Vail Resorts Reports Mixed Results for 2024-25 Ski Season

Vail Resorts Sees Revenue Growth Despite Fewer Skier Visits

Vail Resorts has released its performance metrics for the 2024-25 winter season, revealing a complex picture of the North American ski industry. The company, which operates 37 ski areas across the continent, reported a 3.1% decrease in skier visits compared to the previous year. However, this decline in foot traffic was offset by a 3.4% increase in lift ticket revenue, indicating a shift in consumer behaviour and pricing strategies.

A map showing all of Vail Resorts owned properties. Credit: Vail Resorts

The report shows mixed results across various revenue streams. Ski school and dining revenues saw modest increases of 2.7% and 2.2% respectively. In contrast, retail and rental revenue experienced a 4% decline. These figures exclude data from Vail's Australian and European operations.

CEO Kirsten Lynch attributed the revenue growth to a higher proportion of season pass holders, whose visits improved in the latter part of the season. This increase helped counterbalance lower-than-expected day ticket sales. Lynch emphasised the stability provided by the season pass program and the company's investments in enhancing guest experiences.

The data also revealed changes in visitor demographics. There was a lower proportion of destination visitors, who typically spend more on-site. This shift affected overall growth in ancillary spending, despite robust per-guest expenditure in areas like ski school and dining.

Northstar California is one the Vail Resorts key properties. Credit: Northstar Resort

Looking ahead, Vail Resorts anticipates its Resort Reported EBITDA for fiscal 2025 to fall in the lower half of its previous guidance. This forecast reflects softer spring visitation than expected. To mitigate these impacts, the company is focusing on cost management and implementing a resource efficiency transformation plan.

For the upcoming 2025-26 season, early pass sales data shows a slight decrease in units sold but an increase in total sales revenue. This is largely due to price adjustments. Notably, renewal rates among long-term pass holders have significantly increased, suggesting continued loyalty from core customers.

Vail Resorts' performance offers insights into broader trends in the ski industry. While overall visitation may be declining, strategic pricing and a focus on season passes are helping to maintain revenue growth. The company's ability to adapt to changing consumer preferences and economic conditions will be crucial for its continued success in the competitive ski resort market.