Avon-based Vail Resorts, Inc. record a net income of $43 million in the second quarter of fiscal year 2006, or $1.12 per diluted share, a 33.4 percent increase over the same quarter last year, thanks in part to increased skier visit numbers in Colorado.
A record 2.9 million people skied at Vail Resorts’ five ski areas during the three-month period ending Jan. 31, up 7.9 percent over last year. Keystone saw the largest increase in skier traffic, up 13.5 percent, followed by Breckenridge, up 11.5 percent. Heavenly, located on the Nevada-California border, was Vail Resorts’ only ski area to post a decrease in visits, down 8.1 percent, due in part to low snowfall levels.
The company also announced plans to spend as much as $80 million on resort improvements through the end of the year, including upgrading snowmaking equipment at its four Colorado resorts and installing a new gondola in Breckenridge.
Construction of the gondola, which will run from the Breckenridge Transportation Center, located off Breckenridge’s Main Street, to the ski resorts’ Peak 7 and 8, where the company has development plans, is expected to begin this spring. The eight-person gondola should be up and running by December.
Vail Resorts also said its board has approved the repurchase of up to 3 million shares of common stock. The company has about 37.2 million shares outstanding.
Vail Resorts stock was at $37 in mid-day trading, up $1.72, or 4.88 percent.
