SEAS - Earnings call transcript Q1 2019 | United Parks & Resorts Inc.

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Operator

Good morning, and welcome to the SeaWorld Entertainment First Quarter 2019 Earnings Conference Call. All participants will be in a listen-only mode. [Operator Instructions] After today’s presentation, there will be an opportunity to ask questions. Please note this event is being recorded. I would now like to turn the conference over to Matthew Stroud, Vice President of Investor Relations. sir. ahead, go Please

Matthew Stroud

and good call conference Welcome the on being call. press press Replay will this recorded. and Relations and our Quarter at release be website webcast SeaWorld's website found XXXX our call. A www.seaworldinvestors.com. morning issued was earnings Today's for release available available morning, you, following on to Investor this everyone. information First and is can Thank be call the is in

Gus are Chief the morning then this Chief morning, Executive will Swanson, me Joining open first call and Marc and Antorcha, questions. financial Financial we up Officer; your we will results, This Officer. to quarter review our XXXX

and forward-looking our annual with laws. SEC our report begin, filed quarterly the be are like on forward-looking Before I actual statements statements, from including and forward-looking uncertainties statements that These reports different on Factors to be These the We to XX-K website. in the no identified would available factors statements. Form be XX-Q updated time time our the cause could our those update meaning and subject results undertake Exchange of federal risks everyone included to any Risk number of materially in may Securities Form risk to filings will and the to that with a securities of we remind within Commission. are on contain will comments that section obligation those today from

EBITDA release and filings on information and with our our which measure. the is comparable reference EBITDA, a is be in non-GAAP reconciliation to regarding can available we earnings GAAP most forward-looking More found in will measure our on SEC. website addition, the the included statements our also call, of adjusted In financial adjusted

would Antorcha. I the Gus call to Gus? to over like turn Now,

Gus Antorcha

I'm company, month Matthew. and Today Good pleased thank everyone, third for the joining my solid financial first you, at quarter to marks and results. us. Thank report morning, you

We revenue year and total the breaks and despite the we For quarter some prior initiatives. consecutive and spring We rides, communications first continued the and from results first quarter, initiatives first year. Easter second of fifth this EBITDA. believe in quarter continued reception primarily to quarter the strategies, were adjusted and guest compelling our by growth our reduction in events, to of pricing quarter and the new marketing attractions improved efficiency and cost the school compared unfavorable weather our driven realization cost grew positive attendance, new and shift the attendance and of saw the the our implementation organic revenue of

believe the to We pass provide pass program. predictability loyalty revenues. highly offerings our communicating improve provide pass our are we better the value success in recurring see our base increase and job continue the compelling of significant to value to we to our our industry, pass believe our guests offerings and among of scope guests nature and and with best a our the doing some season We with season

the have of on per to to from be of first spending. high higher hit growing other our demonstrated the the per we in-park continue tourist shift This we to decreased due cap culinary, spend, cap. year. encouraged per quarter of some continued record Admissions spring and pricing total the shift school per to second which which the quarter, revenue percentage this previously breaks cap cap of grow and by part to admissions first due timing company. Easter visitation, to see on ability drive related the quarter in-park which merchandise focused admissions per in-park to in to quarter In continue implementation a opportunities we've for forward. grow new strategies, the mix the fell We discussed spending and our revenue total this We're continued incremental and going and cap, visitation later expect per cap

We an higher in lower but which also total mix, leads to admissions per pass revenue increase saw cap.

we to total XXXX strategies which that both expect higher refine will attendance should will and per expect higher we You pricing to goal continue drive the our from with higher cap. in revenue, come

with and cost coming from ever to to directly XX year expect rides, execute flow almost and of our We benefits efficiencies culture reductions reduction the that enhanced events to new diligently parks. attractions on one and EBITDA. working see attractions expense efficiency, brand-new continue we're or adjusted our every XXXX for the to and believe company's additional efforts biggest We will we will our be identify of

today, land at SeaWorld Sesame Later at Williamsburg; Place. USA. of Sesame at month, will Ihu's Curl an at and Sea Riptide Street Tidal we've opened Busch Orlando; Breakaway As Turtle Orlando; Reef, Sesame Diego Garden Coaster Antonio; Tigris Country Swinger Water at Street SeaWorld at and San San Gardens Water Neighborhood Antonio; Finnegan's at Falls at Aquatica open Tampa; KareKare all-new Rescue Busch this San SeaWorld Aquatica Twister Cutback we Flyer at and

