Vail Reports Six-Month Loss
SAM Magazine--Vail, Colo., Mar. 10, 2004--Vail Resorts, Inc. reported a net loss for the six months ended Jan. 31, 2004 of $32.1 million, compared to a net loss of $8.4 million for the same period last year.
Excluding charges for early extinguishment of debt and mold remediation at the Breckenridge Terrace employee housing, Vail's expected net loss for the six months would have been $5.5 million.
Second quarter results showed improvement over the 2003 quarter, and made the company optimistic for a strong third quarter.
Total revenue for the second quarter declined 0.4 percent, to $247.2 million, due to a decline in real estate revenue, and total operating expense decreased 2.1 percent, to $200.6 million.
Mountain revenue for the second quarter of fiscal 2004 was $201.4 million, a 6.9 percent increase from $188.4 million for the comparable period last year. Mountain expense increased 2.7 percent, to $126.9 million.
Lodging revenue for the quarter grew 7.8 percent, to $38.4 million. Lodging expense increased 1.0 percent, to $38.4 million.
Income from operations for the quarter improved 7.8 percent, despite a $5.5 million pre-tax charge for mold remediation, to $46.6 million, compared to $43.3 million for the same period last year.
Second quarter resort reported EBITDA rose to $73.9 million, a 21.1 percent improvement over the $61 million reported for the comparable period last year.
Due to the charges for early extinguishment of debt and mold remediation, Vail Resorts reported a second quarter net loss of $6.7 million, compared to net income of $16.7 million for the same period last year. Excluding the extraordinary charges, Vail's second quarter net income would have been $20.5 million. \