Six Flags Quarterly Loss Widens With Lower Attendance
Theme park operator Six Flags said on Thursday its fourth-quarter net loss widened due to lower attendance during the off-season and the writing down of the value of some parks it is selling.
Six Flags has been restructuring its operations since a shake-up of its board and top management after investor Daniel Snyder won a long-running battle for control of the company in 2005.
Its shares fell more than 5% in after-hours trading.
The company reported a net loss of $189.7 million, or $2.07 per share, compared with a loss of $139 million, or $1.55 per share, in the year-ago quarter.
Excluding results from parks it is selling, Six Flags reported a loss from continuing operations of $1.12 per share. Wall Street was expecting a loss of $1.18, on average, according to Reuters Estimates.
Revenue was flat at $104 million for the quarter, but below analysts' average forecast of $109 million. Attendance at its parks fell 16% to 2.7 million from the same quarter a year ago.
After the change of control, Six Flags has been looking to sell up to nine of its amusement parks, and moving to focus on families and boosting promotional partnerships. In January, it agreed to sell three water parks and four theme parks for $312 million.
This year is shaping up better, Chief Executive Mark Shapiro indicated in a statement on Thursday, citing season pass sales up 32% over the same time last year.
Six Flags shares were trading at $6.12 after hours, after closing up 18 cents at $6.48 on the New York Stock Exchange.