SeaWorld Entertainment Reports Profit For Q2; Announces $250 Mln Share Buyback

(RTTNews) - Theme park operator SeaWorld Entertainment, Inc. (SEAS) Wednesday reported a profit for the second quarter, compared with loss last year, as certain expenses in the year-ago period - including a $50.07 million charge on termination of advisory agreement - were absent in the 2014 quarter. Revenues, however, declined amid a drop in destination park attendance and per-capita revenues.

For the three months to June, net profit stood at $37.34 million or $0.43 per share, compared with a loss of $15.58 million or $0.18 per share a year earlier.

Prior-year results included a $50.07 million charge on termination of advisory agreement as well as a $32.43 expense on early extinguishment of debt and write-off of discounts and deferred financing costs.

On average, eleven analysts polled by Thomson-Reuters estimated the company's earnings to be $0.59 for the quarter. Analysts' estimates typically exclude one-time items.

Adjusted EBITDA totaled $126.07 million, compared with $126.96 million in the same period last year.

Quarterly revenues declined to $405.2 million, from $411.3 million last year, below the $445.29 Wall Street expected.

While overall attendance increased by 0.3 percent to 6.6 million, helped by favorable weather and shift in Easter timing, attendance at the company's destination parks declined.

The company recently signed a Letter of Intent with Village Roadshow Theme Park to co-develop theme parks in Pan-Asia, India and Russia.

The company also announced that its board has authorized a share repurchase of up to $250 million beginning on January 1, 2015.

Looking ahead, the company said it now expects revenues to be down by 6 to 7 percent and adjusted EBITDA to be down by 14 to 16 percent.