Revenue for Parques Reunidos reached €254 million throughout the first nine months of 2017’s fiscal year.
This represents a four percent like-for-like increase for the park, compared to the same period in 2016.
During this period, EBITDA (earnings before interest, taxes, depreciation and amortization) grew 64 percent like-for-like, reaching €6.6 million.
8.6 million visitors were recorded during the first nine months representing a growth of 4.2 percent.
Seasons passes have helped boost Parques Reunidos across all regions (an increase of 12 percent growth over the previous year). There have been a range of commercial initiatives to extend the season and increase in-park spending. In addition, the successful addition of new attractions and technology such as virtual reality coasters have contributed to the strong performance. Cost management has maximized the conversion of new revenue into EBITDA.
Spain in particular has achieved record revenues with a ten percent boost of like-for-like bringing in €74 million. This has been helped by a positive macroeconomic environment. The rest of Europe also grew, although at a slower rate of 2.8 percent.
Revenues in the USA are lower than last year by 3.3 percent, however the most relevant part of the year (representing 69 percent of revenues) is yet to come.
Net income amounts to -€58.5 million as of June, because of seasonality in the business. High season is concentrated between June and September so the first nine months only represent 41 percent of total revenues. Net income as of June shows a 44.8 percent improvement from the previous year. This has been driven by the strong business performance and the large reduction of interest expenses due to post IPO capital structure.
Parques Reunidos has benefited from investments in new rides and attractions. The Star Trek themed coaster at Germany’s Movie Park is a case in point.
The success achieved from recently launched virtual reality coasters in Italy, USA and Spain has also contributed.
The group is investing in a series of expansion projects to maximize the growth potential of the parks. These include new accommodation for Slagharen Park in The Netherlands and the expansion of Parque Warner Beach in Spain.
Parques Reunidos is one of the world’s leading leisure park operators. The company portfolio includes 61 attractions that receive around 20 million visitors per year. The mix includes amusement parks, animal parks, aquatic parks, family entertainment centres and other attractions.
Image courtesy of Parques Reunidos.