Revenue Generation - Revenue is primarily generated from theme park admissions and purchases of food and merchandise within the parks[23] - The company generates most of its revenue from admission ticket sales to theme parks, utilizing travel agents, ticket resellers, and direct sales through websites and social media[75] - In-park offerings, including food, beverage, and merchandise, contribute significantly to revenue, with a focus on high-quality, diverse culinary experiences and sustainable sourcing[78][79] Impact of COVID-19 - The COVID-19 pandemic significantly impacted attendance, with international and group-related attendance declining from historical levels[25] - All 12 theme parks were reopened by the end of Q2 2021, operating without COVID-19 related capacity limitations[26] - The company faced increased turnover and staffing challenges due to the labor market and COVID-19, impacting guest experience and operational efficiency[29] - The theme park industry is recovering from COVID-19 impacts, with improved attendance levels and a strong consumer value proposition compared to other entertainment options[97] New Attractions and Developments - In March 2022, Sesame Place San Diego park opened, expected to operate more days than the park it replaced[32] - In 2022, SeaWorld Orlando opened Ice Breaker, a quadruple launch coaster, while SeaWorld San Antonio introduced Tidal Surge, the world's tallest and fastest Screaming Swing[7] - Busch Gardens Tampa Bay opened Iron Gwazi in 2022, recognized as the tallest hybrid coaster in North America and the world's fastest and steepest hybrid coaster[7] - Aquatica Orlando, ranked 4 most attended water park in North America, opened Reef Plunge in 2022, a body slide that passes through an underwater habitat[7] - The company continues to expand its portfolio with new attractions and parks, enhancing guest experiences and driving attendance growth[7] - In 2022, the company opened numerous new rides and attractions, including 5 of the top 10 Best New Amusement Park Attractions, led by Ice Breaker at SeaWorld Orlando, which ranked 1[47] - The company plans to introduce new rides, attractions, events, and upgrades in every park for 2023, indicating a strong line-up of offerings[47] Animal Care and Conservation - The company is committed to animal rescue and conservation, having helped over 40,000 wild animals[36] - The Sesame Place park in Pennsylvania is the first theme park globally to achieve Certified Autism Center designation[38] - Discovery Cove, an all-inclusive marine life theme park, offers intimate experiences with marine animals and was also designated a Certified Autism Center in 2019[8] - The company is committed to animal care, with a team of board-certified veterinarians and onsite animal hospitals at each park[55] - The company has helped over 40,000 animals across various species through its rescue operations[59] - The manatee rescue facility at SeaWorld Orlando is set to double in size to accommodate the growing number of manatees in crisis[59] - The company is accredited by the Association of Zoos and Aquariums (AZA) and the Alliance of Marine Mammal Parks and Aquariums (AMMPA) for its zoological programs[54] Sustainability Initiatives - The company has invested in renewable energy projects, including a solar carport system at Sesame Place San Diego that generates up to 90% of the park's annual energy needs[66] - The company has removed all expanded polystyrene products and plastic straws from its parks as part of its waste management initiatives[68] - The company has added a sustainable, plant-based burger to its menus at all parks in 2019 to meet growing guest demand[69] Workforce and Management - The company employs approximately 3,200 full-time employees and around 11,900 part-time and seasonal employees as of December 31, 2022[70] - The management team consists of approximately 48% female and 34% from minority ethnicities, with the overall workforce being 51% women and 56% from minority ethnicities[71] Financial Performance and Risks - The company generated significant operating cash flow in 2021 and 2022, recovering from the impacts of the pandemic[38] - The company has substantially reduced or deferred capital expenditures since March 2020 due to COVID-19, focusing on essential investments[47] - As of December 31, 2022, approximately $1.2 billion of the company's outstanding long-term debt represents variable-rate debt[337] - A hypothetical 100 bps increase in LIBOR would increase the company's annual interest expense by approximately $15.8 million, assuming an average balance on revolving credit borrowings of approximately $390.0 million[337] - The company's financial risk management aims to reduce the potential negative impact of interest rate and foreign currency exchange rate fluctuations[336] Regulatory Compliance and Industry Competition - Regulatory compliance is critical, with operations subject to various federal, state, and local laws, including the Animal Welfare Act and the Endangered Species Act[101] - The company has submitted comments on proposed regulations affecting animal welfare, indicating active engagement in regulatory discussions[103] - The theme park market is highly competitive, with major competitors including The Walt Disney Company and Universal Parks and Resorts, among others[98] Brand and Marketing Strategies - The company has expanded its brand through licensing agreements, including partnerships with Sesame Workshop and Anheuser-Busch, enhancing brand visibility and consumer loyalty[80][92] - Corporate sponsorships and strategic alliances are sought to enhance brand value and drive mutual business gains, contributing to conservation efforts[84]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35883 SeaWorld Entertainment, Inc. (Exact name of registrant as specified in its charter) Delaware 27-1220297 (State or other ju ...

