Vail Resorts' net income fell 47% in fiscal year 2026 after what CEO Rob Katz called "one of the most challenging winters in history" for western U.S. skiing. Katz told shareholders Monday, Sept. 28, the company will target day-ticket buyers and new resort amenities to recover.
The Park City Mountain parent company reported resort net revenue of $2.83 billion, down $131.9 million or 4.5% from the prior year, according to its earnings release. Company-wide skier visits dropped 13.4% to 15.3 million. Resort Reported EBITDA (earnings before interest, taxes, depreciation and amortization) fell $98.5 million, or 11.7%, to $745.7 million.
The damage reached well beyond Vail's balance sheet. Summit County lost $968,000 in transient room tax revenue in 2025, the largest decline of any Utah county, according to a University of Utah Kem C. Gardner Policy Institute report published in August. Park City Mountain closed April 5.
Pass sales slump, but Katz sees opportunity
Early sales of Epic Passes for the 2026-27 season are also down. Unit sales through Sept. 18 fell approximately 12%, and sales dollars dropped about 6% compared to the same period a year earlier, according to the earnings release.
Katz blamed a "wait and see" group of less-frequent skiers who buy passes for vacations rather than regular local use. He said a poor snow year made them reluctant to commit early.
"We're taking share of a bigger pool of uncommitted skiers," Katz said on the Sept. 28 call, as reported by the Park Record.
Executive Vice President and Chief Financial Officer Angela Korch said the company views the sales dip as delayed purchasing, not a permanent shift in demand.
Vail's strategy for the coming season centers on capturing revenue from those day-ticket buyers through its Epic Experience program. The program includes gear rentals, concierge services, digital ski-school booking and on-mountain food improvements, all accessible through the My Epic app. Katz identified gear rentals as the biggest financial opportunity.
Park City Mountain upgrades and Deer Valley competition
Vail plans to have invested more than $200 million at Park City Mountain by the end of 2026, according to the earnings release. That total includes the Sunrise Gondola, Canyons Village Skyway Gondola and base area parking structure.
For 2027, the company plans to replace the Silverlode Express with the first eight-passenger detachable chairlift in its U.S. network. It will also replace the Eagle and Eaglet fixed-grip lifts with a six-passenger detachable chairlift and retrofit the Crescent Lift.
When an investor asked whether Deer Valley Resort's rapid expansion posed a competitive threat, Katz pushed back, saying the growth "brings the entire market up" and benefits both resorts. Deer Valley's East Village is set to open in phases through 2030, as we reported Sept. 27.
Proxy fight looms
Hong Kong-based hedge fund Oasis Management increased its stake in Vail from 7.4% to 9%, according to a U.S. Securities and Exchange Commission filing dated Sept. 29, as reported by KPCW. Oasis has nominated four individuals for election to Vail's board: Robert A. Chapek, M. Ashton Hudson, Bryce Roberts and Picabo Street.
Katz, who also chairs the board, declined to engage. He told shareholders the board is "evaluating those nominees" and would not take questions on the topic.
Vail has not announced a date for its annual meeting, where shareholders would vote on the nominees. The company's fiscal 2027 guidance projects Resort Reported EBITDA of $805 million to $865 million, assuming a meaningful visitation recovery but not a full return to fiscal 2025 levels.
