Merlin set for a spell of growth
MERLIN Entertainments has vowed to bounce back with a defiant “open for business” message despite losing some of its magic with funseekers after recent terror attacks.
The £5billion FTSE 100 group behind attractions such as Madame Tussauds, Sea Life centres and the London Eye, had already seen a downturn in the number of daytrippers after the Westminster attack in March, with domestic demand weakening further after the atrocities in Manchester and at London Bridge over the past month.
Merlin, the world’s second biggest visitor attractions group after Walt Disney, said its Legoland and resort theme parks, which include Alton Towers and Thorpe Park, have been trading in line with expectations.
But it admitted that a number of its UK parks have been “adversely affected in recent weeks by the terror attacks and subsequent heightened security measures”.
The setback follows a period of bumper trading for its London attractions as a weaker pound lured more overseas visitors to the capital. Its shares fell 13½p to 489½p.
Merlin chief executive Nick Varney said that, given the typical lag between holiday bookings and visits, foreign visitor numbers over the next few months could also be adversely affected.
He said: “The impact of recent terror attacks on our London attractions is unclear at this stage. What is clear, however, is that London has bounced back before and will do again.
“I have every confidence in the longerterm resilience and growth trajectory of the market. London is very much open for business, welcoming visitors from the UK and from around the world to this exciting and vibrant city.”
He highlighted Merlin’s global presence, with the group generating a third of revenue and 70 per cent of profits outside the UK, adding: “This proportion will only grow over time as we continue to invest internationally. I remain confident in the company’s underlying growth prospects.”