Revenue Performance - Total revenues for the three months ended September 30, 2025, decreased by $34.1 million, or 6.2%, to $511.9 million compared to $545.9 million in the same period of 2024[126]. - Admissions revenue decreased by $28.3 million, or 9.5%, to $268.7 million, primarily due to a decrease in admission per capita and attendance, which fell by approximately 240 thousand guests, or 3.4%[127]. - Food, merchandise, and other revenue decreased by $5.7 million, or 2.3%, to $243.2 million, despite an increase in in-park per capita spending, which rose by 1.1% to $35.82[128]. - Net revenues for the nine months ended September 30, 2025 decreased by $51.9 million, or 3.9%, to $1,289.0 million compared to $1,340.9 million for the same period in 2024[135]. - Admissions revenue for the nine months ended September 30, 2025 decreased by $46.3 million, or 6.4%, to $680.5 million compared to $726.8 million for the same period in 2024[136]. - Total attendance for the first nine months of 2025 decreased by approximately 252 thousand guests, or 1.5%, compared to the same period in 2024[136]. Operating Expenses - Operating expenses increased by $7.1 million, or 3.4%, to $214.4 million, primarily due to increased labor-related costs and non-cash self-insurance adjustments[130]. - Selling, general and administrative expenses increased by $5.3 million, or 9.6%, to $60.7 million, driven by higher third-party consulting costs and legal fees[131]. - Depreciation and amortization expense for the nine months ended September 30, 2025 increased by $8.3 million, or 6.9%, to $129.4 million compared to $121.0 million for the same period in 2024[141]. Net Income - Net income for the three months ended September 30, 2025, was $89.3 million, a decrease of $30.4 million, or 25.4%, compared to $119.7 million in the prior year[126]. - Net income for the nine months ended September 30, 2025 was $153.3 million, a decrease of $46.3 million, or 23.2%, compared to $199.6 million for the same period in 2024[135]. - The company reported a net income of $89.3 million for the three months ended September 30, 2025, down from $119.7 million in the same period of 2024[166]. Cash Flow and Financing - Net cash provided by operating activities was $301.7 million during the nine months ended September 30, 2025, down from $367.7 million during the same period in 2024[150]. - Net cash used in financing activities for the nine months ended September 30, 2025, was $16.3 million for share repurchases and $11.6 million for long-term debt repayments, compared to $445.3 million and $238.2 million respectively in the same period of 2024[155][158]. - As of September 30, 2025, the company had $1.527 billion in Term B-3 Loans maturing on December 4, 2031, and a $700 million Revolving Credit Facility with approximately $689.1 million available for borrowing[158]. Debt and Interest - Interest expense for the nine months ended September 30, 2025 decreased by $16.3 million, or 13.8%, to $101.6 million compared to $117.8 million for the same period in 2024[142]. - Approximately $1.5 billion of the company's long-term debt is variable-rate debt, with a hypothetical 100 bps increase in Term SOFR potentially increasing annual interest expense by approximately $22.3 million[174]. - The company was in compliance with all covenants in the credit agreement governing the Senior Secured Credit Facilities and the indentures governing its Senior Notes as of September 30, 2025[160]. Strategic Initiatives and Risks - The company has identified meaningful cost savings opportunities, including technology initiatives, to improve operating margins[120]. - Inflation and interest rate fluctuations are significant risks affecting the company's operations and financial performance[171][172]. - The company incurred $4.4 million in business optimization costs for the three months ended September 30, 2025, reflecting ongoing strategic initiatives[166]. - Attendance levels are influenced by factors such as affordability, new attractions, competitive offerings, and global economic conditions[118]. - The theme park industry is seasonal, with approximately two-thirds of attendance and revenues generated in the second and third quarters[123]. Adjusted Metrics - Adjusted EBITDA for the nine months ended September 30, 2025, was $489.98 million, compared to $555.72 million for the same period in 2024, reflecting a decrease of approximately 11.8%[166]. - Covenant Adjusted EBITDA for the last twelve months ended September 30, 2025, was $654.73 million, which includes estimated cost savings adjustments[166].

