Vail Resorts 2026 Q1 Earnings Wider Losses Amid Revenue Growth

Vail Resorts (MTN) reported a 4.1% year-over-year revenue increase to $271.03 million in Q1 2026, but the net loss widened to $196.46 million ($5.20 per share), missing expectations. The company maintained its fiscal 2026 guidance for net income of $201–$276 million and EBITDA of $842–$898 million, despite ongoing unprofitability.

Revenue

Total resort net revenue reached $270.95 million, driven by a 4% year-over-year increase in resort operations. The mountain segment, contributing $185.24 million, remained the largest revenue driver, while lodging added $85.71 million. Retail/rental and dining segments posted $30.79 million and $19.79 million, respectively. Lift ticket sales totaled $49.64 million, and ancillary offerings like ski school and real estate revenue rounded out the performance.

Earnings/Net Income

The company’s losses deepened to $5.20 per share in Q1 2026, a 12.6% wider loss compared to $4.62 per share in Q1 2025. Net loss expanded to $196.46 million from $181.96 million, marking a 8.0% increase in negative performance. This reflects the company’s prolonged unprofitability, with losses exceeding $4.62 per share for over two decades in the same quarter.

Price Action

The stock edged down 2.75% in the latest trading day but gained 0.40% weekly. Month-to-date, it declined 4.01%, signaling mixed short-term investor sentiment.

Post-Earnings Price Action Review

A strategy of buying MTN shares post-earnings revenue drops and holding for 30 days yielded a -15.76% CAGR over three years, underperforming the 67.96% benchmark. With a Sharpe ratio of -0.52, the approach was risk-averse yet poorly performing, highlighting the stock’s volatility and investor caution.

CEO Commentary

CEO Robert Katz emphasized strategic shifts in marketing, including increased social and influencer spending, to boost fall pass sales. He highlighted new initiatives like Epic Friends tickets and advanced purchase discounts as tools to drive lift ticket sales and guest engagement. Katz noted progress in off-peak visitation strategies but acknowledged challenges in North American pass sales.

Guidance

Management reiterated fiscal 2026 guidance for net income of $201–$276 million and EBITDA of $842–$898 million. The outlook assumes growth from price increases, ancillary revenue, and $38 million in cost efficiencies from the Resource Efficiency Transformation plan, despite lower pass units and inflationary pressures.

Additional News

Vail Resorts announced the appointment of Celeste Burgoyne as Chief Revenue Officer, leveraging her Lululemon experience to enhance revenue strategies. The company also unveiled a $215–$220 million core capital plan for 2026, including upgrades at Park City Mountain and Whistler Blackcomb. Additionally, it repurchased $25 million worth of shares in November, signaling confidence in its long-term value despite near-term losses.