on in visit brand-new season, have something one and pleased with before are attractions and schedule year, long our on opening pace of parks. peak many this experiences We coming rides providing a time to done time. a every reasons of to and the We're rides kind open all we haven't the market as our to quite summer

promotion XXth parks. Antonio one-of-a-kind event in this San our award-winning year Orlando. Gardens Diego we're free and will guests. Sesame summer and of in of guest all a returns many back our SeaWorld was a Tampa, in returning bring starting June. new our At Busch promotion back San in offering beer of Parade successful summer. several SeaWorld bring year Also to month, park's Electric will summer is spring favorite This and long celebration This each Orlando free very anniversary. opportunities SeaWorld Orlando with last Look promotion Inside beer this also events Ocean We the behind-the-scenes for

Busch quarter as But parks feature our additional will intensely significantly the Summer we the through head we to we with have and popular of financial into communicated, event. return there's XXXX. addition, pleased as Nights execute we're We're peak on focused of opportunity Gardens In strongly drive improved continuing summer the believe our progress to our performance, first season.

We’re enthusiastic operational the increasing ability to financial about and future and deliver our improvement. meaningful

Wang, results under filing loan secure of obligations. had relevant brings let Now has of common isn't There are X-K results. questions on one do this matters on obligation. their to subsidiary yesterday's of turn its previously matters loan Yoshi Zhonghong believes that, and shareholder, me our about skill its we to remain Marc Board on UK, experience lenders, between the I'd Zhonghong and any and pledged anything Chairman of a to its on of asked defaulted direct the lenders. and/or we matter, on to Zhonghong's set operations. events, a connection primarily its reported and financial Sun loan, our that its SeaWorld his effect the company. the discuss Wise Board position the These with defaulted resigned to representatives these Zhonghong, material and Maruyama Zhonghong we matter largest the the given shares and lenders Board. to Board our our can call from have value Zhonghong remain business, with like With the in financial Yongli to turn expect Board, In related comment to to has The ownership these stock not the SEC this shares. Board the Yoshi Board have of and and or over our taken else to

Marc Swanson

Gus, good Thanks, morning and everyone.

we As Gus reported quarter solid financial results. mentioned, first

a the admissions was which were including offset by decline marketing unfavorable of and pricing the of First by total our spending, that drove to impacted standpoint, We with in attractions a and break per pricing by strategies communications from quarter increase lower related an in-park increased and pass our extra parks impacted and earlier. The breaks quarter attendance demand. an break that factors improved all mix capita. by school referred and reception in impact the increased to spring holiday the These year day strategies visitation. The visitation From of along our results the demand offset schedules some some combination school quarter positively January. Gus this factors, partially shift capita of initiatives, and of Easter Easter new revenue per and in believe and our improved increased per in capita weekend was spring the attendance of timing revenue increased compelling during weather in first March attendance partially and timing and primary the resulted early events, admissions later negatively positive X.X%. rides of improved from new

increase increase net of or loss in timing During the the separation-related of million We quarter reported in the The by of in-park the revenue of million, $XX.X certain per first the an X.X%, compared attributable to of attendance quarter, by EBITDA prior million decrease cost offset XXXX. $XX.X loss costs. growth quarter. million quarter adjusted to $XX.X revenue million, initiatives a total $XXX.X $XX an the XXXX. savings reported EBITDA was we per partially an The a of $X.X adjusted We in results improvement and compared capita. $X.X increase compared in million, and to expenses. of of of from Net spending generated improvement capita improvement first the driven pretax million, of expenses an admissions approximately revenue, realization to year includes of

the in revenue capita in by a total an per First offset XXXX per spending. first capita in-park admissions driven quarter was of $XX.XX by in increase to compared partially quarter $XX.XX capita primarily per decrease

by opportunities our expense execute reduced Last more and operate make identified on year, to we efficiently. cost as we business, EBITDA redundant reduction that expenses margin. We our streamline front on continue and progress significant evidenced to declining expanding began adjusted the to

opportunities into we continued efficiencies. and for to reduction as cost continue efforts look Our have XXXX additional