Attendance and Guest Metrics - Attendance in Q3 2025 was 6.8 million guests, a decrease of approximately 240,000 guests or 3.4% from Q3 2024[8] - Attendance for the first nine months of 2025 was 16.4 million guests, a decrease of approximately 252,000 guests or 1.5% from the first nine months of 2024[16] - Attendance for the three months ended September 30, 2025, was 6,789, a decrease of 240 visitors or 3.4% compared to 7,029 in 2024[43] Financial Performance - Total revenue for Q3 2025 was $511.9 million, a decrease of $34.1 million or 6.2% from Q3 2024[8] - Total revenue for the first nine months of 2025 was $1,289.0 million, a decrease of $51.9 million or 3.9% from the first nine months of 2024[16] - For the three months ended September 30, 2025, total revenues decreased by 6.2% to $511.8 million compared to $545.9 million in the same period of 2024[35] - Net income for Q3 2025 was $89.3 million, a decrease of $30.4 million or 25.4% from Q3 2024[8] - Net income for the first nine months of 2025 was $153.3 million, a decrease of $46.3 million or 23.2% from the first nine months of 2024[16] - Net income for the three months ended September 30, 2025, was $89.3 million, down 25.4% from $119.6 million in 2024[35] - Basic earnings per share for the three months ended September 30, 2025, was $1.62, compared to $2.09 in the same period of 2024[35] Adjusted EBITDA and Cash Flow - Adjusted EBITDA for Q3 2025 was $216.3 million, a decrease of $42.1 million or 16.3% from Q3 2024[8] - Adjusted EBITDA for the three months ended September 30, 2025, was $216.3 million, a decrease of 42.1% from $258.4 million in 2024[36] - Free Cash Flow is highlighted as a crucial liquidity measure, although it excludes significant expenditures like mandatory debt service[28] Capital Expenditures and Investments - Capital expenditures for the nine months ended September 30, 2025, were $222.2 million, down $54.98 million from 2024[36] - Capital expenditures for the nine months ended September 30, 2025, totaled $167,227, down 24.7% from $222,207 in the same period of 2024[41] - Expansion/ROI projects capital expenditures for the nine months ended September 30, 2025, were $25,052, a significant decrease of 63.8% from $69,147 in 2024[41] Per Capita Metrics - In-park per capita spending increased 1.1% to $35.82 in Q3 2025 compared to Q3 2024[8] - Total revenue per capita for the nine months ended September 30, 2025, was $78.53, down 2.4% from $80.46 in 2024[43] - Admission per capita for the three months ended September 30, 2025, decreased to $39.57, a decline of 6.3% from $42.24 in 2024[43] - In-Park per capita spending increased slightly to $35.82 for the three months ended September 30, 2025, up 1.1% from $35.42 in 2024[43] Share Repurchase and Stockholder Deficit - The company has repurchased over 635,000 shares for an aggregate total of approximately $32.2 million from the beginning of Q3 through November 4, 2025[8] - The total stockholders' deficit improved to $(308,735) as of September 30, 2025, from $(461,540) as of December 31, 2024[39] Risks and Forward-Looking Statements - Forward-looking statements indicate potential risks affecting attendance and guest spending, including economic uncertainties and labor shortages[32] - The Company acknowledges the impact of external factors such as weather, inflation, and geopolitical events on its operations[32] - Management warns that actual results may vary materially from forward-looking statements due to inherent uncertainties[32] - The Company is subject to various risks, including regulatory changes, labor disputes, and cybersecurity threats, which could impact its business[32] - The Company undertakes no obligation to update forward-looking statements unless required by law, reflecting management's opinions as of the date of the press release[33] Other Financial Metrics - Net cash provided by operating activities for the nine months ended September 30, 2025, was $367.7 million, a decrease of $65.982 million compared to the same period in 2024[36] - The provision for income taxes for the three months ended September 30, 2025, was $29.0 million, down 30.2% from $41.6 million in 2024[36] - As of September 30, 2025, total assets increased to $2,740,133, up from $2,573,578 as of December 31, 2024, representing a growth of approximately 6.5%[39] - Total long-term debt, including current maturities, decreased to $2,251,875 from $2,263,442, a reduction of about 0.5%[39]

Revenue Performance - Total revenues for the three months ended June 30, 2025, decreased by $7.4 million, or 1.5%, to $490.2 million compared to $497.6 million in the same period of 2024[119] - Admissions revenue decreased by $8.3 million, or 3.1%, to $255.7 million, primarily due to a decrease in admission per capita, which fell by $1.65 to $41.03[120] - Food, merchandise, and other revenue increased by $0.9 million, or 0.4%, to $234.5 million, despite a decrease in in-park per capita spending, which fell by 0.4% to $37.61[121] - Net revenues for the six months ended June 30, 2025 totaled $777.2 million, a decrease of $17.9 million, or 2.2%, from $795.0 million in 2024[129] - Admissions revenue for the six months ended June 30, 2025 decreased by $18.0 million, or 4.2%, to $411.9 million compared to $429.8 million for the same period in 2024[130] Attendance Metrics - Total attendance increased by approximately 48 thousand guests, or 0.8%, to 6,234 thousand compared to 6,186 thousand in the prior year quarter[119] - Total attendance for the first six months of 2025 decreased by