Vail Resorts to Post Q2 Earnings: What's in Store for the Stock?

Vail Resorts, Inc. MTN is scheduled to report second-quarter fiscal 2025 results on March 10.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.In the last reported quarter, MTN registered an earnings surprise of 10.3%.Trend in Estimate Revision of MTNThe Zacks Consensus Estimate for fiscal second-quarter earnings per share (EPS) is pegged at $6.29, indicating an improvement of 9.2% from $5.76 reported in the year-ago quarter.Vail Resorts, Inc. Price and EPS Surprise Vail Resorts, Inc. price-eps-surprise | Vail Resorts, Inc. QuoteFor revenues, the consensus mark is pegged at $1.14 billion. The projection suggests a 5.6% rise from the year-ago quarter’s reported figure.Let's take a look at how things have shaped up in the quarter.Factors Likely to Shape MTN’s Quarterly ResultsVail Resorts' fiscal second-quarter performance is likely to have gained from strong season pass sales and favorable early-season conditions at key North American resorts. Growth in lift ticket revenues and ancillary businesses such as ski school and dining are likely to have contributed to its fiscal second-quarter top-line improvement. Additionally, strategic capital investments in base area enhancements, lift upgrades, beginner ski and ride school improvements, dining experiences, and real estate development are expected to have aided the company’s performance in the fiscal second quarter.Vail Resorts' season-to-date performance through Jan. 5, 2025, reflects strengths and challenges in the North American ski market. While total skier visits declined by 0.3% year over year, lift ticket revenues rose 4.5%, benefiting from improved weather conditions and the stability of the season pass program. Ancillary businesses showed mixed results, with ski school and dining revenues increasing by 1.1% and 6.6%, respectively, while retail and rental revenues declined by 5.4%. Vail Resorts' season-to-date results indicate the stability provided by its season pass program and investments in the guest experience. The company's mountain operations teams executed effectively across all resorts, leading to improved local visitation compared with the prior year.Our model predicts fiscal second-quarter revenues from lift tickets, Ski School and Dining to rise 4.4%, 1.6% and 32.1% year over year to $630 million, $128.7 million and $108.4 million, respectively. We expect fiscal second quarter revenues from retail and rental to fall 4.2% year over year to $130.5 million.Lodging performance is likely to have been mixed during the fiscal second quarter. While U.S. resort bookings remained steady compared to the prior year, Whistler Blackcomb may have experienced weaker demand due to delayed booking decisions following challenges in the previous season. Our model predicts total lodging revenues in the fiscal second quarter to rise 13.7% year over year to $88.5 million.The company's ongoing resource efficiency transformation plan, aimed at achieving $100 million in annualized cost savings by fiscal 2026, is likely to have contributed to margin stability in the to-be-reported quarter.What Our Model Says About MTN StockOur proven model predicts an earnings beat for Vail Resorts this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is the case here.Earnings ESP for MTN: Vail Resorts has an Earnings ESP of +1.64%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.MTN’s Zacks Rank: The company has a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.Recent Consumer Discretionary ReleasesHilton Worldwide Holdings Inc. 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(MAR): Free Stock Analysis Report Mattel, Inc. (MAT): Free Stock Analysis Report Hilton Worldwide Holdings Inc. (HLT): Free Stock Analysis Report Vail Resorts, Inc. (MTN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks