of A, indicating a favorable investment outlook [17].