SAM Magazine-Vail, Colo., June 9, 2005-Vail Resorts (VR) saw total revenues grow by 13.5 percent in its fiscal third quarter ended April 30, and resort revenue rise by 10.1 percent. Net income, however, dropped to $58.8 million, compared to $62.5 million for the same period last year, due to a favorable one-time real-estate transaction in 2004.

For the winter season, skier visits at VR's five resorts grew 8.5 percent, and lift ticket prices rose 3.6 percent. Beaver Creek and Heavenly both set skier visit records for the third consecutive year, and Breckenridge had its best year ever. Vail, Breckenridge, Heavenly and Keystone each recorded more than one million skier visits.

Mountain revenue for the third quarter was $256.8 million, up from $233.4 million for the year-earlier period. Mountain expense increased 5.2 percent, from $125.9 million to $132.4 million. Lodging revenue rose 10.6 percent, from $50.9 million to $56.3 million, as expenses increased 9.4 percent, from $39.5 million to $43.2 million.

Real estate revenue for the quarter rose $10.1 million, to $14.3 million, while expenses increased $24.8 million, to $16.2 million, due primarily to the relief of a $15.1 million capital improvement fee liability in the third quarter of fiscal 2004.

Total revenue was up from $288.5 million to $327.5 million, and total segment operating expense increased from $156.9 million to $191.7 million. Income from operations for the quarter was flat at $109.1 million.

For the nine months year-to-date, total revenue grew 7.9 percent, to $690.0 million, and total segment operating expense increased 10.5 percent, to $489.4 million. Mountain revenue totaled $505.5 million, up 8.2 percent, with expenses up 5.3 percent, to $329.2 million. Lodging revenue and expense showed similar percentage changes, while real-estate revenues were up only slightly. Income from operations for the nine months improved 2.2 percent, to $128.1 million.

Reported net income for the nine months was $59.6 million, compared to $30.3 million for the same period last year. Excluding one-time gains and charges in both years, VR's nine-month net income would have been $55.1 million in 2005, a 5.8 percent improvement from fiscal 2004.

Vail Resorts estimates full-year EBITDA will range between $160 million and $166 million and projects net income for the year ranging from $22 million to $29 million.