Universal Orlando profitable for second straight year
Scott Powers | Sentinel Staff Writer
Posted April 2, 2007, 7:04 PM EDT
A solid fourth quarter in 2006 helped make Universal Orlando profitable for the second straight year, despite another year of declining attendance.
In financial reports filed late today with the U.S. Securities and Exchange Commission, Universal's parent company, Universal City Development Partners, announced a $42 million profit on $855 million in sales for the 2006 fiscal year, which ended Dec. 31. Both the profit and sales were up from 2005 when the company posted $35 million profit on $850 million in sales.
Attendance at the company's two Orlando theme parks, Universal Studios and Islands of Adventure, also was strong during the last three months of 2006, October, November and December, up about 3 percent compared with the fourth quarter of 2005. But that strong finish was not enough to overcome soft attendance that Universal experienced in the first and third quarters of 2006. So the company finished with 11.2 million total visitors, down about 2.5 percent from the 2005 gate. Universal blamed the decline on a broader drop in international tourism to Orlando, which was caused mostly by a drop in visitors from the United Kingdom.
Despite the continued slide in ticket sales -- attendance also fell 11 percent in 2005 compared with the record set in 2004 -- Universal was able to make money by once again making the average visitor more profitable. The company saw increases in food, beverage and merchandise sales at Universal Orlando, and also saw increases in "other" income, including corporate events, sales of Universal Express Plus passes and parking.
"We're very pleased with our fourth-quarter results and will do everything we can to maintain momentum," Universal Orlando President Bill Davis stated in a news release.
Scott Powers can be reached at spowers@orlandosentinel.com or 407-420-5441.
Scott Powers | Sentinel Staff Writer
Posted April 2, 2007, 7:04 PM EDT
A solid fourth quarter in 2006 helped make Universal Orlando profitable for the second straight year, despite another year of declining attendance.
In financial reports filed late today with the U.S. Securities and Exchange Commission, Universal's parent company, Universal City Development Partners, announced a $42 million profit on $855 million in sales for the 2006 fiscal year, which ended Dec. 31. Both the profit and sales were up from 2005 when the company posted $35 million profit on $850 million in sales.
Attendance at the company's two Orlando theme parks, Universal Studios and Islands of Adventure, also was strong during the last three months of 2006, October, November and December, up about 3 percent compared with the fourth quarter of 2005. But that strong finish was not enough to overcome soft attendance that Universal experienced in the first and third quarters of 2006. So the company finished with 11.2 million total visitors, down about 2.5 percent from the 2005 gate. Universal blamed the decline on a broader drop in international tourism to Orlando, which was caused mostly by a drop in visitors from the United Kingdom.
Despite the continued slide in ticket sales -- attendance also fell 11 percent in 2005 compared with the record set in 2004 -- Universal was able to make money by once again making the average visitor more profitable. The company saw increases in food, beverage and merchandise sales at Universal Orlando, and also saw increases in "other" income, including corporate events, sales of Universal Express Plus passes and parking.
"We're very pleased with our fourth-quarter results and will do everything we can to maintain momentum," Universal Orlando President Bill Davis stated in a news release.
Scott Powers can be reached at spowers@orlandosentinel.com or 407-420-5441.