Now turning our to balance sheet.

current first the as the million, million quarter first in Our the balance $XX when revenue $XXX.X quarter. increase quarter. reported year We to approximately the expenditures X% compared of end nearly of of an in capital was deferred prior

and many $XX amount approximately expenditures in in for associated expansion season. to noncore cost XXXX. As are $XX We we the industry in million and peak excludes time the with anticipate these reduction this complete including you summer in opportunities revenue in properties, capital capital new in be seasonal expenditures high capital half expenditures expenditures, as core XXXX. of capital projects to work still are capital first new to million $XXX anticipate We aware, This million is particularly and/or opportunities. the ROI expenditures range

as release, including the credit stated in by using savings calculated morning's is X.XXx, noted earnings EBITDA XX net As XXXX this for March our months adjusted ended which cost ratio amended was our in XX, agreement. leverage estimated

We of are financial with performance in the strength first continued the of our pleased quarter XXXX.

opportunity However, we have improvement. further significant we strongly for believe

reducing attendance We will continue while continuing on efficient more to operate our additional identify and focus business. and to unnecessary costs ways driving to revenue

additional delivering $XXX our of We achieving us are which we million making EBITDA. of to confidence are progress, our adjusted way to gives goal million on XXXX that $XXX

over Now final let call the Gus? turn share Gus, back will some thoughts. to me who

Gus Antorcha

Marc. you, Thank

some the we Before your have closing comments. open to call questions, I

many than As are including in XX,XXX animal save of organizations, efforts total. to more know, of leading one rescue you of proud are rescues protect and the we and our animal we world's wildlife,

world-class consider habitat Cove we over of Orlando SeaWorld to their was the of expectation and center that autism first be the actions care these also world. few leading and the Sesame success. become Education dedication our are to animals. certified the our in It of our care by the followed example quarter, sister and first parks. service park each the to During hope are meaningful destination family and to first certifications park accreditation reach our is April leaders to committed ago joins receive wild of without these ambassadors certified. one this to our outstanding important the world We just parks Aquatica Board International Continuing SeaWorld rescue protect wonders our parks, our of A who of These experiences and animals, Standards. a could that team animals. is we in certifications Orlando in providing designation to not Credentialing in This and weeks in Discovery and the and ambassadors inspire as to our Place, park, all world's guests exceptional theme and our theme announced XXX committed of to The XXXX. guests helped They

We have of to team with and and truly them. working a terrific employees, be honored I'm excited

encouraged are we're today, heard confident the we're you've heading As the results in and by seeing business. direction our in we're

improved this extends Our years confidence performance and can coming to view beyond. strongly and over significantly we the long-term deliver company believe financial the our

efficiency before, margins we growth more with profitability. we'll focused will look and we and initiatives with the As the We're Through efforts, progress about to every strategies and park of adjusted that We're have I've improving marketing effective that capital model. revenue cost will shareholder expect in business we our attendance, believe meaningfully to sharing will execution meaningful every increased a forward identify value. enhanced and future, EBITDA attractions pricing in and rides, deliver an we new result compelling said on improved our exceptional contribute and on introduction and and these execute communication excited initiatives, continue you. to events

questions. your take let's Now

Operator

comes Brett [Operator question-and-answer our ahead. with Instructions] the Andress first go today from Please Markets. question begin now will We And Capital KeyBanc session.

Brett Andress

morning. good Hey,

be prepared remarks. your guess, I in guess, repurchase shareholders? view, need So, with these be, being transfer on communication your the there? the And am open I with ownership Gus, trying after I the there does expires? of the company the to to any lockup able if comments shares, any dialogue what's have new But of of respectful shares, been Is

Gus Antorcha

thanks Sure, for question. your

questions of in a complete the transfer. So, to couple to talk to have We there. clearly them

we the lenders. And yes, so that with communicated in regard,

Beyond and really second intentions that gets they're can't repeat of Can on part when comment that. to you it planning what doing, your the question? in their

Brett Andress

repurchase the to be, on expires. after lockup view the need Yes, if able being shares,

