Core Insights - SeaWorld San Diego has launched "Jewels of the Sea: The Jellyfish Experience," the largest standalone jellyfish exhibit in the United States, now open to the public [1][2] Exhibit Features - The exhibit features nine unique jellyfish species displayed in over 15 aquariums, including one of the largest jellyfish cylinders in the country and a fully interactive LED gallery [3] - Visitors can explore three distinct galleries that provide insights into jellyfish biology, life cycle, and their habitats, from shallow mangrove forests to deep ocean trenches [2][4] Educational and Conservation Focus - The exhibit emphasizes marine education and conservation, showcasing the importance of jellyfish in ocean ecosystems [4][6] - A life-sized Lion's Mane Jellyfish sculpture made from upcycled marine debris has been installed to raise awareness about plastic pollution and its impact on marine life [5][6] Visitor Engagement - SeaWorld offers a "Jelly Up-Close Tour," allowing guests to engage with jellyfish in an educational setting and learn about the jellyfish propagation program [6] - Special promotions are available, including discounts of up to 55% on tickets and annual passes, encouraging visitors to experience the new attraction [8][9] Company Background - SeaWorld is a leading marine life theme park and accredited zoo and aquarium, dedicated to marine conservation and education, welcoming millions of guests annually [10] - The organization has a strong commitment to marine life rescue, having helped over 41,000 animals and contributed more than $20 million to conservation efforts globally [10]

Unparalleled ride technology, breathtaking real-world footage and up-close encounters with Arctic wildlife make this the most immersive Arctic experience ever createdDOWNLOAD MEDIA ASSETS HEREORLANDO, Fla., March 13, 2025 /PRNewswire/ -- SeaWorld Orlando has officially announced the name and new details of its most ambitious attraction yet: Expedition Odyssey. Launching in Spring 2025, this groundbreaking experience will transport guests on a thrilling expedition across the Arctic—where cutting-edge ride an ...

Core Insights - SeaWorld San Antonio has launched a new attraction called Rescue Jr., aimed at children aged three to five, featuring interactive rides and educational experiences related to animal rescue and rehabilitation [1][2][3] - The park is offering a free Preschool Card for young children, allowing unlimited admission throughout 2025, which is part of a promotional strategy to attract families during the Spring Break season [1][3] - The new attraction includes various rides such as Beach Rescue Racer, Ocean Quest Express, Tide Pool Tumble, Seabird Swing, and Ocean Rescue Carousel, designed to engage young visitors in fun and educational ways [6] Company Overview - SeaWorld is a leading marine life theme park and accredited zoo and aquarium, focusing on education and conservation efforts while providing enriching experiences for guests [5][7] - The company has a strong commitment to marine life conservation, having rescued over 41,000 animals and contributed more than $20 million to various conservation organizations through its SeaWorld Conservation Fund [7] Promotional Strategies - The park is currently running a Spring Break Sale, where parents can purchase a SeaWorld Pass and receive free access to Aquatica, enhancing the value proposition for families [1][3] - The free Preschool Card registration is time-limited, encouraging quick sign-ups to maximize attendance during the attraction's debut [3]

Group 1 - The analyst assigned a hold rating to United Parks & Resorts (NYSE: PRKS) in December, citing uncertainty in near-term demand due to the macroeconomic environment and the impact of the Epic Universe opening [1] - The investment approach focuses on value investing principles, emphasizing the purchase of quality companies at a discount to their intrinsic value for long-term growth [1] - The analyst believes in allowing companies to compound their earnings and shareholder returns over time [1]