approximately 11 thousand guests, or 0.1%, compared to the same period in 2024[130] Operating Expenses and Income - Operating expenses increased by $14.6 million, or 7.7%, to $204.8 million, primarily due to a $9.6 million increase in non-cash self-insurance adjustments[123] - Total costs and expenses increased by $16.5 million, or 5.0%, to $349.7 million compared to $333.2 million in the prior year[119] - Operating income for the six months ended June 30, 2025 was $157.4 million, a decrease of $29.2 million, or 15.6%, from $186.5 million in 2024[129] Net Income and Cash Flow - Net income for the three months ended June 30, 2025, was $80.1 million, a decrease of $11.0 million, or 12.1%, from $91.1 million in the same period of 2024[119] - Net income for the six months ended June 30, 2025 was $64.0 million, down $15.9 million, or 20.0%, from $79.9 million in 2024[129] - Net cash provided by operating activities was $206.9 million during the six months ended June 30, 2025, down from $244.7 million in 2024[144] Interest Expense - Interest expense decreased by $5.4 million, or 13.8%, to $33.9 million compared to $39.4 million in the prior year[119] - Interest expense for the six months ended June 30, 2025 decreased by $10.1 million, or 12.9%, to $68.1 million compared to $78.2 million for the same period in 2024[136] - 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 $22.3 million[167] Capital Expenditures and Debt - Capital expenditures for the six months ended June 30, 2025 totaled $110.5 million, a decrease from $166.8 million in 2024[145] - As of June 30, 2025, the company had $1.531 billion in Term B-3 Loans and a $700 million Revolving Credit Facility, with approximately $689.1 million available for borrowing[152] - The company had outstanding $725 million in Senior Notes due on August 15, 2029, as of June 30, 2025[153] Tax and Compliance - The consolidated effective tax rate for the six months ended June 30, 2025 was 28.2%, compared to 24.5% for the same period in 2024[138] - As of June 30, 2025, the company was in compliance with all covenants in the credit agreement governing the Senior Secured Credit Facilities and the indentures governing the Senior Notes[154] Cost Savings Initiatives - The company has identified meaningful cost savings opportunities, including technology initiatives, to improve operating margins and guest experiences[113] Depreciation and Amortization - Depreciation and amortization expense for the six months ended June 30, 2025 increased by $5.2 million, or 6.6%, to $84.7 million compared to $79.5 million for the same period in 2024[135] Adjusted EBITDA - The company reported Adjusted EBITDA of $206.3 million for the three months ended June 30, 2025, down from $218.2 million in the same period of 2024, and $273.7 million for the six months ended June 30, 2025, compared to $297.3 million in 2024[160] - Covenant Adjusted EBITDA for the last twelve months was $697.6 million, which includes estimated cost savings of $13.4 million and other adjustments of $7.6 million[160] Contractual Obligations - The company has not experienced any material changes to its contractual obligations as of June 30, 2025[161]

[Report Overview & Highlights](index=1&type=section&id=Report%20Overview%20%26%20Highlights) [Second Quarter 2025 Highlights](index=1&type=section&id=Second%20Quarter%202025%20Highlights) In the second quarter of 2025, United Parks & Resorts experienced a slight 0.8% increase in attendance to 6.2 million guests, but saw declines in total revenue by 1.5% to $490.2 million, net income by 12.1% to $80.1 million, and Adjusted EBITDA by 5.4% to $206.3 million, driven by a 2.2% drop in total revenue per capita | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | Attendance (millions) | 6.2 | 6.2 | +0.8% | | Total Revenue | $490.2M | $497.6M | -1.5% | | Net Income | $80.1M | $91.1M | -12.1% | | Adjusted EBITDA | $206.3M | $218.2M | -5.4% | | Total Revenue Per Capita | $78.64 | $80.44 | -2.2% | | Admission Per Capita | $41.03 | $42.68 | -3.9% | | In-Park Per Capita Spending | $37.61 | $37.76 | -0.4% | [First Six Months 2025 Highlights](index=1&type=section&id=First%20Six%20Months%202025%20Highlights) For the first half of 2025, attendance remained nearly flat with a minor 0.1% decrease to 9.6 million guests, while total revenue declined 2.2% to $777.2 million, net income decreased 20.0% to $64.0 million, and Adjusted EBITDA fell 7.9% to $273.7 million | Metric | H1 2025 | H1 2024 | Change | | :--- | :--- | :--- | :--- | | Attendance (millions) | 9.6 | 9.6 | -0.1% | | Total Revenue | $777.2M | $795.0M | -2.2% | | Net Income | $64.0M | $79.9M | -20.0% | | Adjusted EBITDA | $273.7M | $297.3M | -7.9% | | Total Revenue Per Capita | $80.74 | $82.50 | -2.1% | | Admission Per Capita | $42.79 | $44.60 | -4.1% | | In-Park Per Capita Spending | $37.95 | $37.90 | +0.1% | [Management Commentary & Outlook](index=1&type=section&id=Management%20Commentary%20%26%20Outlook) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) CEO Marc Swanson noted Q2 attendance growth despite severe weather, driven by international and group visitation, expressing optimism for the second half with strong forward bookings and a new $500 million share repurchase program - Q2 attendance grew despite severe weather, driven by an increase in international and group visitation, particularly at all Orlando parks[4](index=4&type=chunk) - Forward booking trends for group business and the Discovery Cove property are up **mid to high single digits** for the rest of the year, with