Gus Antorcha

should the really said, again, we always and ways we back evaluate again, generally, shareholder buy at I'm to shares. will attract is opportunity value. on price and buyback I shares, buy buyback we sure Board something to on Board arise will if up the the not because it's it. And mean, can’t comment capital to way deploying cash Board. to to we mean that's Board. when it's a comment up the I looking and Okay. the really what But That we really in

Brett Andress

the time unfavorable think of color then And recouped an parks How called out understood. were the had? weather April attendance. Yes, at I guess, guess, an any then, during much my on attendance I impact more had there? and now? any of impacted? you impact have you follow-up, you that that parks What period that some And May do of

Marc Swanson

Marc. question. Hey, I Brett, that it’s can take

rest weather fact weather it we’re on a been followed that mean, California's I think yes, you've So, Texas. the out the quarter. it out pleased other I I the pretty summer significant, still had called largely it's of early in about to and going the on we're with tells we're the us. our there. say mean, I would of case, reported, so to in the and going if it in would obviously, we're that we call in California they've when through current and quarter, about you We're executing certainly had focused ahead just and was excited all impact not out April, pretty we're say well it's results I And meaningful comment What the briefly specifically on second quarter to the April, say than year.

it we're lot at will We But to we're April, execute have we're about the of I through that. on results, things excited leave summer. going the those. and with a continue to pleased for that And

Brett Andress

Thank you.

Operator

ahead. Steve question And Stifel. our comes next Wieczynski Please from with go

Steve Wieczynski

Good morning. guys. Hey,

But want drivers target this look I at million if which $XXX some first that you the like of long-term just So, the we've conservative, I and to especially reaffirmed sounds metrics of we visitation to those million, when guys we assumptions at EBITDA $XXX to of back go before, that now asked some were I look targets. very this but to think morning. you those – seem in of getting embedding guys think target

getting target is question this So are getting the XXXX the Gus I Marc, this point guess, might don't if or EBITDA but is where be I conservative? know we here, bit to a for

Gus Antorcha

strategy. still thanks targets. QX. the and for – think right. side, it's against – the cap that we're are executing commenting in view and ourselves. be we business goal what and year I really it's year, still But side. that the We're lays comment side, early. Marc outlined We're quarters, I set higher attendance But about on it's sitting in excited. on give multiple on to level whether focused the very in so that talking my We're I QX we're specific for working and early levers executing. Hi, QX on about could big about then and you per cost mean, question. ahead, we've the strategy your too the the will change it's We're the on certainly early optimistic

Marc Swanson

approach we year one half that to is our example and would with optimize kind did paths we And strategies pricing, of drive back gave of Yes, look on do I test at will year. in the if growth But we we you’ve there. more of to the you multiple will last get talked what as as say it, And continuing on lap really last feel QX similar Steve, get as caps, on those year, Marc. those, address outperform or I strategies obviously, in year. Gus there. we confident offers as that lap agree we’re areas, – this modest out late again, remainder, we this of We the started can price we increases you we’ve lay a could as per we on said. illustrative one about, to noted.

Steve Wieczynski

the in which Okay. be price first Got If question the even around attendance then shifts fair the on price the the pushback strong been you. has more increases. just we how side you’ve allow calendar at to quarter in general these and from push base increases, forward? look the it layered second say impact, as Thanks that moving guys. would your minimal with And customer was price should weather is to

Gus Antorcha

as say think on higher keep the focused are have was to trade-off you but regard volume I in course, driving and we we pricing, shifts, to on want strong volume. the price gives and of attendance total second given that’s both is, move I our And yes, second eye and in I our attendance, year. of in of push the to confident optimism the revenue to on in mentioned in cap. for that very we would in that per it half us begin cap QX, per push And an what ability, the driving EBITDA. we’re the the to between are, the year, especially ability and and opening half comments, why the metric

Steve Wieczynski

appreciate guys, Okay, it. I great. Thanks

Operator

next Alexia JPMorgan. comes our Quadrani And go from ahead. question from Please

Anna Lizzul

Anna Alexia. much is the This so for you Thank Lizzul for on question.

