SIX Reports Q2 Results--Not Good

[GADVwow]

...Total revenues of $302.1 million decreased 13% from the prior-year quarter’s total of $345.7 million, primarily reflecting reduced attendance and guest spending.  Attendance for the quarter was 8.0 million, down 8% from 8.6 million in the second quarter of 2008.  The attendance reduction was driven by a decline in group sales, reflecting cutbacks in outings by companies, schools and other organizations, as well as reduced complimentary and free promotional tickets.  Mitigating the attendance loss for the quarter was the timing of Easter, which fell in April of this year and in March of last year.

Guest spending per capita of $36.70 for the quarter was down 4% from the prior-year quarter’s per capita guest spending of $38.34, reflecting decreases in admissions, food and beverages, games and merchandise.  Included in the reduced guest spending is the impact of a weaker Mexican peso and Canadian dollar in the current-year quarter, affecting U.S. dollar translated results for the parks in Mexico City and Montreal.  Exchange rates accounted for approximately one percentage point, or $0.54, of the guest spending per capita decline for the quarter compared to the prior year quarter....

Commenting on the Company’s performance, Mark Shapiro, President and Chief Executive Officer of Six Flags, Inc., said:  “Our decline in performance is a reflection of all that surrounds Six Flags — a severe recession, a balance sheet restructuring process, the swine flu pandemic, adverse foreign currency impact at our international parks and miserable weather, particularly at our east coast parks.  The trends of our July business have improved, but nowhere near enough to put us back on pace to match last year’s full-season record setting performance.”...

http://investors.sixflags.com/phoenix.zhtml?c=61629&p=irol-SECText&TEXT=aHR0cDovL2NjYm4uMTBrd2l6YXJkLmNvbS94bWwvZmlsaW5nLnhtbD9yZXBvPXRlbmsmaXBhZ2U9NjQ0NDY5OSZhdHRhY2g9T04mc1hCUkw9MQ%3d%3d

[rjholla2003]

Well, between SF Mexico being shut down for a week because of Swine Flu, and it raining here 24 days in June, as well as terrible weather elsewhere, I can't call that a surprise.  It's just the last thing needed this season.

[GADVwow]

Tomorrow morning is FUN's conference call.  By all accounts, Mr. Kinzel & Co. will be reporting similarly dreadful results.  So much so that much of the quarter's data was leaked by the company itself during the announcement of the Canadian land sale.