Cedar Fair Reports Record Revenues Through Labor Day Weekend
Commenting on the season to date, President and CEO Richard A. Zimmerman said, Through the Labor Day weekend, we have seen healthy demand across all areas of our business, reaffirming the strength of our business model, as well as the early impact of our strategic initiatives.
Cedar Fair Entertainment Company (NYSE: FUN), a leader in regional amusement parks, water parks and immersive entertainment, announced today that year-to-date preliminary net revenues through Sunday, September 1, 2019, increased 8%, or $86 million, to a record $1.12 billion compared with $1.03 billion for the same period in 2018.
The year-over-year growth was driven by a 1.1 million-visit, or 6%, increase in attendance to 21.0 million guests; a 3%, or $1.24, increase in in-park per capita spending to $48.79; and a $10 million, or 9%, increase in out-of-park revenues to $130 million. On a same-park basis (excluding the two Schlitterbahn water parks acquired on July 1, 2019), year-to-date preliminary net revenues totaled a record $1.08 billion, up $48 million, or 5%, on a 2%, or 465,000-visit, increase in attendance; a 2%, or $1.08, increase in in-park per capita spending; and a 5%, or $6 million, increase in out-of-park revenues.
Commenting on the season to date, President and CEO Richard A. Zimmerman said, “Through the Labor Day weekend, we have seen healthy demand across all areas of our business, reaffirming the strength of our business model, as well as the early impact of our strategic initiatives. While our Company’s hallmark is exciting guests with world-class thrill rides, our strategy to further broaden the guest experience by adding more experiential attractions and limited-duration special events is extending our audience reach and encouraging guests to visit our parks more often. At the same time, we continue to drive growth through in-park per capita spending and out-of-park revenues, both of which are at record levels.
“We are also very pleased with the initial performance of the two recently acquired Schlitterbahn water parks, which have outperformed our early expectations,” continued Zimmerman. “These are two of the most highly rated waterparks in the world and we look forward to continuing to deliver great guest experiences and solid financial returns as we integrate the operation of these parks into our existing portfolio.”
Zimmerman remarked that while there is plenty of excitement remaining in the 2019 season, including the parks’ very popular Halloween and winter holiday events, the Company has also begun to turn its attention to 2020, highlighted by the launch of next year’s season pass program. To kick off its 2020 season pass program, the Company recently announced an exciting lineup of new rides and attractions, as well as the broad introduction of PassPerksTM, a new loyalty program in which season passholders can win prizes and earn rewards redeemable during future park visits. “We believe PassPerksTM is the start of a valuable, interactive relationship that rewards our most engaged customers, providing them with exclusive offers and incentives that will encourage additional park visits and keep them engaged throughout the entire year,” said Zimmerman. “The initial reaction to next season’s slate of new rides and attractions and our season pass program has been nothing short of outstanding. Maintaining the momentum we established with this year’s record sales, we have again generated meaningful increases in the early sales of 2020 season passes and all-season products.”
Zimmerman concluded by noting, “We believe the continued growth in the advance sales of our 2020 season passes is a direct result of the compelling lineup of new attractions and entertainment offerings we will be delivering next year. Highlighted by the 150th anniversary celebration at Cedar Point in Sandusky, Ohio; the 100th anniversary celebration at Knott’s Berry Farm in Buena Park, California; and, the new 300-foot-tall giga coaster, Orion, at Kings Island near Cincinnati, Ohio, our slate of 2020 additions offers something new at each and every park next season. The 2020 additions combined with our existing, industry-leading attractions, immersive entertainment and special events ensure that our parks are not only set to deliver compelling growth in 2020, but well into the future,” said Zimmerman.
About Cedar Fair
Cedar Fair Entertainment Company (NYSE: FUN), one of the largest regional amusement-resort operators in the world, is a publicly traded partnership headquartered in Sandusky, Ohio. Focused on its mission to make people happy by providing fun, immersive and memorable experiences, the Company owns and operates 11 amusement parks, four outdoor water parks, an indoor water park and resort accommodations totaling more than 2,300 rooms and more than 600 luxury RV sites. Cedar Fair’s parks are located in Ohio, California, North Carolina, South Carolina, Virginia, Pennsylvania, Minnesota, Missouri, Michigan, Texas and Toronto, Ontario. It also operates an additional theme park in California under a management contract.
Forward-Looking Statements
Some of the statements contained in this news release constitute “forward-looking statements” within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, including statements as to the Company's expectations, beliefs and strategies regarding the future. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Important factors, including general economic conditions, adverse weather conditions, competition for consumer leisure time and spending, unanticipated construction delays, changes in the Company’s capital investment plans and projects and other factors discussed from time to time by the Company in reports filed with the Securities and Exchange Commission (the “SEC”) could affect attendance at the Company’s parks and cause actual results to differ materially from the Company's expectations. Additional information on risk factors that may affect the business and financial results of the Company can be found in the Company's Annual Report on Form 10-K and in the filings of the Company made from time to time with the SEC. The Company undertakes no obligation to correct or update any forward-looking statements, whether as a result of new information, future events or otherwise.
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