Six Flags Entertainment Corporation (FUN) delivered a mixed fourth quarter that somehow pleased investors anyway. Shares climbed Thursday after the theme park operator reported revenue that topped expectations, even as fewer people showed up and losses came in deeper than Wall Street anticipated.
The company posted an adjusted loss of 91 cents per share for the quarter, considerably worse than the 22-cent loss analysts had penciled in. But revenue told a different story—quarterly sales came in at $650.089 million, down 5% from the prior year but comfortably ahead of the $603.053 million consensus estimate.
Fewer Guests, Bigger Wallets
Attendance dropped noticeably in the quarter, with 9.3 million guests passing through the gates—down 13% or roughly 1.4 million visitors compared to the fourth quarter of 2024. On a per-operating-day basis, attendance fell 2% year over year. The company operated 779 days during the quarter, down 11% from 878 days in the prior year, with weather playing a significant role.
But here's where things get interesting: the guests who did show up spent considerably more. Per capita spending rose 8% to $66.41, split between $35.32 in admissions and $31.10 in in-park purchases.
The uptick in admissions revenue per guest came from pricing adjustments, promotional strategies, and shifts in the mix of who's buying tickets. Meanwhile, higher in-park spending reflected increased outlays on food and beverages, merchandise, and add-on experiences.
That growth points to ongoing investments in dining options across the parks and strong appetite for premium offerings like Fast Lane and Flash Pass—those skip-the-line products that let you avoid sweating in the sun while waiting for roller coasters.
Out-of-park revenues climbed 8% to $51 million, driven primarily by higher sponsorship revenue in Q4 2025.
Investing Through the Pain
Operating loss totaled $25 million for the three months ended December 31, 2025, a swing from the $51 million in operating income the company posted a year earlier. Adjusted EBITDA came in at $165 million, down from $209 million in the fourth quarter of 2024.
"We made significant investments to improve our park infrastructures, added exciting new attractions to our parks, upgraded our technology systems, and enhanced our food and beverage offerings—and in 2026, we will continue to invest heavily in an exciting slate of family-oriented attractions, food and beverage facility upgrades, and record-breaking roller coasters," said John Reilly, President and CEO.
On the earnings call, Reilly emphasized the strength of the company's asset base and long-term earnings potential. He noted that demand fundamentals remain solid and that the biggest opportunity for unlocking value lies in better operational execution. He also highlighted efforts to identify successful innovations and roll them out across the portfolio of parks.
Six Flags exited the quarter with $91.134 million in cash and equivalents.
Betting Against the Mouse (Or Rather, the Looney Tunes)
It's worth noting that Six Flags has attracted substantial skepticism from short sellers. The company carries a short float of 23.57 million shares, representing 27.57% of its publicly traded float—a high level of short interest indicating plenty of investors are betting the stock will fall.
Despite that bearish sentiment, FUN shares were up 5.76% at $17.15 at the time of publication Thursday.
