Vail Resorts Q1 Loss Grows, Missing View; Guidance in Question (MTN)
Ski resort operation Vail Resorts, Inc. (MTN) on Tuesday posted disappointing earnings results and warned that it may not be perform up to its previously-announced full-year outlook.
The Broomfield, CO-based company reported a fiscal first quarter net loss $60.6 million, or -$1.70 per share, compared with a smaller loss of $55.7 million, or -$1.54 a share, in the year-ago period. Vail normally posts a loss in its fiscal first quarter, since the bulk of its revenue is made during the winter ski season.
Sales were mostly flat from last year at $116.4 million.
On average, Wall Street analysts expected a smaller loss of $1.58 per share, on slightly higher revenue of $116.7 million.
Looking ahead, Vail noted it may not be able to reach its prior estimate for 27% to 32% growth in adjusted profit at its Resort unit for fiscal 2013. The company plans to readdress its guidance in mid-January 2013.
Vail shares fell $3.60, or -6.5%, in premarket trading Tuesday. The stock has gained around 30% year-to-date.
The Bottom Line
Shares of Vail Resorts (MTN) have a 1.34% dividend yield, based on last night’s closing stock price of $55.84. The stock has technical support in the $50-$51 price area. If the shares can firm up, we see overhead resistance around the $59-$60 price levels.
Vail Resorts, Inc. (MTN) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.
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