This week Intrawest announced that its earnings for the fiscal year ending in June 2002 are down 8 per cent compared to last year.
This year’s income from operations was $58.6 million US ($1.31 a share) compared to $63.5 million US ($1.43 a share) last year.
Revenue and operating profit from real estate sales increased 17.5 per cent and 11.2 per cent, respectively, compared to the year before.
Whereas ski and resort operations declined slightly by 1.4 per cent and 0.9 per cent respectively.
"Intrawest’s results stood up extremely well in a very difficult year," said Joe Houssian, chairman, president and CEO.
"They reflect our strong competitive position, a high degree of customer loyalty and a fundamentally sound business."
Results from the fourth quarter show that real estate revenue was up 42.3 per cent compared to the same period last year.
Resort operations revenue was down slightly in the fourth quarter from $66.8 million last year to $65.9 million this year. The decline was mainly due to Easter falling in the fourth quarter in 2001 and in the third quarter this year.
Meanwhile a battle is brewing in Colorado between Intrawest and Vail Resorts.
Vail is challenging a $50-million deal which would have Intrawest develop at nearby Winter Park resort, saying the development violates a non-competition agreement.
Vail and Intrawest partnered in a real estate development at Vail-owned Keystone Resort, and Vail maintains the agreement prohibited Intrawest from doing further real estate in Colorado at resorts Intrawest doesn’t own.
Intrawest maintains it will have controlling interest in Winter Park and so is not violating the agreement.
Earlier this year Intrawest signed an agreement with the City of Denver, which owns Winter Park, to operate the resort under a long-term lease.
