Cedar Fair has announced its second-quarter financial results, once again reporting declines in revenue and attendance due to “anomalous weather patterns”.
In May, the company attributed declines in revenue and attendance in the first quarter of this year to unusually rainy weather in California.
In Q2 2023, net revenue was $501 million, a decrease of $9m from the second quarter of 2022. Attendance was 7.4 million guests, a decrease of 6 percent from Q2 2022.
Net income in the second quarter of this year was $54m, an increase of $3m. Adjusted EBITDA was $151m, a decrease of $19m.
“The investments we have made in our parks for the 2023 season, as well as those made over the past several years, have improved the guest experience, helped us achieve record guest satisfaction ratings, driven increased guest spending, and positioned Cedar Fair to continue delivering strong economic returns for investors,” Richard Zimmerman, Cedar Fair’s president and CEO, said in a statement.
“Unfortunately, anomalous weather patterns – including unprecedented rainfall in California and wildfires in Canada – have significantly disrupted year-to-date attendance, as well as sales of 2023 season passes, creating a headwind on demand.
“To better adapt to changing market dynamics, we have expanded our research efforts to further isolate the impact of macro factors on specific markets.”
California parks disrupted by weather
Zimmerman said “macro-related headwinds have disrupted demand and season pass sales” at the company’s theme parks in California, contributing to a 17 percent drop in combined attendance in Q2 2023.
However, combined attendance at Cedar Fair’s six parks in the Midwest was up by 7 percent in Q2 2023. These parks “have been least affected by weather”, said Zimmerman.
In its preliminary second-quarter financial results, SeaWorld also announced declines in revenue and attendance due to adverse weather after reporting its eighth consecutive quarter of record financial results for Q1 2023.
