Snow City lost 419 million last year

Snow City lost 419 million last year

– The breaking point is when owners come up with more equity. Here, Snøbyen has long-standing and committed owners behind it, so we’ll make sure we land on our feet. If the interest rate increases further, it will have a huge impact on our investment ratio.

On the owner’s side. Stein Erik Hagen is one of the investors behind Snowbian through his investment company Canica. Photo: NTP

100,000 visitors by 2024

According to the board’s annual report, the market risk is high with the number of visitors to the SNØ Winter Arena. By 2022, the number of visitors was 80,000, and Katharina Hernes, managing director at Snowbian, predicts the same for 2023.

– It was a difficult start because it was a good winter. We’re guessing there will be around 80,000 this year, and from 2024 we think we’ll be at 100,000. If we get up to 110, it rounds. By 2024, we believe cash flow will be positive, Herness says.

The cost of electricity is crucial. New Managing Director at Snøbyen, Katharina Hernæs. Photo: Thomas Bjornflatten

You told finansavisen in 2018 that you were aiming for 550,000 visitors in 2023 before the corona virus hit in 2020. Is it still a goal?

– 550? Did I really say that? I think our ambitions regarding the final number of visitors have fallen somewhat. “We thought it would go like the good ski resorts in Europe, and maybe that’s where we put the list,” says Selvak.

Agreement with National Museum

In order to reduce the risk associated with increased interest and costs, Snøbyen focuses on streamlining costs in everything from lease agreements and energy to common areas.

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– We are experiencing a lot of interest in leases and are in conversation with many enthusiastic players who want to be connected to a functional space and have it as part of their brand, says Herness.

It’s no secret that the Selvak family has a keen interest in art and culture, and in typical fashion, Snobian has recently entered into a long-term deal with the National Museum.

– We are working well to bring in solid tenants and have already signed several long-term contracts. Among other things, he says, we have signed a major contract with the National Museum for 20 years for art storage.

(million NOK) 2022 2021
Operating income 95.4 80.7
Functional end -372.8 -62.4
Result before taxes -427.5 -105.6
End of the year -419.0 -82.5

It will be après ski

Since 2020, Snøbyen has grown slowly but surely. A milestone was reached in June when Thon Hotel Snow opened in Snowbian.

– Once the hotel opens, many new groups such as tourists and foreign sports teams may come here, who can use the ski hall with accommodation. We have a center of excellence in sports and games and great sports shops, says Katharina.

Will there be après ski?

– Yes, it will be après ski. This greatly helps in keeping the hotel up and running. Few ski resorts in Europe actually make a living from the après-ski and catering segment, Selvak replied:

– Come back in 5 years and we’ll meet at après ski.

Joshi Akinjide

Joshi Akinjide

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