strong trends continuing into 2026[5](index=5&type=chunk) - The company anticipates its upcoming Halloween and Christmas events to be among the biggest ever, with early ticket sales for "Howl O' Scream" already ahead of the prior year[5](index=5&type=chunk) - Management is confident in its ability to deliver operational and financial improvements and expects strong second-half financial results to offset the challenges from the first half[9](index=9&type=chunk) [Detailed Financial Results](index=3&type=section&id=Detailed%20Financial%20Results) [Second Quarter 2025 Results](index=3&type=section&id=Second%20Quarter%202025%20Results) In Q2 2025, attendance increased by 0.8% to 6.2 million due to a favorable calendar shift, but total revenues decreased by 1.5% to $490.2 million, driven by lower per capita spending, resulting in a 12.1% fall in net income to $80.1 million | (In millions, except per capita amounts) | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Change % | | :--- | :--- | :--- | :--- | | Total revenues | $490.2 | $497.6 | (1.5%) | | Net income | $80.1 | $91.1 | (12.1%) | | Adjusted EBITDA | $206.3 | $218.2 | (5.4%) | | Attendance | 6.2 | 6.2 | 0.8% | | Total revenue per capita | $78.64 | $80.44 | (2.2%) | - The increase in attendance was attributed to a favorable calendar shift of holidays, which was partially offset by the impact of significantly worse weather compared to the prior year quarter[10](index=10&type=chunk) - The decrease in total revenue was primarily a result of a decrease in total revenue per capita, which stemmed from declines in both admissions per capita and in-park per capita spending[11](index=11&type=chunk) [First Six Months 2025 Results](index=3&type=section&id=First%20Six%20Months%202025%20Results) For the first six months of 2025, attendance slightly decreased by 0.1% to 9.6 million due to worse weather, leading to a 2.2% decline in total revenues to $777.2 million and a significant 20.0% drop in net income to $64.0 million | (In millions, except per capita amounts) | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | Change % | | :--- | :--- | :--- | :--- | | Total revenues | $777.2 | $795.0 | (2.2%) | | Net income | $64.0 | $79.9 | (20.0%) | | Adjusted EBITDA | $273.7 | $297.3 | (7.9%) | | Attendance | 9.6 | 9.6 | (0.1%) | | Total revenue per capita | $80.74 | $82.50 | (2.1%) | - The decrease in attendance was primarily due to the impact of meaningfully worse weather, including during peak visitation periods, compared to the first six months of 2024[13](index=13&type=chunk) - The decrease in total revenue was a result of a decrease in total revenue per capita and a decrease in attendance[14](index=14&type=chunk) [Capital Allocation and Corporate Initiatives](index=4&type=section&id=Capital%20Allocation%20and%20Corporate%20Initiatives) [Share Repurchases](index=4&type=section&id=Share%20Repurchases) The Board of Directors recommended a new **$500 million** share repurchase authorization, pending approval by non-Hill Path stockholders, as an attractive opportunity to return capital - The Board of Directors voted to recommend a new **$500 million** share buyback authorization[16](index=16&type=chunk) - The share repurchase program is subject to approval by non-Hill Path shareholders, with a special meeting expected within 30 days[9](index=9&type=chunk) [Rescue Efforts](index=4&type=section&id=Rescue%20Efforts) As a leading marine animal rescue organization, the company aided **500 animals** in Q2 2025, bringing the historical total to over **42,000**, demonstrating its ongoing commitment to wildlife conservation - In Q2 2025, the company rescued **500 animals** in need, increasing the total number of animals helped in its history to over **42,000**[17](index=17&type=chunk) - The company's rescue teams are on call 24/7, working with federal, state, and local agencies to help ill, injured, orphaned, or abandoned wild animals with the goal of returning them to their natural habitat[18](index=18&type=chunk) [Financial Statements and Reconciliations](index=9&type=section&id=Financial%20Statements%20and%20Reconciliations) [Unaudited Condensed Consolidated Statements of Operations](index=9&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) For the first half of 2025, total revenues were **$777.2 million**, operating income fell to **$157.4 million**, and net income decreased **20%** to **$64.0 million** compared to the prior year | (In thousands) | For the Six Months Ended June 30, 2025 | For the Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Total revenues | $777,161 | $795,016 | | Operating income | $157,354 | $186,525 | | Income before income taxes | $89,103 | $105,877 | | Net income | $63,975 | $79,923 | | Earnings per share, diluted | $1.15 | $1.26 | [Unaudited Reconciliation of Non-GAAP Financial Measures](index=10&type=section&id=Unaudited%20Reconciliation%20of%20Non-GAAP%20Financial%20Measures) This section reconciles GAAP net income to non-GAAP Adjusted EBITDA and Free Cash Flow, with LTM Covenant Adjusted EBITDA at **$697.6 million** and H1 2025 Free Cash Flow at **$96.4 million** | (In thousands) | For the Six Months Ended June 30, 2025 | For the Six Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net income | $63,975 | $79,923 | | Adjusted EBITDA | $273,705 | $297,307 | | Net cash provided by operating activities | $206,911 | $244,673 | | Capital expenditures | ($110,464) | ($166,814) | | Free Cash Flow | $96,447 | $77,859 | - For the last twelve months ended June 30, 2025, Covenant Adjusted