You opened late Orlando in March. in Sesame Street

to Just opening you manage parks much. other from could year those increases, price of Disney? you do at far. this tracking wondering potential also And how if comment in notably that’s competition potential and later Thanks of planned with upcoming Wars the expect Star increases on so price so terms your how the

Gus Antorcha

answer opening we’ve the the it. kids It’s put with how seen compelling pleased little Satisfaction positive. and they the scores look enjoy of at around, SeaWorld and it very run how the day. different into space, I’ve every with Orlando. all experience, Sesame enjoying out Street how land times really land. Thanks. are that interact there guests multiple interactives I’ll walked I’m very question. been and I’ve families technology

activities and park great the with been with it’s rides, a And out experiences for smaller a really Orlando. areas so experience It’s combines rounds SeaWorld animal have thrill we children. at and that we addition think

family, value think for unique which I think really I around question second if unique is have second vacation and then part experience. Wars, is compelling a your way about proposition, So of think a which we Star about differentiated the you a and a it’s

I think it resonates.

this a – up we are don’t that I’m we and worried not as market I opening so about parks grows, we’re benefit. other market because lands stand will to or opening clearly so And in differentiated, up rides

Discovery Disney Universal and Orlando, SeaWorld we add into Aquatica. as benefit, just investment so but naturally parks, also Cove not and will their And

Orlando. think from as become destination, and And And so will a to continues positioned we’re I Orlando very in benefit grow that. we well

Marc Swanson

been this mean, market reminder strong the Gus since growth that I’ll if Orlando that in Anna, XXs. other this mentioned, that we’ve to all people visit The think is duration. competing Orlando. Marc. that you, a as one competitor has since you the XX had been in give over throughout million I back And time, mind keep And we’ve

and So product feel we feel our good and good guess. we what about our opportunity to here with I offer, compete

Anna Lizzul

you. Thank Great.

Operator

SunTrust. And comes our go question with from ahead. Swartz next Please Michael

Michael Swartz

with question for good Gus. Maybe off everyone. morning Hey, a start

about months that positive look negative? or Now closer progress the had CEO portfolio maybe role I there that with anything surprised under or I targets the been in you a have hood, job findings the towards park foot in XX either to you’ve to laid first on is guess, a your guess that few and the these And company get how the the the days your the XXXX out?

Gus Antorcha

Great. Thank you.

our us. with guess, be my I and more this mentioned excited in This comments, looking it is incredible coming opportunity And reaffirmed. I’m significant an doubt it honestly, business my there’s just in was and opening start to outside in I sense been ahead by of mind, an me no there’s let incredible was model. honest business saying, And in. than and it’s So

is our that generate around down. up, in are capture demand, real And to coming allocation cost. progress focus our compelling we’re adding you attendance the across a As past reminder, the And and that the strategy, we’ve costs pace shows, our quarter and quarter experiences reaffirm as demonstrate, which that along is we new is a I then the shows more marketing up, on demand outlined. strategy rides, effective discipline results capital and mentioned lands, our way parks, as pricing making all so this

sense on We to excited with is the especially as So sure progress. introducing I’m that of and do. rides, we’re marketing, sustainability is in attractions, all we communications my we we need strategy, around, efforts events, But the make conservation definite rescue, And as more but a in new our to compelling to incredible need execution lineup so continue improve our and the addition, education, communicating around our The well there digital are about have and and way. progress, to we’re amazing. is initiatives. have elements

I the and been centers and at at parks has team – the think that’s the really me I’ve met an as away. blown area

And the so we communicating efforts more way. to need a make all sure the of in company we’re compelling

Michael Swartz

talk That’s Okay, target XXXX built against shifting the for where you just great. are remain helpful. executed execution can $XX And you then is to you’ve what Marc, along the larger Thanks much over How go? the are that of to And maybe to targets, against? maybe those color. savings million in left that cost in about projects some the be path? that

Marc Swanson

Sure, Michael. Yes.

savings As process we year feel making in but What as would would of and we driving we bleed eye well. is million, What fair not we’re that to into started see towards XXXX have to a obviously $XX and XXXX we’ve this tell we stress savings I’ll good that you to continual we XXXX when efficiencies. focus progress we to amount then stop but that last back very would are point. I going on get you a some began is be towards with talked an drive the about, some would year

and how etcetera, our And run for more as in about spend, business. efficiencies the of so number in consultants, and then we automation areas vendor past, of looking we’ve whether in talked use it’s a

we about feel are, we going and so where to we’re to good And execute. continue

Michael Swartz

color. the for Thanks great. Okay,

Operator

And Tim comes our with Wells ahead. Please Fargo next from go Conder question Securities.

