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Vail Resorts: Snowfall Risks, Pricing Power & Pass Strategy — What’s Really Driving This Ski Giant?

Vail Resorts reported fiscal second-quarter results and updated its full-year outlook against historically difficult weather, especially in the Rocky Mountains, which materially hurt visitation and financial performance. Colorado experienced its warmest winter on record, with snowfall and snowpack near historic lows, even worse than prior weak seasons such as fiscal 2012. Terrain openings were delayed, accessible ski areas were limited, and visitation fell 13%, weighing on resort operations. Total net revenue declined about 5% year over year, while lift revenue fell about 3%, supported partly by advance commitment through season pass sales. Pass units, which account for roughly 75% of annual visits, increased 55% over the last five years, helping stabilize the business during adverse weather. Pass sales entering the season rose about 3%, though actual pass-holder visitation declined about 14% in the quarter. Non-pass lift ticket visitation fell about 6%. Resort EBITDA declined 8%, driven mainly by weather disruption.