Theme Parks and Attractions - The company operates 12 theme parks, which include three of the top 20 theme parks and four of the top 10 water parks in North America, as measured by attendance[30]. - The combined theme park portfolio features over 800 attractions, including 74 animal habitats, 162 programs, and 206 rides, along with 360 other attractions[30]. - SeaWorld Orlando opened Penguin Trek in 2024, a multi-launch family coaster, and was ranked among the top 10 theme parks in North America by attendance[34]. - SeaWorld San Antonio opened Catapult Falls in 2024, the world's first launched flume coaster, and is one of the largest marine-life theme parks, covering 397 acres[34]. - Busch Gardens Tampa Bay ranked among the top 20 theme parks in North America by attendance according to the TEA/AECOM 2023 Report[35]. - Aquatica Orlando was ranked the 3 most attended water park in North America according to the TEA/AECOM 2023 Report[35]. - Aquatica San Antonio was ranked the 6 most attended water park in North America according to the TEA/AECOM 2023 Report[35]. - Discovery Cove was ranked the 19 most attended water park in North America according to the TEA/AECOM 2023 Report[35]. - Sesame Place Philadelphia was the first theme park in the world designated as a Certified Autism Center[35]. - Sesame Place San Diego opened in 2022 and features an interactive Sesame Street Neighborhood[36]. - Water Country USA was ranked the 5 most attended water park in North America according to the TEA/AECOM 2023 Report[38]. - Adventure Island was ranked the 7 most attended water park in North America according to the TEA/AECOM 2023 Report[38]. - In 2024, Busch Gardens Tampa Bay opened Phoenix Rising, a family suspended coaster[35]. - In 2024, Aquatica Orlando opened Tassie's Underwater Twist, an immersive water slide[35]. - The company opened numerous new rides and attractions in 2024, including 2 of the top 10 Best New Amusement Park Attractions of 2024[42]. - The company features new attractions such as the immersive flying experience at SeaWorld Orlando and the longest family inverted coaster in North America at Busch Gardens Williamsburg[43]. Financial Performance and Investments - The company generates significant annual operating cash flow, even in years of declining performance, aided by some parks being open year-round[30]. - The company is committed to annual targeted investments to support existing theme park facilities and attractions, which is critical for revenue growth and guest experience[41]. - The company has a total of 74 animal habitats, 206 rides, 162 shows, and 360 other offerings in its theme park portfolio for 2024[40]. - The company ranked 9 for the Nation's Best Amusement Park for 2024 and 8 for 2023, with Iron Gwazi being recognized as the 1 Best New Roller Coaster for 2022[39]. - The parks utilize demand-based pricing and advance purchase discounts to manage capacity and maximize revenue[68]. Animal Care and Conservation - The company is committed to animal rescue and conservation, having helped over 41,000 ill, injured, orphaned, and abandoned wild animals[32]. - SeaWorld has helped over 41,000 animals across various species, including over 300 manatees in the past six years[54]. - The SeaWorld Coral Rescue Center, opened in 2023, is the largest public-facing coral-recovery exhibit dedicated to Atlantic coral conservation in the U.S.[56]. - The company provides care for one of the largest zoological collections globally, with a commitment to world-class animal care standards[49]. - The company supports community initiatives focused on animal preservation, youth development, and environmental sustainability[32]. Environmental and Social Responsibility - The company emphasizes environmental and social responsibility, aiming to inspire guests to protect animals and the planet[48]. - The company has removed all plastic straws and shopping bags since 2018 as part of its waste management initiatives[61]. - The company has invested in renewable energy and energy efficiency projects, including solar panels and LED lighting retrofits[59]. - The solar carport at SeaWorld San Antonio, opened in 2024, is expected to generate approximately 16% of the park's annual energy needs[59]. - SeaWorld's Responsible Food Sourcing Policy includes sourcing seafood from environmentally responsible suppliers and offering cage-free eggs[62]. - SeaWorld's in-park dining programs focus on providing quality food options, including sustainable and locally grown ingredients[70]. Corporate Structure and Strategy - The company changed its corporate name from SeaWorld Entertainment, Inc. to United Parks & Resorts Inc. on February 12, 2024, with the ticker symbol changing from "SEAS" to "PRKS" on February 13, 2024[105]. - As of December 31, 2024, approximately 49.4% of the company's total outstanding common stock is owned by Hill Path Capital LP[104]. - The company has secured long-term corporate sponsorships, including partnerships with Coca-Cola, contributing to marketing and conservation efforts[76]. - The license agreement with Anheuser-Busch grants a perpetual, exclusive, worldwide, royalty-free license for the Busch Gardens trademark, enhancing brand presence[80]. - The Sesame License Agreement allows the company to operate Sesame Place theme parks and utilize Sesame Street elements, with an initial term through December 31, 2031[84]. - The company has expanded its brand appeal through strategic alliances with well-known external brands, enhancing consumer loyalty[72]. Regulatory and Compliance Issues - Regulatory compliance is crucial, with operations subject to various federal, state, and local laws, including animal welfare and environmental regulations[94]. - Recent regulatory developments include proposed amendments to the Animal Welfare Act, which may impact operations in the future[95]. - The company is subject to complex federal and state regulations governing the treatment of animals, which can change and may impact operations[101]. - The company has adopted a Code of Business Conduct and Ethics applicable to its directors, officers, and employees, ensuring compliance with legal and ethical standards[106]. - The company has not reintroduced the SWIMS Act or the National Amusement Park Ride Safety Act in the 119th Congress, which may affect regulatory compliance and operational strategies[99][100]. Market Conditions and Competition - The theme park industry is characterized by a proven business model that generates significant cash flow and offers strong consumer value compared to other entertainment options[90]. - The competitive landscape includes major players like The Walt Disney Company and Universal Parks, with competition based on location, price, and quality of attractions[91]. - The company continues to evaluate international opportunities for growth, assessing potential value in various markets[89]. - The COVID-19 pandemic significantly impacted group events and attendance in 2022 and parts of 2023, affecting both domestic and international travel[75]. Operational Challenges - The company faces significant inflationary pressures affecting costs of food, merchandise, fuel, construction, and labor, which may impact operations[109]. - Approximately $1.5 billion of the company's outstanding long-term debt represents variable-rate debt, with a hypothetical 100 bps increase in Term SOFR potentially increasing annual interest expense by approximately $22.4 million[327]. - The company has no interest rate swap agreements outstanding as of December 31, 2024, and manages interest rate risk primarily through the amount, sources, and duration of its debt funding[326]. - The company has formed various committees to enhance oversight over operations in the current challenging labor market[26]. - SeaWorld employs approximately 3,300 full-time and 13,400 part-time and seasonal employees as of December 31, 2024[63].

Financial Data and Key Metrics Changes - In Q4 2024, total revenue was $384.4 million, a decrease from Q4 2023, primarily due to a decrease in attendance, partially offset by an increase in total revenue per capita [66] - Attendance decreased by approximately 79,000 guests or 1.6% compared to the prior year quarter, largely due to adverse weather conditions [67] - For the full year 2024, total revenue was $1.73 billion, a decrease of $1.3 million or 0.1%, with total attendance at 21.5 million guests, a decrease of approximately 59,000 guests or 0.3% [71] Business Line Data and Key Metrics Changes - Total revenue per capita increased by 0.4%, while admission per capita decreased by 1.9%, and in-park per capita spending increased by 3.5% [68] - The increase in in-park per capita spending was attributed to pricing initiatives compared to Q4 2023 [68] Market Data and Key Metrics Changes - The company reported a strong balance sheet with approximately $798.4 million in total available liquidity and a net total leverage ratio of 2.94 times as of December 31, 2024 [72][22] - The deferred revenue balance decreased by approximately 1.9% compared to December 2023, indicating a shift in customer payment preferences [76] Company Strategy and Development Direction - The company plans to invest approximately $225 million in CapEx for 2025, with $175 million allocated for core CapEx and $50 million for expansion and ROI projects [78] - Strategic initiatives include hotel development, real estate monetization, and international partnerships, with expectations for significant revenue growth from these areas [36][38] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving record revenue and adjusted EBITDA in 2025, assuming normal weather conditions [14] - The company anticipates benefiting from increased visitation to the Orlando market due to the opening of Universal's Epic Universe Park [41] Other Important Information - The company repurchased 9.4 million shares, approximately 15% of total shares outstanding, at a total cost of approximately $482.9 million in 2024 [75] - The company has a disciplined capital allocation strategy focusing on business investment, debt paydown, M&A, and returning capital to shareholders [24][27] Q&A Session Summary Question: How does the company view the impact of the new Epic Universe Park on attendance? - Management views the opening of Epic Universe as a positive opportunity, expecting it to increase overall visitation to the Orlando market, which could benefit their parks [87][90] Question: What are the expectations for 2025 EBITDA compared to Wall Street consensus? - Management believes Wall Street consensus estimates for 2025 EBITDA are significantly below their internal expectations, indicating confidence in achieving higher performance [93][94] Question: What are the trends observed in Q1 2025 so far? - Management noted that January was abnormally cold, impacting attendance, but February showed improvement, with overall attendance up on a day-to-day basis [100] Question: Is there any evidence of visitation deferral ahead of the Epic opening? - Management does not currently see clear evidence of visitation deferral, emphasizing that a significant portion of their attendance comes from local visitors [104] Question: What are the key factors affecting attendance growth and pricing strategy? - Management aims to grow total revenue while also focusing on pricing, with expectations to capture more attendance through new attractions and events [110][112]

Core Insights - United Parks & Resorts reported revenue of $384.38 million for the quarter ended December 2024, reflecting a year-over-year decline of 1.2% [1] - The earnings per share (EPS) for the quarter was $0.53, down from $0.62 in the same quarter last year, indicating a surprise of -14.52% against the consensus estimate of $0.62 [1] - The reported revenue exceeded the Zacks Consensus Estimate of $377.31 million by 1.88% [1] Financial Performance Metrics - Total revenue per capita was $78.75, slightly below the four-analyst average estimate of $79.26 [4] - Attendance figures reached 4,881, surpassing the average estimate of 4,839 based on four analysts [4] - Admissions per capita stood at $43.61, lower than the three-analyst average estimate of $44.52 [4] - In-Park per capita spending was $35.14, exceeding the average estimate of $34.70 from three analysts [4] - Food, merchandise, and other revenue totaled $171.52 million, above the three-analyst average estimate of $167.76 million [4] - Admissions revenue was reported at $212.86 million, slightly below the three-analyst average estimate of $215.31 million [4] Stock Performance - Shares of United Parks & Resorts have returned +5.2% over the past month, contrasting with a -2.3% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 4 (Sell), suggesting potential underperformance relative to the broader market in the near term [3]

Core Viewpoint - United Parks & Resorts reported quarterly earnings of $0.53 per share, missing the Zacks Consensus Estimate of $0.62 per share, representing a year-over-year decline from $0.62 per share [1] - The company posted revenues of $384.38 million for the quarter, surpassing the Zacks Consensus Estimate by 1.88%, but down from $388.97 million a year ago [2] Earnings Performance - The earnings surprise for the recent quarter was -14.52%, and the company has surpassed consensus EPS estimates only once in the last four quarters [1][2] - A quarter ago, the company was expected to post earnings of $2.20 per share but reported $2.08, resulting in a surprise of -5.45% [1] Stock Performance - United Parks & Resorts shares have declined approximately 2.8% since the beginning of the year, contrasting with the S&P 500's gain of 1.3% [3] - The current Zacks Rank for the stock is 4 (Sell), indicating expectations of underperformance in the near future [6] Future Outlook - The consensus EPS estimate for the upcoming quarter is -$0.22 on revenues of $298.03 million, while the estimate for the current fiscal year is $4.50 on revenues of $1.74 billion [7] - The trend of estimate revisions for United Parks & Resorts has been unfavorable ahead of the earnings release [6] Industry Context - The Leisure and Recreation Services industry is currently ranked in the top 19% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Performance - Total revenue for Q4 2024 was $384.4 million, a decrease of $4.6 million or 1.2% from Q4 2023[10] - Net income for Q4 2024 was $27.9 million, a decrease of $12.2 million or 30.3% from Q4 2023[10] - Adjusted EBITDA for Q4 2024 was $144.5 million, a decrease of $6.0 million or 4.0% from Q4 2023[10] - For fiscal 2024, total revenue was $1,725.3 million, a decrease of $1.3 million or 0.1% from fiscal 2023[16] - Fiscal 2024 net income was $227.5 million, a decrease of $6.7 million or 2.9% from fiscal 2023[16] - Net revenues for Q4 2024 were $212.8 million, a decrease of 7.67% from $220.5 million in Q4 2023[38] - Total revenues for the year ended December 31, 2024, were $939.6 million, down 1.5% from $954.0 million in 2023[38] - Operating income for Q4 2024 was $75.75 million, reflecting a decline of 15.1% compared to $89.27 million in Q4 2023[38] - Basic earnings per share for Q4 2024 were $0.51, down from $0.63 in Q4 2023[38] - Total costs and expenses for the year ended December 31, 2024, were $1,262.0 million, a slight decrease of 0.4% from $1,266.0 million in 2023[38] Attendance and Guest Metrics - Attendance in Q4 2024 was 4.9 million guests, a decrease of approximately 79,000 guests or 1.6% compared to Q4 2023[10] - Total revenue per capita for fiscal 2024 increased by 0.2% to a record $80.07 compared to fiscal 2023[18] - Attendance for the three months ended December 31, 2024, was 4,881, a decline of 1.6% from 4,960 in 2023[44] - In-Park per capita spending for the year ended December 31, 2024, was $36.46, an increase of 2.0% from $35.75 in 2023[44] Cash Flow and Capital Expenditures - Free Cash Flow is highlighted as a key liquidity measure, although it excludes mandatory debt service requirements, making it not fully representative of discretionary cash flow[30] - Free cash flow for the year ended December 31, 2024, was $140,500, an increase of 140.6% compared to $58,300 in 2023[43] - Capital expenditures for the year ended December 31, 2024, totaled $248,430, a decrease of 18.5% from $304,836 in 2023[43] - Capital expenditures during the period reflect investments in park rides, attractions, maintenance activities, and park expansion projects[58] Debt and Financial Management - The company repurchased 9.4 million shares of common stock in fiscal 2024 at a total cost of approximately $482.9 million, representing about 15% of total shares outstanding[19] - The company refinanced approximately $1.5 billion in Term Loans in December 2024, resulting in approximately $8 million in annual interest savings[20] - Total long-term debt, including current maturities, increased to $2,263,442 as of December 31, 2024, from $2,125,500 in 2023[41] - Interest expense increased by 37.7% in Q4 2024, totaling $49.91 million compared to $36.25 million in Q4 2023[38] - The company reported a loss on early extinguishment of debt of $1.487 million in Q4 2024, with no comparable figure in Q4 2023[38] Management Insights and Expectations - Management emphasizes the importance of Adjusted EBITDA as it reflects the company's underlying operating performance, which is crucial for investors and analysts[28] - Forward-looking statements indicate potential risks affecting attendance and guest spending, including economic uncertainties and labor shortages[36] - The company acknowledges the impact of external factors such as inflation, supply chain issues, and geopolitical events on its operations and financial performance[36] - Management's expectations and projections are subject to uncertainties, and actual results may vary significantly from these forward-looking statements[36] - The Company expects to realize estimated savings