'Adverse weather conditions' hit Six Flags with shock Q3 decline
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After a strong 2016, Six Flags has reported a surprise revenue decline, something the company blames on adverse weather during what is traditionally a strong period through the summer months.
For Q3, Six Flags reported a 2 per cent drop in attendance, which is significant owing to the seasonal nature of its operation. It typically receives the most visitors between June and September.
Revenue from admissions fell 4.4 per cent, with guest spend also declining.
Overall the company reported earnings of US$102.5m (€93.9m, £83.9m) – down on 2015’s US$157.3m (€144m, £128.7m). Revenue fell 3 per cent to US$557.6m (€510.8m, £456.1m) – significantly lower than the US$586.4m figure projected by analysts.
“The unusual weather patterns negatively impacted attendance during many of our peak summer days. However, when the weather was normal, we saw healthy double-digit growth in attendance,” said Six Flags CEO John Duffey.
“Given the changes in weather pattern from year-to-year and because operating days can shift from quarter-to-quarter, we have consistently said that the most appropriate way to measure our performance is over a 12-month period.
“Our growth prospects have never been better and we are poised to deliver another record-breaking year in 2016.”
To hear more from John Duffey, see the Q2 edition of Attractions Management, available here.
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