EBITDA, a key metric for debt agreements, was **$697.6 million**[32](index=32&type=chunk) [Unaudited Balance Sheet Data](index=11&type=section&id=Unaudited%20Balance%20Sheet%20Data) As of June 30, 2025, the company reported **$193.9 million** in cash, **$2.26 billion** in total long-term debt, and a total stockholders' deficit of **$394.9 million** | (In thousands) | As of June 30, 2025 | As of December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $193,921 | $115,893 | | Total assets | $2,730,473 | $2,573,578 | | Total long-term debt, including current maturities | $2,255,731 | $2,263,442 | | Total stockholders' deficit | $(394,851) | $(461,540) | [Unaudited Capital Expenditures Data](index=11&type=section&id=Unaudited%20Capital%20Expenditures%20Data) For the first six months of 2025, total capital expenditures decreased **33.8%** to **$110.5 million**, primarily due to a **73.2%** reduction in expansion and ROI projects | (In thousands) | For the Six Months Ended June 30, 2025 | For the Six Months Ended June 30, 2024 | Change % | | :--- | :--- | :--- | :--- | | Core Capital Expenditures | $97,997 | $120,275 | (18.5%) | | Expansion/ROI projects | $12,467 | $46,539 | (73.2%) | | **Capital expenditures, total** | **$110,464** | **$166,814** | **(33.8%)** | [Supplementary Information](index=4&type=section&id=Supplementary%20Information) [Statement Regarding Non-GAAP Financial Measures](index=4&type=section&id=Statement%20Regarding%20Non-GAAP%20Financial%20Measures) The company utilizes non-GAAP measures like Adjusted EBITDA and Free Cash Flow, along with per capita metrics, to provide a clearer view of operating performance and for internal and external evaluation - The company uses non-GAAP measures like Adjusted EBITDA because it believes they eliminate the effect of certain non-cash and other items not indicative of underlying operating performance[20](index=20&type=chunk)[22](index=22&type=chunk) - Key performance metrics such as total revenue per capita, admission per capita, and in-park per capita spending are used by management to assess operating performance on a per-attendee basis[25](index=25&type=chunk) [Forward-Looking Statements](index=6&type=section&id=Forward-Looking%20Statements) This section cautions that forward-looking statements are subject to inherent uncertainties and risks, including weather, consumer spending, and labor costs, and the company does not commit to updating them - The report contains "forward-looking statements" based on current expectations, which are inherently uncertain and subject to various risks[28](index=28&type=chunk) - Key risks include factors affecting attendance and spending (weather, inflation, economic uncertainty), labor costs, regulatory changes, and competition[28](index=28&type=chunk)[29](index=29&type=chunk)

Core Insights - Royal Caribbean is set to enhance its offerings in 2026 with the introduction of three newly amplified ships: Ovation, Harmony, and Liberty of the Seas, featuring bold new experiences and expanded dining options [1][6][14] Group 1: Ship Enhancements - Ovation of the Seas will include a revamped pool deck, new whirlpool, and a variety of international dining options, alongside returning favorites like the FlowRider surf simulator and SeaPlex [7][8] - Harmony of the Seas will feature a Caribbean-inspired pool deck, over 20 dining venues, and an expanded nightlife experience with the largest Casino Royale in the fleet [9][10] - Liberty of the Seas will offer a reimagined pool deck, new Royal Escape Room concept, and diverse dining options including a new Starbucks [12][13] Group 2: Destinations and Experiences - Ovation will provide 7- to 13-night Alaskan adventures starting in spring 2026, including immersive land experiences [8] - Harmony will operate 5- and 7-night Caribbean vacations starting winter 2026, visiting locations such as St. Thomas and Jamaica [10][11] - Liberty will sail from Southampton in summer 2026, offering 7-night adventures to European destinations like the Norwegian fjords and Bruges [13] Group 3: Royal Amplified Program - The enhancements are part of Royal Caribbean's Royal Amplified program, which aims to elevate guest experiences through innovative ship designs and exclusive culinary offerings [6][14] - The program has seen success with previous amplifications, leading to increased guest satisfaction and a commitment to expanding the fleet and destination offerings [6][14]

Revenue Performance - Total revenues for Q1 2025 decreased by $10.5 million, or 3.5%, to $286.9 million compared to $297.4 million in Q1 2024[116] - Admissions revenue fell by $9.7 million, or 5.8%, to $156.1 million in Q1 2025, primarily due to a decrease in attendance and admissions per capita[117] - Total attendance decreased by approximately 59,000 guests, or 1.7%, in Q1 2025 compared to the prior year, impacted by a calendar shift of holidays[117] - Admission per capita decreased by 4.2% to $46.04 in Q1 2025 from $48.06 in Q1 2024, influenced by the admissions product mix and lower pricing[117] - Total revenue per capita decreased by 1.8% to $84.62 in Q1 2025 from $86.21 in Q1 2024[116] Operating Expenses - Operating expenses decreased by $3.6 million, or 2.2%, to $161.3 million in Q1 2025, primarily due to a reduction in non-cash self-insurance adjustments[120] - Selling, general and administrative expenses decreased by $3.7 million, or 7.8%, to $44.1 million in Q1 2025, mainly due to lower third-party consulting costs[121] Net Loss and EBITDA - Net loss for Q1 2025 was $16.1 