United Parks & Resorts (PRKS) Q4 2025 earnings summary

Executive summary

• Fiscal 2025 results fell short of expectations due to declines in attendance, revenue, and net income, driven by uneven consumer environment, negative international tourism trends, volatile weather, and fewer operating days.

• Record in-park per capita spending achieved in Q4 and for the full year, despite lower attendance and fewer operating days.

• Management is implementing new cost controls and launching new attractions, events, and enhanced marketing for 2026 to drive growth.

• Significant share repurchases in 2025 and early 2026 (over 6.7 million shares, ~12% of outstanding) reflect strong cash flow and confidence in long-term value.

• Numerous industry accolades and animal rescue efforts recognized in 2025, highlighting park quality and guest experience.

Financial highlights

• Fiscal 2025 revenue: $1.66 billion, down 3.6% year-over-year; attendance 21.2 million, down 1.8%; net income $168.4 million, down 26%; Adjusted EBITDA $605.1 million, down 13.6%.

• Q4 2025 revenue: $373.5 million, down 2.8%; attendance: 4.8 million, down 2.6%; net income $15.1 million, down 46% (includes $7.6 million one-time bad debt write-off); Adjusted EBITDA $115.2 million, down 20.3%.

• In-park per capita spending hit record levels: $35.89 in Q4 (up 2.1%), $36.81 for fiscal 2025 (up 1.0%).

• Deferred revenue at year-end $143.3 million, down 4.7% year-over-year; pass base down ~4%.

• Free cash flow for fiscal 2025: $162.6 million, down 29.8%; capital expenditures: $217.5 million.

Outlook and guidance

• No formal guidance for 2026, but management expects growth from new attractions, events, improved cost discipline, and enhanced marketing.

• Discovery Cove advanced booking revenue up high single digits; group booking revenue pacing up over 50%.

• Cost initiatives targeting $50 million in gross reductions across labor, OpEx, SG&A, and COGS.

• Minimum wage increases in Florida and San Diego expected to pressure costs in 2026, with plans to offset via pricing and efficiency.

• Sponsorship business expected to exceed $30 million in revenue in coming years.