Disney World's Top Rival Is Profitable Again, But Will It Last?
Central Florida's theme parks have come a long way since reopening months into the pandemic, and the first one to post financial results this earnings season is surprisingly back in the black. Universal Orlando parent Comcast (NASDAQ: CMCSA) announced on Thursday that its theme parks business turned a profit in its latest quarter, a welcome feat for an industry that has faced a slew of challenges to get going again.
Comcast's theme park segment posted revenue of nearly $1.1 billion for the three months ending in June, understandably higher than the $136 million it rang up a year earlier when its parks were largely closed. Universal Orlando didn't reopen until a few days into June of last year, and even then it was mostly locals heading over with a lot of social distancing safeguards and travel restrictions in place.
The real surprise for the segment is the $221 million in positive adjusted EBITDA for the quarter, and that includes Comcast shelling out $150 million on pre-opening costs for Universal Beijing. It's an encouraging sign, and it bodes well for theme park rivals Disney (NYSE: DIS) and SeaWorld Entertainment (NYSE: SEAS) that will be be discussing the same three-month period in a few days. SeaWorld Entertainment reports on Thursday morning. Disney follows six days later.
Source Fool.com