Tim Conder

the how million, have come guess, $XX line Marc, Just, to that just for also number? a appreciate specifically, goals. question we follow-on color the have to you XXXX the if if there, I that. are reiterating may, I far the We of on there thanks we, just where And savings

we bit you’re where of revenue Can other related The with of end housekeeping both seeing the some us what the color and the year-over-year give on unit your QX? you or stand more season a in pricing either also. on terms deferred do pass little at a question’s

Marc Swanson

Yes. for Tim, I a take those of can couple you.

have don’t the So a again, we on savings. cost number specific

into progress. would we see a the we’ve press over just I And pro substantial I $XX if cost can that forward. execute look million that dive made, have think you argue, if into you and numbers you forma and at realize – we pretty release, our the savings dive going of would

gives you then comments some we I deferred our by as season And context. mainly prepared on up revenue, mentioned that remarks. the are hopefully or some that’s X% So pass in And driven I have a sitting through category. year last people our And quarter, the is, have certainly first what and we would pass more tell than this today base here you had year. pass

Tim Conder

first their And totally versus the season new both granted are conversion as general small, or pass just that what unique my pass season you guests into color pass of quarter follow-up, just I visitors, the – SeaWorld new season the guess, our you’re to prior in unique so renewals in any then base the – how maybe family? seeing holders whether in unique SeaWorld that, but trends in holders

Gus Antorcha

your visitation and XX months, you are Yes. so increase I the have we we last Tim, so I are more of unique are more pass, what kind visitors, visiting. to a an at mean, look they seeing point unique when and over can those tell obviously, people

good. that’s So

Tim Conder

Thank Okay. you.

Operator

Instructions] with Macquarie question [Operator next Please Capital. go from comes Paul ahead. our And Golding

Paul Golding

Congrats my on question. quarter. a for lot the taking Thanks

on And it’s you category around It I follow-up Just looks question mix. the part a some like on just SG&A a what give uptake SG&A. if could Pay was EZ of season solidly was color was wondering extra of wondering any could that. color year-over-year. pass I on down as driving then give color. you if

Marc Swanson

of both those Marc. take can I Paul, it’s questions.

is, are lot a we what you So of people. to October, on in EZ at and launched that a tell monthly how look cases – would I to that trying program mean, lot that, lead we’ve is appeals think payment our of if pass Pay, back with in know we a you there message, I we

payment And monthly amount you will and that finding think, Q, be what last lot was we’re of I which million accrual an will is unexpected legal year equity won’t from obviously. related appealing QX. see we is think in that had there we and people we about there be in would that initiatives some SG&A, year, savings available when about I find totally of last this is departures program, a the on the combination So tomorrow of was is had and there remainder we’ve year the I to continue the And remind then then smaller ongoing $X of file which then $X success to a executives. then to a you’ll morning, comp last million of timing cost the and element,

mix is on a to the continue cost cost we but efficiency I SG&A category it’s things, at variety that focus So would a execute savings especially to continue have standpoint, what and closely you will a we and and tremendous category. of of from on tell that

Gus Antorcha

And we’re – looking is Gus. this

to cost. technology efficiency, some multiple sourcing of we labor for whether lower at looking We’re at driving whether it’s looking drive it’s things it’s our areas adding pay costs structural whether in and what

do. which drive but and last the look our lot competition, within call are I and a cost progress, at keenly work areas made we to below our to we’ll improve costs in aware multiple been structure the we’ve of and that have down have our we’re – margins, We continue to good so still noted

Paul Golding

Great. much. Thanks so

Operator

go from Sachs. comes Goldman question ahead. with next our Prykull Chris And Please

Chris Prykull

questions. the Thanks guys. for taking morning Good

characterize bringing we a What events Just that last a mid-single-digit of looks quick to line year. capita. to from you in to of promotions one XXXX? sort in-park low- and continue as per back think would key on number on had should you’re like contributors? the It ability drive item about your How growth spending

