HTS Group Ltd provides a complete design, system integration, installation and maintenance package to the transportation, traffic engineering, parking and sports timing industries in New Zealand,…read more
Merlin Entertainments sees profits fall through first half of 2018
Global attractions operator Merlin Entertainments has reported that while revenue across its operations increased by US$31.4 million for the first half of the year, it has experienced a decline in operating profits, which fell by US$13 million.
For the six months to 30th June, revenue was US$927 million, rising from US$895.7 million, for the same period in 2017, representing a 3.5%.
Operating profits saw a significant fall, down to US$82.4 million - a 14.3% decline. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) also dropped slightly, down 1.3% to US$187 million, compared to US$188.3 million for the same period in 2017.
According to Merlin, the decline in profit was due primarily to adverse foreign exchange movements and a higher depreciation charge due to new business development.
Explaining the results, Merlin Entertainments Chief Executive Nick Varney advised “in the existing estate we have been pleased with trading in the resort theme parks operating group.
"We've had strong customer reception to our product investments and we continue to see the anticipated recovery at Alton Towers. The business has also undoubtedly benefited from the recent warm weather in Northern Europe which due to the natural balance of our portfolio has conversely had an adverse impact on our indoor Midway attractions.
"Having so far traded in line with expectations we are now entering our peak season, where we generate the majority of our annual profit. With many exciting new initiatives and launches to come in the future, we remain confident in our long term prospects."
Merlin has a number of developments currently in progress at its visitor attractions worldwide, including new Midway attractions including Justice League at Madame Tussauds Orlando, Florida, USA and Sydney; the Lego City: Deep City Adventure at Legoland California, USA; the Wickerman wooden coaster at Alton Towers in the United Kingdom; and the Peppa Pig additions at Heide Park in Germany and Gardaland, Italy.
Merlin is also continuing its initiative to turn its theme parks into destination resorts, with a total of 644 new rooms opening in 2018. These include the 252-bedroom hotel at Legoland Japan, the 250-bedroom Legoland California Castle Hotel, and the 142 bedroom Pirate Island Hotel at Legoland Deutschland.
Further attractions opening this year for the operator include Sea Life at Legoland Japan, the Legoland Discovery Centre and Bear Grylls Adventure in Birmingham, Peppa Pig World of Play in Shanghai and Little Big City in Beijing.
Legoland New York is also making progress, and is expected to open in 2020.
Images: 2018 has seen the death of two guests who, at different times, fell from the Merlin operated Skywalk attraction at Sydney's Centrepoint tower (top) and Nick Varney at the launch of LEGOLAND Japan (below).
18th May 2018 - Historic levels of growth in global theme park industry in 2017
2nd April 2018 - Leisure industry gets into April Fool’s Day spirit
13th March 2018 - Illawarra Fly Treetop Walk reaches 10 years of operations
22nd February 2018 - Massive new Sea Life Nagoya to open next to Legoland Japan
22nd July 2017 - Poor ticket sales see Legoland Japan reduce opening days
27th April 2016 - Merlin Entertainments marks five years of operations in Australasia
17th October 2014 - Merlin Entertainment reveals plans for Legoland Dubai
4th July 2013 - Merlin looks to major growth in Asia
Asking a small favour
We hope that you value the news that we publish so while you're here can we ask for your support?
The news we publish at www.ausleisure.com.au is independent, credible (we hope) and free for you to access, with no pay walls and no annoying pop-up ads.
However, as an independent publisher, can we ask for you to support us by subscribing to the printed Australasian Leisure Management magazine - if you don't already do so.
Published bi-monthly since 1997, the printed Australasian Leisure Management differs from this website in that it publishes longer, in-depth and analytical features covering aquatics, attractions, entertainment, events, fitness, parks, recreation, sport, tourism and venues management.
Subscriptions cost just $90 a year.
Click here to subscribe.
The Complete Guide to Leisure Industry Products & Services.
AQUASPIN™ - Aqua Cycling Aquaspin™’s sessions have been specially designed by our Master Trainer to be challenging yet fun group cycling sessions. Each session is tailored to…read more
Smart Connection Consultancy is a boutique sport and recreation consultancy who has become one of Australia’s leading advocates for the use of synthetic sports surfaces as a vehicle to grow…read more
Supreme Heating is a proud Australian owned company specialising in the latest energy efficient heating solutions. Since 1990, Supreme Heating has designed and installed commercial pool heating…read more
Headquartered in Brisbane with an Australia-wide network of satellite offices, PaySmart is one of Australia’s largest and longest-standing direct debit billing companies. In 1996 we began…read more
TRP help health clubs, leisure centres and gyms across the globe create happy, loyal members through our user-friendly software which enables effective engagement and the delivery exceptional customer…read more
HQH Fitness is an international company that specialises in improving the health, fitness and wellness of people everywhere. We are the South Pacific distributors for Total Gym/GRAVITY Education and…read more
Polin was founded in Istanbul in 1976, and has since grown into a leading company in the waterparks industry. Today Polin is one of the world leaders in the design, production, and installation of…read more
get listed with our suppliers directory
Get your business noticed in our targeted directory. Viewed by 10,000 industry professionals per week!