Six Flags reports pre-merger results of legacy companies

Posted | Contributed by Jeff

From the press release:

Six Flags Entertainment Corporation (NYSE: FUN), the largest regional amusement park operator in North America, today announced financial results for standalone legacy Cedar Fair and standalone legacy Six Flags for the quarter ended June 30, 2024. The merger of legacy Cedar Fair and legacy Six Flags occurred on July 1, 2024, after the second quarter close.

Legacy Cedar Fair Second Quarter Highlights

• 53 net additional operating days compared to Q2-2023.
• Net revenues totaled a record $572 million, an increase of 14%, or $71 million.
• Including $11 million of merger and integration-related costs, net income totaled $56 million, an increase of 4%, or $2 million, and net income margin, calculated as net income divided by net revenues, was 9.7%.
• Legacy Cedar Fair Adjusted EBITDA totaled $205 million, an increase of 36%, or $54 million, and Legacy Cedar Fair Adjusted EBITDA Margin was 35.9%.
• Attendance totaled a record 8.6 million guests, an increase of 17%, or 1.2 million guests.
• In-park per capita spending was $59.54, a decrease of 3%.
• Out-of-park revenues totaled a record $73 million, an increase of 17%, or $11 million.

Legacy Six Flags Second Quarter Highlights

• 58 net fewer operating days compared to Q2-2023.
• Total revenue was $438 million, a decrease of 1%, or $5 million.
• Including $1 million of merger-related costs, net income attributable to legacy Six Flags totaled $34 million, an increase of 66%, or $14 million, and net income margin, was 7.8%.
• Legacy Six Flags Adjusted EBITDA totaled $138 million, a decrease of 14%, or $23 million, and Legacy Six Flags Modified EBITDA Margin was 36.9%.
• Attendance totaled 6.9 million guests, a decrease of 2%, or 155,000 guests.
• Total guest spending per capita was $61.22, an increase of 1%.
• Admissions revenue per capita was $32.99, a decrease of 2%.
• In-park spending per capita was $28.23, an increase of 5%.

Management Commentary

“I am extremely pleased with the second quarter performance of the legacy Cedar Fair portfolio, which produced record levels of attendance and net revenues, and generated a 570-basis-point lift in Legacy Cedar Fair Adjusted EBITDA Margin in the quarter,” said Six Flags Entertainment Corporation President and CEO Richard A. Zimmerman. “This performance is a continuation of the strong momentum we built over the past three quarters and underscores the strong guest demand driven by the successful execution of our strategic plans and initiatives. While weather conditions have negatively impacted demand trends in July, we are confident that the combined portfolio is well positioned to deliver a strong full-year performance in 2024.”

Zimmerman continued, “Since completing the merger on July 1, we have quickly implemented initial integration plans to start to realize the meaningful synergy and growth opportunities now available to us. The merits and strategic rationale of the merger remain clear, and we are focused on pursuing its benefits and unlocking the full potential of our combined organization. We have a highly diversified footprint with geographic scale never before seen in the regional amusement parks space. Our balance sheet is strong with ample liquidity, and we are well positioned to deliver value to our shareholders and customers. In the near term, we are focused on advancing our strategic initiatives and instilling our core operating principles across our portfolio to tap into the tremendous potential we believe exists in the combination of these iconic portfolios of assets.”