Pursuit Attractions & Hospitality, Inc. (PRSU) - Q2 2026 10-Q Summary
Business Context and Reporting Period
This Form 10-Q covers the quarterly period ended June 30, 2026. Pursuit Attractions & Hospitality, Inc. operates a single reportable segment comprising attractions and hospitality experiences in the U.S., Canada, Iceland, and Costa Rica. The company is an accelerated filer. As of August 3, 2026, there were 27,264,155 shares of common stock outstanding.
Key Financial Metrics
| Metric | Q2 2026 (3 Months) | Q2 2025 (3 Months) | YTD 2026 (6 Months) | YTD 2025 (6 Months) |
|---|---|---|---|---|
| Total Revenue | $133.5 million | $116.7 million | $185.1 million | $154.3 million |
| Net Income (Loss) Attributable to Pursuit | $15.2 million | $5.6 million | ($9.8 million) | ($25.5 million) |
| Diluted EPS | $0.54 | $0.20 | ($0.35) | ($0.90) |
| Cash and Cash Equivalents | $33.9 million | $24.7 million | $33.9 million | $24.7 million |
| Total Debt & Finance Leases | $237.3 million | $86.9 million | $237.3 million | $86.9 million |
| Operating Cash Flow (YTD) | ($11.0 million) | ($2.8 million) | ($11.0 million) | ($2.8 million) |
Material Changes vs. Prior Period
- Revenue Growth: Total revenue increased 14.3% in Q2 and 20.0% YTD compared to the prior year. This was driven by a 23.4% increase in Hospitality revenue (Q2) and 8.3% increase in Attractions revenue (YTD), largely due to the inclusion of the Tabacón Thermal Resort & Spa (acquired July 2025).
- Profitability: The company returned to profitability in Q2 2026 with $15.2 million in net income attributable to Pursuit, compared to a YTD loss of $9.8 million. The YTD loss was significantly narrower than the $25.5 million loss in the prior year.
- Debt Expansion: Total debt and finance lease obligations increased significantly to $237.3 million from $86.9 million in the prior year, primarily due to borrowings under the 2025 Revolving Credit Facility to fund acquisitions and capital projects.
- Insurance Proceeds: The company recorded $4.6 million in income from business interruption insurance proceeds related to the 2024 Jasper wildfires during the three and six months ended June 30, 2026.
Guidance, Outlook, and Management Commentary
- Capital Expenditures: Management plans capital expenditures of approximately $103 million to $114 million for 2026, including $70 million to $80 million for select growth projects.
- Share Repurchases: The Board approved a $50 million increase to the share repurchase authorization, bringing the total to $100 million. The company repurchased $32.7 million of stock YTD 2026, with approximately $57.1 million remaining available.
- Recent Transactions:
- Eagle Wing Acquisition: On July 14, 2026, Pursuit acquired Eagle Wing Tours Ltd. for approximately $17.0 million (CAD $23.9 million).
- Flyover Attractions Sale: On July 31, 2026, Pursuit completed the sale of Flyover Attractions for approximately $75.0 million. Assets were classified as "held for sale" as of June 30, 2026, with a $3.1 million impairment recorded.
- Risks: Key risks include seasonality, foreign exchange fluctuations (significant unrealized translation losses of $48.2 million in equity), and the impact of weather on visitor numbers.
Investor Verification Checklist
- Debt Covenants: Verify compliance with the 2025 Credit Agreement covenants (Net Leverage Ratio ≤ 3.0x; Fixed-Charge Coverage ≥ 1.25x), which the company states it met as of June 30, 2026.
- Flyover Sale Closing: Confirm the final purchase price and post-closing adjustments for the Flyover Attractions sale completed in July 2026.
- Seasonality Impact: Assess the impact of the second-half seasonality on full-year cash flow, given the net cash outflow from operations in the first half.
- Foreign Exchange Exposure: Review the sensitivity of results to currency fluctuations, particularly regarding the $42.6 million in non-functional currency liabilities and the significant accumulated other comprehensive loss.
- Capital Project ROI: Monitor the progress and commercial success of the $70-$80 million in planned growth projects, including the Forest Park Hotel renovation.