GILFORD — Gunstock Mountain Resort is faced with a $470,931 loss for the 2017-18 fiscal year, a drop of $1.3 million from the $831,583 profit it realized the previous year.
A snowy March gave a much-needed boost to Gunstock’s ski season, enabling the county-owned recreation area to recoup some of its losses from earlier in the year, but the net income realized in March — $534,265 — wasn’t enough to make up for the $1.4 million decline in previous months, according to Gunstock General Manager Greg Goddard.
He told the Gunstock Area Commission Wednesday night that skier visits were down to 150,320 this year from last year’s 165,575, an 11.2 percent drop.
It is the second time in the last three years that Gunstock has recorded a loss for its fiscal year, which runs from May 1 through April 30.
In 2016, it recorded a $648,617 loss.
The commission approved a strategic operating plan and budget at Wednesday night’s meeting that projects Gunstock will realize a net profit of $890,000 in the 2018-2019 fiscal year. The projected revenue is $12.2 million with expenses of $11.3 million.
The commission also approved a proposal from Goddard to modify $2.6 million in loans for the Mountain Coaster project, which was completed in 2016 and is the most recent capital expenditure project designed to increase the number of year-round visitors.
He said that both the Bank of New Hampshire, which holds a $1.6 million note, and Meredith Village Savings Bank, which holds a $1 million note, have verbally agreed to a modification that would improve Gunstock’s summer cash flow.
Goddard said currently Gunstock makes principal payments totaling $260,000 to the banks in September and interest-only payments in March. He said it makes more sense to have the interest-only payments made in September and the principal payments in March.
The commission agreed to increase principal payments by about $37,000 a year and to accelerate the loan maturity date by six months, resulting in no increase in total interest costs.