million, compared to a net loss of $11.2 million in Q1 2024, representing a 44.0% increase in losses[116] - Adjusted EBITDA for the three months ended March 31, 2025, was $67,440 thousand, down from $79,154 thousand in the prior year[145] - Covenant Adjusted EBITDA for the last twelve months ended March 31, 2025, was $703,698 thousand[145] Interest and Tax Expenses - Interest expense decreased by $4.7 million, or 12.0%, to $34.1 million in Q1 2025 compared to $38.8 million in Q1 2024[116] - Benefit from income taxes was $1.1 million for the three months ended March 31, 2025, down from $5.6 million in the same period in 2024, with an effective tax rate of 6.2% compared to 33.4%[124] - The company reported a benefit from income taxes of $(1,063) thousand for the three months ended March 31, 2025[145] Cash Flow and Capital Expenditures - Net cash provided by operating activities was $25.7 million for the three months ended March 31, 2025, a decrease from $71.4 million in the same period in 2024, primarily due to changes in working capital[129] - Net cash used in investing activities was $56.9 million for the three months ended March 31, 2025, compared to $87.3 million in the same period in 2024, reflecting capital expenditures related to future attractions[130] - Total capital expenditures for the three months ended March 31, 2025, were $56.9 million, with $49.9 million for core projects and $7.1 million for expansion/ROI projects[132] - Net cash used in financing activities was $9.0 million for the three months ended March 31, 2025, compared to $27.3 million in the same period in 2024, primarily due to share repurchases[134] Debt and Financial Position - As of March 31, 2025, the company had $1.535 billion in Term B-3 Loans and a $700 million Revolving Credit Facility, with approximately $688.6 million available for borrowing[137] - The company had outstanding $725 million in Senior Notes due on August 15, 2029, as of March 31, 2025[138] - The company believes existing cash, cash flow from operations, and available borrowings will be adequate to meet capital expenditures and working capital requirements for at least the next 12 months[128] - The company has approximately $1.5 billion of outstanding long-term debt representing variable-rate debt as of March 31, 2025[153] - A hypothetical 100 bps increase in Term SOFR would increase annual interest expense by approximately $22.3 million with an average balance of $700 million in revolving credit borrowings[153] Other Financial Metrics - Depreciation and amortization expense increased by $2.5 million, or 6.4%, to $41.7 million for the three months ended March 31, 2025, compared to $39.2 million for the same period in 2024[122] - Interest expense for the three months ended March 31, 2025, was $34,107 thousand, compared to $38,777 thousand for the same period in 2024[145] - Depreciation and amortization for the three months ended March 31, 2025, was $41,695 thousand, an increase from $39,182 thousand in 2024[145] - Business optimization, development, and strategic initiative costs for the three months ended March 31, 2025, were $1,264 thousand[145] - The company had no material off-balance sheet arrangements as of March 31, 2025[148]

Attendance and Guest Metrics - Attendance for the first quarter of 2025 was 3.4 million guests, a decrease of approximately 59,000 guests or 1.7% from the first quarter of 2024[7] - April 2025 attendance was up 8.1% compared to April 2024[4] - Attendance for Q1 2025 was 3,391 thousand, a decline of 1.7% compared to 3,450 thousand in Q1 2024[37] Financial Performance - Total revenue for the first quarter was $286.9 million, a decrease of $10.5 million or 3.5% from the first quarter of 2024[7] - Net loss for the first quarter was $16.1 million, an increase of $4.9 million from the first quarter of 2024[7] - Adjusted EBITDA for the first quarter was $67.4 million, a decrease of $11.7 million or 14.8% from the first quarter of 2024[7] - Total revenues for Q1 2025 were $286.949 million, a decrease of 3.5% from $297.423 million in Q1 2024[29] - Admissions revenue decreased by 5.8% to $156.115 million compared to $165.809 million in the previous year[29] - Net loss for Q1 2025 was $16.133 million, representing a 44.0% increase in losses from $11.201 million in Q1 2024[29] - Operating income fell by 23.7% to $16.888 million from $22.141 million year-over-year[29] - Adjusted EBITDA for Q1 2025 was $67.440 million, down 14.8% from $79.154 million in Q1 2024[31] Revenue and Spending Metrics - In-park per capita spending increased 1.1% to a record $38.58 from the first quarter of 2024[7] - Total revenue per capita decreased 1.8% to $84.62 from the first quarter of 2024[7] - Admission per capita decreased 4.2% to $46.04 from the first quarter of 2024[7] - Total revenue per capita decreased by 1.8% to $84.62 from $86.21 year-over-year[37] - Admission revenue per capita declined by 4.2% to $46.04, while in-park per capita spending increased slightly by 1.1% to $38.58[37] Cash Flow and Debt - Cash and cash equivalents decreased to $75.665 million from $115.893 million as of March 31, 2024[33] - Total long-term debt remained relatively stable at $2.259 billion compared to $2.263 billion in the previous year[33] - The company reported a significant decline in net cash provided by operating activities, which fell by 64.0% to $25.715 million from $71.446 million[31] Capital Expenditures - Capital expenditures for Q1 2025 were $56.903 million, a decrease of 34.8% from $87.286 million in Q1 2024[31] - Total capital expenditures decreased by 34.8% to $56.903 million in Q1 2025 from $87.286 million in Q1 2024[35] - Core capital expenditures fell by 17.1% to $49.851 million, while expansion/ROI project expenditures dropped significantly by 74.1% to $7.052 million[35] Future Outlook - The company expects new records in revenue and Adjusted EBITDA in 2025, with approximately 75% of historical attendance and revenue opportunity still ahead as of April 30, 2025[4] - The company repurchased approximately 100,000 shares for an aggregate total of approximately $4.6 million during the first quarter[12] - Deferred revenue increased to $195.878 million from $152.655 million year-over-year[33]