over the following 24-month period related to restructurings and cost savings initiatives[55] Operational Highlights - United Parks & Resorts Inc. operates 13 parks across the U.S. and Abu Dhabi, offering diverse experiences and maintaining a large zoological collection[32] - The company has a legacy of rescuing over 41,000 animals, showcasing its commitment to animal welfare and conservation efforts[32] Performance Metrics - Key performance metrics include total revenue per capita, admission per capita, and in-park per capita spending, which help assess park operations on a per attendee basis[31] - Total revenues are calculated as total revenues divided by attendance, providing insights into revenue generation efficiency[58] - Admissions revenue is calculated as admissions revenue divided by attendance, indicating the performance of ticket sales[58] - Food, merchandise, and other revenue are calculated as revenue divided by attendance, highlighting additional revenue streams[58] - Adjusted EBITDA is defined as net income (loss) before income tax expense, interest expense, depreciation, and amortization, adjusted for certain non-cash items[54] Compliance and Reporting - Covenant Adjusted EBITDA is significant for compliance with financial covenants in the company's credit agreements, providing transparency to investors[29] - The Company’s Debt Agreements allow for the calculation of certain covenants based on Covenant Adjusted EBITDA, which is defined as Adjusted EBITDA for the last twelve-month period further adjusted for net annualized estimated savings related to specified actions[55] - Covenant Adjusted EBITDA includes adjustments for recruiting and retention expenses, public company compliance costs, and litigation costs as permitted by the Debt Agreements[56] - The company provides contact information for investor relations and media inquiries, ensuring transparency and accessibility for stakeholders[37]

Core Insights - United Parks & Resorts Inc. reported strong financial results for Q4 and fiscal year 2024, achieving near record attendance and revenue per capita despite adverse weather conditions [2][4][10] Fourth Quarter 2024 Highlights - Attendance was approximately 4.9 million guests, a decrease of about 79,000 guests from Q4 2023 [10][11] - Total revenue reached $384.4 million, down $4.6 million or 1.2% from Q4 2023 [10][12] - Net income was $27.9 million, a decrease of $12.2 million from Q4 2023 [10][12] - Adjusted EBITDA was $144.5 million, down $6.0 million from Q4 2023 [10][12] - Total revenue per capita increased by 0.4% to $78.75, while admission per capita decreased by 1.9% to $43.61, and in-park per capita spending increased by 3.5% to a record $35.14 [10][12][40] Fiscal 2024 Highlights - Total attendance for the year was approximately 21.5 million guests, a decrease of about 59,000 guests or 0.3% from fiscal 2023 [14][16] - Total revenue for the year was $1,725.3 million, a slight decrease of $1.3 million or 0.1% from fiscal 2023 [14][16] - Net income for the year was $227.5 million, down $6.7 million or 2.9% from fiscal 2023 [14][16] - Adjusted EBITDA for the year was $700.2 million, a decrease of $13.3 million or 1.9% from fiscal 2023 [14][16] - Total revenue per capita increased by 0.2% to a record $80.07, while admission per capita decreased by 1.2% to $43.61, and in-park per capita spending increased by 2.0% to a record $36.46 [14][16][40] Share Repurchase and Financial Strategy - The company repurchased 9.4 million shares, approximately 15% of total shares outstanding, at a total cost of about $482.9 million during fiscal 2024 [4][19] - In Q4 2024, the company repurchased approximately 0.8 million shares for about $37.7 million [19] - The refinancing of Term Loans in December 2024 resulted in approximately $8 million in annual interest savings and extended debt maturities [20] Future Outlook - The company is optimistic about 2025, expecting meaningful growth and new records in revenue and Adjusted EBITDA, assuming no worse weather than in 2024 [8] - Booking trends for 2025 show mid-single-digit growth in international sales and double-digit growth in group bookings [8] Industry Recognition - The company received several accolades in 2024, including SeaWorld Orlando being voted as the 3 Nation's Best Amusement Park and Aquatica Orlando as the 2 for the Nation's Best Outdoor Water Park by USA Today readers [9]