Ardent Leisure shows doubling of revenue in the first six months of 2021/22 financial year

February 28, 2022

Dreamworld owner Ardent Leisure has reported results for the six months from July to December last year that show increasing revenues and a significant fall in net losses.

Revealing its results for the six months ended 31st December 2021 to the Australian Stock Exchange, the company announced a net loss of $36.8 million, a 55% reduction from its $82.3 million at the same time last year backed by a 993% improvement on earnings before interest, tax, depreciation and amortisation (EBITDA) to $43.6 million.

As a result, shares in the company rose by more than 17% on Friday.

The improved position was driven by strong performance of its US-based Main Event business, which yielded a 109.1% increase in revenue to $136.2 million (US$98.4 million), boosted the group’s operating revenue to $275.5 million, a 100.2% increase.

Despite increased earnings off the back of higher pass sales and improved attendance compared to last year, the Australian theme parks and attractions posted a $12.2 million half-year loss, up from $3.7 million at the same time last year, largely a result of a $6 million decrease in Federal and Queensland Government grants which boosted last year’s earnings.

With the improved results seen as being indicative of a recovery of the attractions and theme parks sector, Ardent Leisure Chairman, Dr Gary Weiss stated “the recent reopening of Queensland borders, easing of restrictions and successful launch of the Steel Taipan rollercoaster in December 2021 has seen the Theme Parks and Attractions business pick up demand in both local and interstate markets during the latter part of the period.

“However, this was somewhat dampened by a surge in Omicron cases and impediments to travel related with state government COVID-19 testing requirements.”

Ardent’s Theme Parks and Attractions Chief Executive, Greg Yong said the Omicron wave had foiled optimism after the re-opening of the Queensland border, adding “despite this, the business has seen increased ticket sales and attendances for the period, with January and February results suggesting demand is improving for leisure experiences.

“While it was pleasing to see our businesses operational for most of the half, demand was significantly impacted due to the Delta wave and associated border and public health restrictions.

“Although the businesses continued to incur significant costs while trading, this was not supported to the same extent seen in the earlier stages of the pandemic when the Australian Government-subsidised businesses through the JobKeeper scheme.”

Ardent Leisure has a market capitalisation of $758 million.

Image: Queues for Dreamworld’s Steel Taipan rollercoaster following its December opening.

1st January 2022 - Theme parks driving surge in Gold Coast tourism visits

26th December 2021 - Ardent Leisure drops plans for Dreamworld hotel

15th December 2021 - Dreamworld celebrates 40th anniversary with opening of its new Steel Taipan rollercoaster

11th December 2021 - Village Roadshow’s Gold Coast theme parks to include PCR testing hubs

15th November 2021 - Disney advises of revival of theme park earnings

24th October 2021 - Queensland Government launches pop-up vaccination clinics at sports clubs, theme parks and in entertainment precincts

24th September 2021 - Global attraction attendance report shows industry resilience in 2020 and the beginnings of recovery

2nd September 2021 - Ardent Leisure Chairman says group is well positioned for future growth

1st September 2021 - Ardent Leisure set for seasonal reopening of Gold Coast’s WhiteWater World

2nd June 2021 - Theme park tickets and airline rewards offered as incentives for vaccination uptake

14th May 2021 - Village Roadshow announces new investment in Gold Coast theme parks

21st April 2021 - Ardent Leisure promotes Greg Yong as Theme Park Division Chief Executive

19th February 2021 - Queensland theme parks cut opening hours as guest numbers decline

30th September 2020 - Ardent Leisure’s Dreamworld fine the biggest in Queensland workplace history

29th September 2020 - Ardent Leisure fined $3.6 million over 2016 Dreamworld deaths

28th August 2020 - Reporting massive losses Ardent Leisure expresses confidence in Dreamworld’s future

14th August 2020 - Ardent Leisure to reopen Dreamworld on 16th September

7th August 2020 - $70 million Queensland Government lifeline drives Ardent Leisure’s Dreamworld reopening announcement

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