Vail Resorts has announced the quarter three financial results of the company. According to the details, the company has recorded the net income of $152.5 million for the Q3 2020 as compared to the $292.1 million of the previous quarter. The company reported the EBITDA up to $304.4 million for the Q3 2020 as compared to the $480.7 million for the previous quarter.
The company has reduced its capital plan for 2020 by $80-$85 million due to the Covid-19 pandemic. The company has closed all its operations and rental/retail stores from March 15, 2020 to the remainder of the 2020 Winter Ski Season.
Chief Executive Officer of the Company, Rob Katz said, “Our results for the quarter and for the full 2019/2020 North American ski season were significantly impacted by COVID-19 and the resulting closure of our North American mountain resorts beginning March 15, 2020 for the safety of our guests, employees and resort communities. In addition, even before the closure and during the first two weeks of March, we experienced a negative change in performance that we believe was due to the impact of COVID-19 on traveler behavior.”
“As of March 18, 2020, we anticipated that our operating results in March and April would be negatively impacted by $180 million to $200 million compared to the Resort Reported EBITDA expectation we had on March 1, 2020,” Rob Katz further added.
“Relative to these expectations, our results were favorable by approximately $40 million, primarily driven by cost actions implemented in April 2020. In addition, Resort Reported EBITDA for the quarter was negatively impacted by the deferral of approximately $113 million of pass product revenue and related deferred costs to fiscal 2021 as a result of pass holder credits offered to 2019/2020 North American pass holders to encourage renewal for next season,” Rob Katz concluded