Six Flags Entertainment Corp. Plunges After Disappointing Quarterly Results

(RTTNews) - Shares of theme and waterparks operator Six Flags Entertainment Corporation (SIX) are falling more than 20% Thursday morning after reporting disappointing second-quarter results.

Net income in the second quarter declined to $45.39 million or $0.53 per share from $70.52 million or $0.81 per share last year, driven by lower revenue and a $17 million loss on extinguishment of debt.

Revenue for the quarter declined 5% to $435.42 million from $459.79 million a year ago, impacted by lower attendance and a $5 million reduction in sponsorship, international agreements and accommodations revenue.

"This is a transitional year for Six Flags, as we reset the foundations of our business model to focus on delivering a premium guest experience, while at the same time, correcting for decades of heavy price discounting," said Selim Bassoul, President and CEO.

SIX is at $20.56 currently. It has traded in the range of $19.87-$47.24 in the last 1 year.