Six Flags Entertainment Corp (FUN) (Q3 2026) Earnings Call Highlights: Strong Cash Flow and …

• FUN
  +9.77%

This article first appeared on GuruFocus.

• Net Revenue (Q3): $1.17 billion, up 1.4% on a same-park basis.

• Adjusted EBITDA (Q3): $493.2 million, up 1.1% ($5.4 million) on a same-park basis.

• Adjusted EBITDA Margin (Q3): Held at 42%, down 13 basis points year over year.

• Net Loss (Q3): $366 million, or $3.59 per diluted share, including a $688 million non-cash impairment charge on goodwill, trade names, and long-lived assets.

• Attendance (Q3): 18.2 million, essentially flat; paid attendance grew as fewer complimentary tickets were issued.

• Per Capita Spending (Q3): Up about 1.3% to $60.51, with increases in both admissions and in-park spending.

• Passholder Base: Active base up about 7% at end of September; passholders and members made up about 61% of quarterly attendance; cross-park visits running about 5x last year’s level.

• Ride Uptime (Q3): 90.3%, up from 89.4% last year; rides per guest up nearly 3%.

• Cost Savings (Q3): About $13 million delivered, fully offsetting about $13 million of cost pressures; operated 54 more days than last year.

• Revenue (9M): Grew about $62 million.

• Adjusted EBITDA (9M): $639.5 million, up about $62 million or 11% on a same-park basis.

• Adjusted EBITDA Margin (9M): Expanded about 200 basis points to 28.3% from 26.3%.

• Trailing 12-Month Adjusted EBITDA: $806 million.

• Cost Savings (9M): About $63 million gross, or about $36 million net of cost pressures; full-year target of $70 million$80 million gross ($36 million$46 million net).

• Operating Cash Flow (9M): $498 million, up $133 million year over year.

• Capital Spending (9M): $241 million versus $408 million last year.

• Free Cash Flow (9M): $257 million, an improvement of about $300 million year over year.

• Liquidity: $1.06 billion at quarter end ($268 million cash plus revolver availability), up $298 million year over year; nothing drawn on revolver.

• Debt Reduction: $275 million reduced year to date; net debt down about $200 million in the quarter to approximately $4.7 billion; net leverage improved to 5.8x from 6.1x; about 70% of debt fixed rate with no immediate maturities.

• Q4 Outlook: Same-park adjusted EBITDA expected at approximately $140 million$150 million versus $166.9 million last year; October attendance down 9%.

• Operating Days: Full-year expectation of approximately 4,868 days, 46 more than 2025; about 60 more days in Q4.

• Six Flags Over Georgia: Potential payment of approximately $370 million in January to buy remaining partnership units; current annual distributions to partners of about $26 million.

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