SeaWorld reports record earnings

Orlando-based SeaWorld Entertainment Inc. continued to ride a wave of historic financial success as the company reported Wednesday record revenue of $565.2 million in its most recent quarter.

The company’s third quarter, which ended in late September, is the company’s sixth consecutive period of record results despite Hurricane Ian closing SeaWorld Orlando for three days and Busch Gardens Tampa for four.

But even as increased prices and guest spending helps its earnings climb, SeaWorld leaders said they are still struggling to recoup international and group visitor numbers that drastically fell during the COVID-19 pandemic and dealing with understaffing that has lessened potential profit.

Still, the company is looking toward growing offerings at its existing theme parks and building new resorts, such as a theme park and marine research facility in Abu Dhabi expected to open next year.

Poor weather conditions, including Hurricane Ian, decreased SeaWorld’s parks attendance by around 90,000 guests last quarter, CEO Marc Swanson said during a Wednesday earnings call.

SeaWorld’s parks saw 7.3 million guests in the company’s third quarter, an increase of 100,000 from the same period in 2021. The

company does not break down attendance by park.

The parks are seeing an uptick in U.S. visitors compared with pre-pandemic 2019, but total visitor numbers dropped by 800,000 guests from 2019’s third quarter due to the combined effects of the hurricane, a calendar shift and a continuing slump in international and group visitors, a company report said.

SeaWorld’s total revenue for 2022’s third quarter was $91.5 million higher than 2019’s, an increase of more than 19%. Guest spending in the theme parks contributed to those gains, with per capita admission increasing 4% and visitor spending jumping over 10% compared to 2021’s third quarter and over 29% and 35% respectively compared to 2019’s.

SeaWorld’s parks are still dealing with less-than-optimal optimal staffing, CFO Michelle “Chelle” Adams said, even as the company “moderately” bumped the base pay rate at its parks.

But changes to labor and staffing are on the table as the company plans to cut costs. Cost efficiency initiatives introduced in a financial presentation Wednesday included cutting overtime, coordinating labor staffing with attendance volumes and plans to “design and deploy [a] company-wide workforce management program and labor strategy.”