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Sep 30, 2020
United Parks & Resorts Q3 2020 Earnings Report
SeaWorld Entertainment, Inc. experienced significant declines in attendance and revenue due to the COVID-19 pandemic, but saw improvements in per capita spending.
Key Takeaways
SeaWorld Entertainment, Inc. reported a substantial decrease in revenue and attendance for the third quarter of 2020 due to the COVID-19 pandemic. Despite these challenges, the company saw increases in admission per capita and in-park per capita spending. The company successfully re-opened three more parks during the quarter and maintained a focus on cost reduction and cash flow management.
Attendance declined by 6.6 million guests compared to Q3 2019, totaling 1.6 million guests.
Total revenue decreased by $367.5 million from Q3 2019, reaching $106.1 million.
Net loss amounted to $79.2 million, a decline of $177.3 million from Q3 2019.
Admission per capita increased by 22.4% to $40.39, and in-park per capita spending increased by 8.9% to $27.55.
United Parks & Resorts
United Parks & Resorts
United Parks & Resorts Revenue by Segment
Revenue by Segment
Admissions Revenue
CapyFin.comFood, Merchandise and Other Revenue
CapyFin.com Forward Guidance
The company expects continued challenges due to COVID-19, but anticipates improvements as parks return to a more normalized operating environment.
Positive Outlook
- Actions taken related to costs, cash flow, balance sheet and liquidity have put the company in a strong position.
- Successful and safe re-opening of three more parks during the third quarter.
- Enhanced health and safety protocols implemented for employees, guests and animals.
- Monthly attendance improved throughout the quarter relative to prior year.
- Strong admissions and in park per capita performance during the quarter.
Challenges Ahead
- The Company’s third quarter financial results were significantly impacted by the global COVID-19 pandemic.
- Parks operating with capacity limitations, modified/limited operations, reduced operating days and/or reduced operating hours.
- State mandated capacity restriction of 1,000 guests at a time which significantly restricted attendance for the Company’s Busch Gardens park in that state.
- Fewer operating days and hours versus the prior year.
- Limited marketing spend and a more limited events line-up.
Revenue & Expenses
Visualization of income flow from segment revenue to net income