Gus Antorcha

want comment the of some in. I’ll a Marc, you historical comment left the feel a at and to But on in high Sure. at high jump if think to level, for base. we’re I numbers, material and free there’s in-park, opportunity

materially Food has number I places. it more like and think beverage, there opportunity. I And comes is, of significant opportunity. think, in a I said,

how park. what we food upgrading offer in parks, animal can or our outside, If you our but points evolving better what the beverages that’s do comes versus how assets, and parks to guests to look evolve and a whether at what how in also and serve in number areas, we the folks generally we food leverage it we of theme offer experiences

I could there’s lot as evolving but some think doing can as more retail our lot offer. more be made a there’s Again, we there we we progress, well a there. do

So consumer I significant of opportunity keeping offering sort that to me look price evolving? at see a the product forward. it of how the we’re we’re me And Is cases with are we strikes – as it going trends offering, it keeping the is area at.

Marc Swanson

and a And thing only appealing think with one-of-a-kind collection is and really of etcetera, trainers, giving opportunities to is I I to lot up-close do you’ll experiences in you’ll see interactions. the continue animals of look more and and in parks. see us people. those us Chris, the zoological our as a more our that add, have think to Yes, that make for And we area we’re I about you would know, world-class another and zoological progress is excited

Chris Prykull

I will the then those the your Star Wars hotel guess, my of in area, in that it indicators And question trips? some helpful. any seen bookings for you you any whatever That’s I other its whether to looks like, that might track indicate California advance first reservations weeks indication the quickly. capture advanced couple out is sold at sales, Southern want you ticket have it of you call bookings fairly or guess, Great.

Gus Antorcha

look a in with and would we So It’s seen little Star California. to other hard lot there. would at this seeing suggest way given to point hard haven’t anything the is nothing we’re going the way the there QX little QX other of tracking was or suggest forward, that perform a or or it. opening. so at that a weather, But one one Wars that There trends anything it’s

Chris Prykull

rest Okay. of was year And so second appropriately? just way the timing That’s it helpful. element or the How you how just the big SG&A small the model can quarter that the quarter? first then can was the and quantify in any of it, we

Marc Swanson

a a cost I some that pushing tell is or reverse, driving of What we but what it Yes. single-digit will you savings. it I out And continual all would have on it’s millions. focus go-forward Chris, would on is tell of you, basis

execute our those on on we later So culture. to costs additional we’re can optimistic year, cost even incurred and are cost as continue savings find efficiency

Chris Prykull

sense summer. Understood. Makes and good luck for

Operator

Conder question Wells Securities. with is Please [Operator ahead. from Fargo Tim follow-up our go Instructions] And next

Tim Conder

California, locals not press the saying Just the and Southern anecdotally folks Wars the of of we’ve some in we’re are conversations for people. near Star with just had a lot going anywhere given several months,

to Any that’s did especially on international what near-term in concentrated be want it a seeing bookings? there, trends attendance the benefit. QX. advance even on from mostly or is circle commentary So Orlando, where question But other you’re I could

Marc Swanson

Marc. it’s Tim,

Easter So QX. the that press into with mentioned shifted international shift, on that numbers. some the impact We’ve in amount in of our obviously, QX tourism with there’s release just

end results, is, So the pleased year. pleased of what normalize where the would we’re April, as our of for attendance Easter and for which shift, the that international the with I sits tell you with can we’re

Tim Conder

Okay. Thank you.

Operator

to conference closing will conclude I would back like our Antorcha this question-and-answer session. Gus remarks. to any And over the turn for

Gus Antorcha

team Thank day of morning. rest want of you. performance ambassadors in for want at strong efforts contributions thank this employee and SeaWorld mission us Entertainment, behalf the animals. to their our first our quarter management thank for the you for and the I On the every to to our joining further protect to Marc I

We’re with talking coming enthusiastic we look and Thank months. about to over forward you the you. XXXX,

Operator

you The for today’s presentation. conference concluded. is now Thank attending

disconnect. now may You

United Parks & Resorts (PRKS) 7 May 192019 Q1 Earnings call transcript