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NSAA

FINAL RESULTS Breakdown of the

2017–18 Season

BY DAVE BELIN, DIRECTOR OF CONSULTING SERVICES, RRC ASSOCIATES

ocumenting and interpreting critical patterns in the Participation in this version of the study was up from 112 ski
ski resort industry is one of NSAA’s core functions areas last year.
D as a trade association. Among all the studies that The article in the previous issue of the NSAA Journal
NSAA produces, the Economic Analysis of US Ski Areas is the focused on some overview financial information; this article
most focused on financial and economic performance—and will cover additional key areas of interest, including long-term
is therefore an important report when it comes to evaluating revenue per visit, long-term EBITDA (earnings before interest,
the financial health of the industry overall and in various taxes, depreciation, and amortization) per visit, long-term
geographic regions of the country. departmental revenue per visit, summer revenue, and charac-
The 2017–18 edition of the Economic Analysis is now teristics of profitable ski areas.
finished and available through NSAA. The study documents The 2017–18 season recorded a final estimate of
the financial performance of the ski industry over the past 53.3 million downhill snowsports visits (skier visits), a
two seasons, with regional and size breakouts for more precise decrease of 2.7 percent from 2016–17 (down 1.5 million
peer groupings. The report provides a wealth of information visits), as documented in the 2017–18 Kottke End of Season
for benchmarking and comparison purposes, for resort Study. Visits were variable by geographic region of the
CFOs, bankers, lenders, appraisers, and anyone else inter- country, with a strong rebound in visits in the Midwest
ested in how the industry is doing from the standpoint of (up 15.4 percent) and a slight increase in the Northeast
revenues, expenses, and profits. (up 0.4 percent), while visits decreased in the Southeast
Several sections of the report were re-organized this year (-0.6 percent), Rocky Mountains (-4.3 percent), Pacific
to better present relevant information. As well, results from North (-6.1 percent), and Pacific South (-15.7 percent)
10 seasons ago were integrated into the tables, and a regional regions. Despite the variability in visits, financial results
ranking between the six geographic regions was added for showed generally very strong performance in most regions
convenient comparisons across regions. These enhancements of the country.
make the information in the report easier to digest and Here are some summary highlights from the fiscal year:
uncover patterns. • Total gross revenue per resort increased to $37.1 million
A total of 114 ski areas from across the country sub- per resort (up 5 percent).
mitted a completed Economic Analysis survey for both the • Total gross revenue per ski area was up in five of the six
2016–17 and 2017–18 seasons, allowing for an “apples to geographic regions and in three of the four size cohorts.
apples” comparison across the two fiscal years. These ski The Pacific South, the region with the largest decline
areas represent about two-thirds of the total business in the in downhill snowsports visits, was the only region to
US industry (as measured by downhill snowsports visits). report a decline in total gross revenue.

28 | NSAA JOURNAL | SPRING 2019