Six Flags: First “After-Merger” Quarterly Results Presented

(eap) On July 1, 2024, legacy Cedar Fair and legacy Six Flags closed the merger transactions to form the new Six Flags Entertainment Corporation (the “Combined Company”). Legacy Cedar Fair has been determined to be the accounting acquirer for financial statement purposes. Accordingly, the reported results presented in the latest earnings release from Six Flags reflect the financial results for the Combined Company from July 1^st, 2024, through Sept. 29, 2024. In total, the third financial quarter of the running fiscal year (Q3) comprised 2,585 operating days, welcoming a total of 21 million guests and generating total net revenues of USD 1.35 billion (approx. EUR 1.25 billion). By comparison, in Q3 2023, Six Flags generated total net revenues of USD 547 million and welcomed a total of 9.3 million guests to its associated facilities. Adjusted EBITDA for the now completed Q3 2024 amounts to USD 558 million (approx. EUR 518 million), while net income attributable to the Combined Company is reported at USD 111 million in Q3 (approx. EUR 103 million).

“We delivered solid results in our first quarter as a combined company and are encouraged by the continued momentum we see in the business. While extreme weather and other operating disruptions at critical points during the third quarter impacted our financial results, consumer demand for our parks remained strong during normalized operating conditions. The strength of our business and considerable demand for our parks was particularly evident over the past five weeks, when attendance was up more than one million visits and other special events continue to produce some of our biggest days of the year, demonstrating the differentiated and compelling family entertainment that our parks offer,” commented Six Flags President & CEO, Richard A. Zimmerman.

He continued, “Since completing the Merger, we have been finding ways to operate more efficiently and reducing unnecessary costs while still delivering a high level of guest service. By the end of 2024, we expect to have delivered 50 million USD of run-rate cost synergies, and we are already taking steps to achieve the remaining 70 million USD of anticipated cost savings by the end of calendar year 2025. While we intend to invest back into our parks to enhance the guest experience and drive attendance growth, we are focused on funding those efforts with additional cost savings across the portfolio, allowing us to retain 100 percent of the realized synergies.”

As part of the presentation of the Q3 2024 results, Six Flags also announced the core objectives of a new long-term strategy aimed at realizing the full growth potential of the merged company. Among other things, measures are to be introduced to achieve an even better price-performance ratio and thus further increase demand. New technologies will also continue to be integrated into operating processes and harmonized with one another; guests will also benefit from new digital offerings. The park portfolio, which since the merger now comprises a total of 27 amusement parks, 15 water parks and nine resort facilities in the USA, Canada and Mexico, will also be reviewed over time in order to optimize the asset base, narrow management’s focus and help reduce net leverage. ■