SeaWorld Entertainment Inc Essay Assignment Help
Order ID 53563633773 Type Essay Writer Level Masters Style APA Sources/References 4 Perfect Number of Pages to Order 5-10 Pages Description/Paper Instructions
SeaWorld Entertainment Inc Essay Assignment Help
SeaWorld Entertainment Inc. on Wednesday said its third-quarter earnings rose 30% as the theme-park operator reported growth in revenue per visitor and positive attendance trends, while downplaying any potential impact of a film about the company’s treatment of its killer whales.
For the year, the company raised its estimate for adjusted earnings before interest, taxes, depreciation and amortization by $2 million to between $432 million and $442 million, and narrowed its revenue view to $1.452 billion to $1.46 billion from $1.45 billion to $1.48 billion.
The Orlando, Fla., company operates 11 theme parks, including two Busch Gardens and three of its namesake destinations. The company had seen its bottom line improve on increasing revenue over the past few years.
Attendance trends showed improvement during the quarter, even as the company contends with negative publicity regarding its namesake parks’ killer whales. Though third-quarter attendance was down 3.6%, that marked an improvement from the 9.5% decline posted for the second quarter. Total revenue per capita for the period grew to $60.74 from $56.80 in the prior-year period, driven by higher prices for admission, food and merchandise, as well as increased offerings at the parks.
“Growing attendance is not our focus,” Chief Executive Jim Atchison said in an interview. “Our focus is driving our financial performance.”
The company has faced a public-relations uproar following killer whale trainer Dawn Brancheau’s 2010 death, which recently has been stepped up as the documentary film “Blackfish” gains exposure to a broader audience. The film looks at the deaths of SeaWorld trainers and the treatment of the killer whales held in captivity and trained to perform tricks to entertain audiences.
SeaWorld, which has been criticized for its response so far to the controversy surrounding the film, still hasn’t felt much impact from the film, Mr. Atchison said.
“I scratch my head if there’s any notable impact from this film at all, and I can’t attribute one to it,” the CEO said in an interview, adding: “Ironically, our attendance has improved since the movie came out.”
“Blackfish” debuted at the Sundance Film Festival earlier this year and began a limited theatrical run in July. The film is now available on DVD and aired late last month on CNN.
According to Mr. Atchison, October was the company’s best-performing month this year, adjusted for seasonality, and November “is following similarly.”
Mr. Atchison said he thinks SeaWorld “made the right call” when the company declined to participate in the making of “Blackfish,” which he said had a clear “activist agenda” from the beginning.
Meanwhile, the company was in appeals court Tuesday in an effort to overturn a Occupational Safety and Health Review Commission citation that would limit “close contact” between SeaWorld’s staff and killer whales.
For the third quarter, SeaWorld reported a profit of $120.2 million, or $1.33 a share, up from $92.3 million, or $1.11 a share, a year earlier. Revenue increased 3.1% to $538.4 million as revenue per capita–a measure of how much revenue is generated per theme-park visitor–rose 6.9%.
Analysts polled by Thomson Reuters recently expected per-share profit of $1.21 and revenue of $544 million.
The company attributed its performance in the latest quarter to strong results at its SeaWorld branded parks, continued benefits from pricing and yield management efforts, and effective cost management.
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