Financial Performance - Total revenues for the three months ended March 31, 2022, were $270.7 million, a 57.5% increase from $171.9 million in the same period of 2021[121] - Operating income improved to $10.0 million, compared to an operating loss of $18.9 million in the same period last year[121] - Net loss decreased to $9.0 million, an 80.0% improvement from a net loss of $44.9 million in the prior year[121] - Adjusted EBITDA for the three months ended March 31, 2022, was $65.9 million, up from $25.2 million in the same period of 2021, reflecting improved operational performance[158] - Covenant Adjusted EBITDA for the last twelve months ended March 31, 2022, was $729.8 million, indicating strong compliance with financial covenants[158] Attendance and Revenue Breakdown - Attendance increased to 3.4 million guests, representing a 53.7% rise compared to 2.2 million guests in the prior year[121] - Admissions revenue reached $150.9 million, up 57.5% from $95.8 million in the previous year[121] - Food, merchandise, and other revenue for Q1 2022 rose by $43.7 million, or 57.4%, to $119.8 million compared to $76.1 million in Q1 2021, attributed to increased attendance and in-park per capita spending[123] - Total revenue per capita increased by 2.5% to $79.54 from $77.63 in the previous year[121] Operational Efficiency and Challenges - The company continues to face staffing challenges and inflationary pressures impacting operational efficiency[107] - The operating environment has improved as COVID-19 related capacity limitations have been eliminated, although uncertainties remain regarding future impacts[105] - Operating expenses for Q1 2022 increased by $45.2 million, or 41.9%, to $152.9 million compared to $107.8 million in Q1 2021, primarily due to increased labor-related costs[125] - Selling, general, and administrative expenses for Q1 2022 rose by $14.6 million, or 46.4%, to $46.1 million compared to $31.5 million in Q1 2021, mainly due to increased marketing-related costs[126] Cash Flow and Capital Expenditures - Net cash provided by operating activities in Q1 2022 was $70.8 million, significantly higher than $18.4 million in Q1 2021[141] - Capital expenditures for the three months ended March 31, 2022, totaled $35.1 million, significantly higher than $15.3 million in the same period of 2021, with core expenditures at $23.0 million and expansion/ROI projects at $12.1 million[144][145] Debt and Interest Expense - As of March 31, 2022, total indebtedness included $1.194 billion in Term B Loans and $725.0 million in Senior Notes due August 15, 2029, along with $227.5 million in First-Priority Senior Secured Notes due May 1, 2025[150][151] - Interest expense decreased by 18.0% to $25.4 million from $31.0 million in the same quarter of 2021[121] - A hypothetical 100 bps increase in LIBOR would increase the company's annual interest expense by approximately $15.2 million, assuming an average balance on revolving credit borrowings of approximately $385.0 million[171] Market Risks - The company is exposed to market risks from fluctuations in interest rates and, to a lesser extent, currency exchange rates[170] - The company manages interest rate risk primarily by managing the amount, sources, and duration of its debt funding[171] - The adverse impacts of the COVID-19 pandemic on the company's business and financial performance are discussed in the "Risk Factors" section of its Annual Report[172]

Revenue Generation - The company generates revenue primarily from theme park admissions and sales of food and merchandise within the parks[22]. - The company generated most of its revenue from admission ticket sales, utilizing demand-based pricing strategies to maximize revenue[73]. Impact of COVID-19 - The COVID-19 pandemic significantly impacted financial results, with temporary park closures and reduced attendance affecting operations[26]. - The COVID-19 pandemic significantly impacted group events in 2020 and 2021, affecting overall attendance and financial performance[81]. - The adverse impacts of the COVID-19 pandemic on business and financial performance are discussed in the risk factors section[327]. Theme Park Operations - In 2021, all 12 parks were operational without COVID-19 related capacity limitations by the end of Q2[25]. - Year-round operations began at SeaWorld San Antonio and select days at Busch Gardens Williamsburg and Sesame Place in 2021[30]. - The company operates 12 theme parks with over 650 attractions, including 79 animal habitats and 190 rides, appealing to a broad demographic[32]. - The theme park portfolio includes 79 animal habitats, 190 rides, and 121 shows, with a total of 274 offerings available in 2021[40]. Animal Welfare and Conservation - The company is committed to animal rescue and conservation, having helped nearly 39,900 wild animals over its history[34]. - The company has a comprehensive approach to animal welfare, focusing on physical, behavioral, and population health, and participating in Species Survival Plans[55]. - The