Pursuit's Pure-Play Pivot: Record Q2, Flyover Sale, and Eagle Wing Buy Sharpen the Growth Story
A Record Quarter and a Clearer Identity
Pursuit Attractions and Hospitality reported a record second quarter, with revenue up 14% to $133.5 million and adjusted EBITDA up to $32.7 million. More importantly, the company used the quarter to complete a two-pronged strategic shift: it sold its noncore FlyOver business to Klook and acquired Eagle Wing Tours, a whale-watching operator in Victoria, B.C. As CEO David Barry put it, “we completed 2 strategic transactions at compelling valuations that advance our growth strategy.” — David W. Barry, President and CEO · 2026-08-05 These moves crystallize the company's identity as a pure-play attractions and hospitality growth engine, focused on Eagle Wing–type experiences in iconic destinations.
The new Eagle Wing addition, acquired at roughly 6.5x adjusted EBITDA, immediately strengthens the portfolio and brings the company into the National Park–focused Pacific Northwest market, complementing its existing footprint in the Canadian Rockies. The transaction also underscores the company's disciplined capital deployment, a theme that runs through its attraction visitation gains and its consistent track record of high-return investments.
This transaction has been years in the making and is the final chapter in Pursuit's transformational story of becoming a pure play attractions and hospitality growth engine.
The sale of FlyOver, while initially dilutive, is a clear portfolio management win: it simplifies the business, strengthens the balance sheet, and allows capital to flow toward opportunities with greater long-term value creation potential. Pro forma for the sale and the Eagle Wing acquisition, net leverage sits at approximately 1x—well below the target 2–3.5x range—and liquidity is about $220 million. This financial headroom supports the company's simultaneous pursuit of organic growth, acquisitions, and share repurchases.
Operational Momentum: Pricing Power, Weather, and the Travel Trade
Operationally, the quarter showcased the power of the companies' integrated model. Same-store effective ticket price rose 6%, and same-store lodging RevPAR grew 9%, driving strong flow-through. CFO Bo Heitz noted, “Second quarter revenue grew 14% to reach a record level of $133.5 million.” — Michael Heitz, Chief Financial Officer · 2026-08-05 The growth was broad-based, with Tabacons continuing to exceed expectations and existing geographies adding nicely.
One of the quarter's notable headwinds was inclement weather in Canada, which suppressed attraction visitation but was partially offset by robust yield management. David Barry candidly addressed the impact: “Smoke is a reality, but it is not something that is holding us back” — David W. Barry, President and CEO · 2026-08-05—reflecting the company's ability to adapt in real time. The weather-related drag was a typical seasonal variance; the lodging side proved resilient, with guests shifting to dining and shopping experiences when sightseeing was less favorable.
Travel trade remains a pillar of demand. In the Q&A, David emphasized, “Travel trade, Tyler, continues to be strong.” — David W. Barry, President and CEO · 2026-08-05 The FIFA World Cup, while a global excitement, created a temporary distortion in gateway cities like Vancouver and Toronto, where hotel prices spiked. The company sees that as a short-term shift, not a macro headwind, and remains optimistic about 2027–2029 itineraries.
Growth Ambition: Vision 2030 and Capital Allocation
Pursuit's growth strategy is anchored in its Vision 2030 targets: doubling adjusted EBITDA to over $265 million and delivering double-digit revenue CAGR. The company has identified a pipeline of more than $300 million in organic growth projects, with expected incremental EBITDA of over $40 million at a sub-7x multiple. Notable projects include the Golden Sky Bridge net park, Jasper SkyTram modernization, and the Denali Backcountry Adventure relaunch in 2027.
The company's recent experience with Tabacón—its first-year performance has brought the effective purchase multiple to nearly 9x, down from the original—validates the Costa Rica bet and the broader acquisition playbook. The addition of premium villas at Tabacón and expansion plans underscore the focus on high-return, low-risk investments.
Total revenue growth of 14% in the quarter—with strong contributions from recent acquisitions and improved guest experience—has been a key driver of the company's upward guidance revision.The company also continues to repurchase shares opportunistically, having repurchased $43 million at an average price of $35.72, representing a return of over 40% from recent trading levels. This is consistent with the company's long-standing view that its shares are undervalued, as expressed in prior calls.
The stock, however, still sits about 12.8% below its June 30 peak, even after a strong 90-day run of +18.5%. The record results and strategic clarity may argue for a re-rating, but the market remains cautious on the consumer cyclical space. Nonetheless, Pursuit's pure-play focus, strong balance sheet, and proven execution make it a compelling name to watch.