Six Flags (NYSE: SIX) is the largest regional theme park operator globally, with 27 parks. Before the pandemic, the company was profitable and attracting an increasing number of guests to its venues. However, it saw its stock plummet in March 2020 with the onset of COVID-19 and the closure of its parks. Since then, it has been the first theme park to re-open, and the stock has rebounded significantly, up roughly 100% in the last year.
Shareholders will be keen to know whether Six Flags can continue on its path to recovery as a good investment when it releases its Q2 earnings or will COVID-19 fears overshadow it?
When is Six Flags earnings date?
Six Flags is set to report earnings for the second quarter of 2021 before the market opens on Wednesday, July 28.
How can I listen to Six Flags’ earnings call?
To listen to the call and to access the transcript, as well as the financial statements for the quarter, all you need to do is go to the Six Flags investor relations page.
What to expect from Six Flags earnings
Earnings per share
Six Flags did not provide guidance due to uncertainties caused by COVID-19. Nevertheless, Wall Street’s consensus earnings per share estimate are $(0.07).
Investors should keep an eye on attendance trends in Q2 as re-openings continued. Earlier this year, management stated that throughout 2020 and into Q1, 2021, attendance at its parks was continuing to improve. It was also highlighted that the number of single-day tickets sales is a sign of pent-up demand, and growth in this area would be positive. Both sales and retention of season passes and season holders are critical as these guests generate more annual revenue than single-day visitors.
Six Flags estimated that it would be cash flow positive for the last nine months of 2021 in Q1. This is dependant on the attendance levels and its parks remaining open. Investors should make sure that this is trending in the right direction and watch for management updates.
Six Flags’ debt level has increased substantially last year and stood at $3.4 billion in Q1. While much of this is long-term debt, this must not spiral out of control for the company to weather the current crisis. The company has also filed for Chapter 11 bankruptcy during the financial crisis in 2009.
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Contributing Writer at MyWallSt
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