company has invested significantly in animal care, with onsite animal hospitals at each park and a focus on behavioral health advancements[54]. - The company is committed to conservation efforts, partnering with organizations to protect endangered species and their habitats[61]. New Attractions and Investments - Significant capital investments are made annually to support existing facilities and develop new attractions, crucial for revenue growth and guest retention[41]. - In 2021, the company opened Riptide Race at Aquatica Orlando and plans to launch four of the nine most anticipated roller coasters in 2022[42]. - New attractions scheduled for 2022 include Ice Breaker, Iron Gwazi, Emperor, Tidal Surge, Pantheon, Reef Plunge, and Riptide Race, enhancing the guest experience[44]. - Partnerships with conservation organizations have been established for new rides, focusing on animal rescue and climate change awareness[45]. Guest Experience and Services - The company offers a variety of in-park services, including merchandise, quick queue passes, and cabana rentals, aimed at enhancing guest convenience and experience[77]. - The company introduced new rides including Rapids Racer and Wahoo Remix, enhancing guest experiences with features like synchronized light and sound elements[51]. Staffing and Labor Market - The company has increased turnover and staffing challenges due to the current labor market, leading to wage pressures in 2021[28]. - As of December 31, 2021, the company employed approximately 2,800 full-time and 11,400 part-time and seasonal employees, with a diverse workforce composition[67]. Sustainability Efforts - The company has made significant investments in sustainable operations, including a solar panel project that generated nearly 100% of Aquatica San Diego's annual energy use in 2019[63]. - The company has removed all single-use plastic straws and shopping bags, and has been recognized for its recycling efforts, including being named "Recycler of the Year" 20 times by the City of San Diego[65]. - The company has implemented a Responsible Food Sourcing Policy, achieving 100% cage-free eggs and expanding plant-based food offerings[66]. Regulatory Environment - The company is compliant with various federal, state, and local regulations, including those related to animal care and environmental protection, although future changes may require significant expenditures[99][100]. - The company faces a rapidly changing regulatory environment, including impacts from COVID-19 and potential changes in labor costs and tax laws, which could adversely affect financial conditions[104]. Financial Risks - The company is exposed to interest rate risks, with approximately $1.2 billion of outstanding long-term debt being variable-rate[326]. - Inflation has significantly impacted operations, affecting costs of food, merchandise, and construction[324]. - A hypothetical 100 bps increase in LIBOR could increase annual interest expense by approximately $11 million if revolving credit borrowings average $385 million[326]. Corporate Sponsorship and Partnerships - The company seeks long-term corporate sponsorships that align with its values, contributing to marketing, media exposure, and conservation efforts[82]. - Licensed consumer products are being developed to drive sales beyond theme parks, with strategic alliances established with brands like Sesame Street and Build-A-Bear to enhance brand visibility and consumer loyalty[78]. International Expansion - The company is progressing on the SeaWorld Abu Dhabi project, with construction on track for completion by the end of 2022, indicating potential international market expansion[94]. Competition - The company competes with major theme parks like Disney and Universal, leveraging its unique offerings and strong brand recognition to attract visitors[96][98].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) For the quarterly period ended September 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35883 SeaWorld Entertainment, Inc. (Exact name of registrant as specified in its charter) Delaware 27-1220297 (State or other jurisdiction of incorporation or organization) 6240 Sea Harbor Drive Orlando, Florida 3 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35883 SeaWorld Entertainment, Inc. (Exact name of registrant as specified in its charter) Delaware 27-1220297 (State or other ju ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 (Exact name of registrant as specified in its charter) Delaware 27-1220297 (State or other jurisdiction of incorporation or organization) 6240 Sea Harbor Drive Orlando, Florida 32821 (Address of principal executive offices) (Zip Code) FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K For the fiscal year ended December 31, 2020 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-35883 SeaWorld Entertainment, Inc. (Exact name of registrant as specified in its charter) Delaware 27-1220297 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) | Title of each clas ...