Parks America (PRKA) Q3 2024 earnings summary

Executive summary

• Leadership is directly managing Aggieland to drive a turnaround within a year, with the president temporarily acting as GM and new advertising strategies being rolled out.

• Third quarter fiscal 2024 results released, with management hosting a conference call on August 13, 2024.

• Strategic actions included appointing a new president, forming a capital allocation committee, and authorizing $0.8 million in capital expenditures for Georgia Park.

• Cash management focused on proxy contest expenses (~$2.0 million), capital projects, and severance payments.

• Net income for the quarter was $67,870, down from $512,035 in the prior year, primarily due to $746,570 in one-time proxy contest expenses and a $75,000 legal settlement.

Financial highlights

• Total revenues for the quarter ended June 30, 2024 were $3.45 million, up 21% year-over-year, with park revenues up 19.8% and animal sales up 89%.

• Net income for the quarter was $67,870 ($0.00 per share), down from $512,035 ($0.01 per share) year-over-year.

• Adjusted net income for the quarter, excluding one-time items, rose to $628,375 from $315,829 year-over-year.

• Segment income for the quarter rose 57% to $1.50 million, with Georgia Park contributing $1.17 million.

• Cash and short-term investments totaled $2.85 million as of June 30, 2024, down from $4.10 million at October 1, 2023.

Segment performance

• Aggieland is under direct management by the president to drive a turnaround, with the park's future contingent on performance improvements in the next year.

• Georgia Park: Quarterly revenues $2.20 million, segment income before taxes $1.17 million; nine-month revenues $4.42 million, segment income $1.72 million.

• Missouri Park: Quarterly revenues $0.68 million, segment income before taxes $0.22 million; nine-month revenues $1.29 million, segment income $0.17 million.

• Texas Park: Quarterly revenues $0.57 million, segment income before taxes $0.11 million; nine-month revenues $1.38 million, segment income $0.10 million.

• Paid attendance increased 28.1% at Georgia Park, 15.7% at Missouri Park, and was flat at Texas Park.