Vail Resorts Misses Where it Counts

Vail Resorts (NYS: MTN) reported earnings on June 6. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended April 30 (Q3), Vail Resorts met expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue expanded. GAAP earnings per share grew significantly.


Margins expanded across the board.

Revenue details
Vail Resorts notched revenue of $469.7 million. The 10 analysts polled by S&P Capital IQ predicted a top line of $474.2 million on the same basis. GAAP reported sales were 12% higher than the prior-year quarter's $421.1 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $2.66. The nine earnings estimates compiled by S&P Capital IQ anticipated $2.75 per share. GAAP EPS of $2.66 for Q3 were 23% higher than the prior-year quarter's $2.17 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 42.4%, 110 basis points better than the prior-year quarter. Operating margin was 35.2%, 180 basis points better than the prior-year quarter. Net margin was 20.8%, 190 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $117.6 million. On the bottom line, the average EPS estimate is -$1.61.

Next year's average estimate for revenue is $1.13 billion. The average EPS estimate is $1.12.

Investor sentiment
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 328 members out of 408 rating the stock outperform, and 80 members rating it underperform. Among 157 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 134 give Vail Resorts a green thumbs-up, and 23 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Vail Resorts is outperform, with an average price target of $66.67.

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The article Vail Resorts Misses Where it Counts originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. TMFDisclosureHere

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