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 encompasses 397 acres[34] - Busch Gardens Tampa Bay opened Phoenix Rising, a family suspended coaster, in 2024 and was ranked among the top 20 theme parks in North America by attendance[35] - Aquatica Orlando was ranked 3 most attended water park in North America in 2023 and opened Tassie's Underwater Twist, an immersive water slide, in 2024[35] - Aquatica San Antonio was ranked 6 most attended water park in North America in 2023 and opened Tikitapu Splash, a multi-level interactive water-play structure, in 2024[35] - Discovery Cove was ranked 19 most attended water park in North America in 2023 and is recognized as a Certified Autism Center[35] - Sesame Place Philadelphia opened 123 Playground, an interactive play area, in 2024 and was the first theme park in the world designated as a Certified Autism Center[36] - Sesame Place San Diego opened in 2022 and features an interactive Sesame Street Neighborhood with immersive character experiences[36] - Water Country USA was ranked 5 most attended water park in North America in 2023 and features attractions like Nitro Racer: Supercharged[38] - Adventure Island was ranked 7 most attended water park in North America in 2023 and opened Castaway Falls, a multi-level splash and play area, in 2024[38] - 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 2024 theme park portfolio includes a total of 74 animal habitats, 206 rides, 162 shows, and 360 other offerings[40] - The company features multiple award-winning attractions, including Pantheon, ranked 4 Best New Amusement Park Attraction for 2022[43] Financial Performance and Investments - The company has generated significant annual operating cash flow, even in years of declining performance, due to disciplined capital expenditures and cost management[30] - The company made annual targeted investments to support existing theme park facilities and attractions, critical for competitiveness and revenue growth[41] - The company has been recognized as the 9 Best Amusement Park for 2024 and 8 for 2023, with Iron Gwazi ranked 1 Best New Roller Coaster for 2022[39] - The company has faced significant inflationary pressures affecting costs of food, merchandise, fuel, construction, and labor[326] - As of December 31, 2024, approximately $1.5 billion of the company's outstanding long-term debt represents variable-rate debt[327] - A hypothetical 100 bps increase in Term SOFR would increase the company's annual interest expense by approximately $22.4 million, assuming an average balance on revolving credit borrowings of $700 million[327] Conservation and Community Initiatives - The company has invested millions annually in animal rescue, conservation research, and education, helping over 41,000 ill, injured, orphaned, and abandoned wild animals[32] - The company is committed to animal preservation and community initiatives, supporting efforts in environmental sustainability and youth development[32] - SeaWorld has helped over 41,000 animals across various species, including bottlenose dolphins and manatees, with a significant focus on manatee rescue, having assisted 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 actively engages in conservation efforts, partnering with organizations like the National Oceanic and Atmospheric Administration to protect Florida's endangered coral reefs[56] - The company has been recognized for its environmental and social responsibility, aiming to inspire guests to protect animals and the planet[48] Operational Efficiency and Management - The company’s theme parks are strategically located in geographic clusters, improving operational efficiency and allowing for multi-park pricing packages[34] - The company’s management team has an average tenure of approximately 18 years in relevant industries, enhancing its competitive position[30] - The company operates a diverse portfolio of theme parks and water parks, focusing on family-oriented experiences and innovative attractions[35] - The company benefits from significant capital investments in the Orlando area, enhancing its competitive position in the theme park market[91] Regulatory and Safety Compliance - The company is subject to various federal, state, and local regulations, including those related to animal welfare and environmental protection[94] - Recent regulatory developments include proposed amendments to the Animal Welfare Act, which may impact operations in the future[95][96] - 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 is committed to safety, with regular inspections and maintenance of rides conducted by both internal and external experts[45] Brand and Market Position - The company leverages its popular brands through licensing and consumer product arrangements, aiming to create new revenue streams and enhance brand visibility[72] - The company