Peak Resorts Inc (SKIS) saw its loss widen to $7.98 million, or $0.57 a share for the quarter ended Oct. 31, 2016. In the previous year period, the company reported a loss of $6.89 million, or $0.49 a share.
Revenue during the quarter surged 37.69 percent to $8.48 million from $6.16 million in the previous year period. Gross margin for the quarter stood at negative 53.57 percent as compared to a negative 75.19 percent for the previous year period.
Operating loss for the quarter was $10.14 million, compared with an operating loss of $8.88 million in the previous year period.
Timothy D. Boyd, president and chief executive officer, commented, “The company’s overall financial performance year to date is in line with our expectations, as the summer and fall seasons at our resorts are traditionally the time when we are gearing up for the winter ski season and only a handful of our resorts have regular off-season activities such as the zip line at Attitash or other seasonal outdoor events.
Working capital remains negative
Working capital of Peak Resorts Inc was negative $38.60 million on Oct. 31, 2016 compared with negative $10.44 million on Oct. 31, 2015. Current ratio was at 0.67 as on Oct. 31, 2016, down from 0.88 on Oct. 31, 2015.
Days sales outstanding went down to 91 days for the quarter compared with 110 days for the same period last year.
Days inventory outstanding has decreased to 12 days for the quarter compared with 19 days for the previous year period.
Debt increases substantially
Peak Resorts Inc has witnessed an increase in total debt over the last one year. It stood at $150.02 million as on Oct. 31, 2016, up 45.43 percent or $46.86 million from $103.15 million on Oct. 31, 2015. Total debt was 48.45 percent of total assets as on Oct. 31, 2016, compared with 39.57 percent on Oct. 31, 2015. Debt to equity ratio was at 2.69 as on Oct. 31, 2016, up from 1.65 as on Oct. 31, 2015.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
