Page 32 - Winter 2018 Journal

ocumenting the financial, operational, and % Total revenue per visit clocked in at $110.22, an increase
demographic health of the snowsports indus- of 3.4 percent.
D try is one of the ongoing functions of NSAA. % Ticket revenue per visit increased by 5.9 percent
Several annual reports that NSAA produces provide critical to $52.54.
information for ski areas across the country. The final of % Ticket yield ratio rose to 60 percent from 59.7 percent.
these annual reports for the 2016-17 season is the NSAA
Economic Analysis of US Ski Areas. A total of 112 ski areas across the country submitted surveys
This significant study presents important metrics such for both the 2015-16 and 2016-17 seasons, up from 103 ski
as gross revenues, expenses, profits, departmental margins, areas in the prior iteration of the report. RRC Associates and
number of employees, balance sheets, and a variety of other NSAA would like to thank these 112 ski areas for sharing
measures. The study is available from NSAA—along with a their income statements and balance sheets to be included in
more in-depth synopsis of the results in the next issue of the the study.
Journal—but some key highlights are presented in this article. The results of the study are presented in six geographic
The 2016-17 Economic Analysis preliminary results regions and in four different size groups, as well as in 15
show that the US ski resort industry had a solid year finan- distinct region/size breakouts. This level of detail allows ski
cially, generally improved from the prior fiscal year. Recall areas to benchmark their own performance against their
that the 2016-17 season produced 54.8 million snowsports closest peer group, making the report an invaluable resource
visits nationally, an increase of 3.8 percent (as reported in the to ski area managers, CFOs, lenders, appraisers, and other
Kottke End of Season Study). interested parties. Here are some highlights from the study.
Similarly, profit levels were up nationally. The 2015-16
season was particularly challenging in the Southeast and
Northeast regions, and the 2016-17 season results were much Revenues and Expenses
more positive in these two regions.
Some overall summary information from the 2016-17 Increase in Average Gross Revenue. Average resort revenues
fiscal year includes the following: increased by 7.5 percent to $35.6 million per resort, up
% Average gross revenue per resort increased to $35.6 from $33.1 million (figure 1). Average gross revenue per ski
million (up 7.5 percent). area was up in all six geographic regions and in all four size
% Operating profit margin was up 3.5 percentage points to a cohorts, which underlines the overall financial strength of the
32 percent margin. 2016-17 winter.

30 | NSAA JOURNAL | WINTER 2018