competes with major theme parks like Disney and Universal, leveraging its unique zoological collection and conservation efforts[91][93] - 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] Corporate Changes and Future Plans - The company changed its corporate name from SeaWorld Entertainment, Inc. to United Parks & Resorts Inc. on February 12, 2024, with a new ticker symbol "PRKS" effective February 13, 2024[105] - SeaWorld Abu Dhabi, the first SeaWorld branded park outside the United States, opened in May 2023, with funding expected to offset internal expenses[88] - The company continues to evaluate international opportunities for growth, particularly in markets with significant appeal[89] - The company has a robust plan for new rides and attractions expected to open in 2025, enhancing guest experiences[42] Employment and Workforce Diversity - As of December 31, 2024, SeaWorld employed approximately 3,300 full-time and 13,400 part-time and seasonal employees, with a diverse workforce comprising 51% women and 50% from underrepresented communities[63][64]

Financial Performance - Fourth quarter attendance was 4.9 million guests, a decrease of approximately 79,000 guests or 1.6% from the fourth quarter of 2023[10] - Total revenue for the fourth quarter was $384.4 million, a decrease of $4.6 million or 1.2% from the fourth quarter of 2023[10] - Net income for the fourth quarter was $27.9 million, a decrease of $12.2 million or 30.3% from the fourth quarter of 2023[10] - Adjusted EBITDA for the fourth quarter was $144.5 million, a decrease of $6.0 million or 4.0% from the fourth quarter of 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 3.5% 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, a decline of 15.1% compared to $89.27 million in Q4 2023[38] - Net income for Q4 2024 was $27.89 million, representing a decrease of 30.3% from $40.05 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 $1,266.2 million in 2023[38] Cash Flow and Debt - Free Cash Flow is highlighted as a key liquidity measure, although it excludes mandatory debt service requirements, which are significant[30] - Free cash flow for the year ended December 31, 2024, was $140,500, representing a significant increase of 140.6% from $58,500 in 2023[43] - Total long-term debt, including current maturities, rose to $2,263,442 as of December 31, 2024, compared to $2,125,500 in 2023[41] - 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] Operational Metrics - Total revenue per capita for fiscal 2024 increased 0.2% to a record $80.07 from fiscal 2023[18] - Key performance metrics include total revenue per capita, admission per capita, and in-park per capita spending, which help assess park performance on a per attendee basis[31] - Total revenue per capita increased by 0.4% to $78.75 for the three months ended December 31, 2024, compared to $78.42 in 2023[44] - In-Park per capita spending rose by 3.5% to $35.14 for the three months ended December 31, 2024, compared to $33.96 in 2023[44] Company Strategy and Future Outlook - The company expects meaningful growth and new records in revenue and Adjusted EBITDA in 2025, assuming no worse weather than experienced in 2024[11] - Management emphasizes the importance of Adjusted EBITDA as it reflects the company's underlying operating performance, excluding non-cash items[28] - Covenant Adjusted EBITDA is crucial for compliance with financial covenants in the company's credit agreements, providing transparency to investors[29] - Management warns that actual results may differ materially from projections due to various uncontrollable factors[36] - The company acknowledges the impact of inflationary pressures and supply chain issues on its operations and financial performance[36] - The company is committed to maintaining transparency with investors through regular updates and filings with the SEC[36] Company Overview - United Parks & Resorts Inc. operates 13 parks across the U.S. and Abu Dhabi, offering diverse entertainment experiences and caring for a large zoological collection[32] - The company has a legacy of rescuing over 41,000 animals, showcasing its commitment to animal welfare and conservation[32] Expenses and Costs - Interest expense increased by 37.7% to $24.37 million in Q4 2024 from $17.7 million in Q4 2023[38] - The company experienced a significant increase in selling, general and administrative expenses, which rose by 10.6% to $49.87 million in Q4 2024 from $45.08 million in Q4 2023[38] - Interest expense increased by 37.7% to $49,917 for the three months ended December 31, 2024, compared to $36,250 in 2023[39] Adjusted EBITDA Definition - Adjusted EBITDA is defined as net income before income tax expense, interest expense, depreciation, and amortization, further adjusted to exclude certain non-cash and other items[54] - Covenant Adjusted EBITDA is calculated for the last twelve-month period, adjusted for net annualized estimated savings related to specified actions, including restructurings and cost savings initiatives[55]

More than 35 ways to dine and drink, resort-style pools, waterslides and more, combined with top destinations, set the stage for the boldest vacations in Europe for summer 2025 MIAMI, Aug. 6, 2024 /PRNewswire/ -- Vacationers can mark their calendars for a new way to adventure in Europe when Royal Caribbean International debuts a newly amplified Allure of the Seas in April 2025. The gamechanger is set for a more than $100 million encore of epic proportions that will combine bold experiences and must-see dest ...