Six Flags Entertainment Corporation/NEWFUN
Six Flags Entertainment Corporation/NEW Segments Disclosure
Segments:
The Company generates revenues from sales of (1) admission to amusement parks and water parks, (2) food, merchandise and games both inside and outside the parks, and (3) accommodations, extra-charge products, and other revenue sources. The Company's principal costs and expenses, which include salaries and wages, operating and maintenance supplies, insurance, advertising, utilities and lease payments, are relatively fixed for a typical operating season and do not vary significantly with attendance.
Management reviews operating results, evaluates performance and makes operating decisions, including allocating resources, on a park-by-park basis. Discrete financial information and operating results are prepared at the individual park level for use by the CEO, who is the Chief Operating Decision Maker ("CODM"). All of the parks provide similar products and services through a similar process to the same class of customer utilizing a consistent method. In addition, the parks share common economic characteristics, in that they show similar long-term growth trends in key industry metrics such as attendance, per capita spending, net revenue, operating margin and operating profit. Based on these factors, the Company has combined its operating segments, which consist of each of the parks' locations, and operates within a single reportable segment of amusement and water parks with accompanying resort facilities.
Adjusted EBITDA is the measure of segment profit or loss used by the CODM to assess park-level operating profitability and to determine resource allocation, including the allocation of capital expenditures. The CODM's analysis includes comparisons to prior period results and budgeted and forecasted results. Adjusted EBITDA represents earnings before interest, taxes, depreciation, amortization, other non-cash items, and adjustments as defined in the Company's 2024 Credit Agreement, as amended, less net income attributable to non-controlling interests. The table below provides a summary of significant expense categories regularly provided to the CODM reconciled to Adjusted EBITDA, as well as a reconciliation of Adjusted EBITDA to (loss) income before taxes, for the periods presented. The CODM does not review segment assets at a different asset level or category than those disclosed within the consolidated balance sheets.
| Years Ended December 31, | ||||||||||||||||||||
| (In thousands) | 2025 | 2024 | 2023 | |||||||||||||||||
| Net revenues | $ | 3,100,289 | $ | 2,708,926 | $ | 1,798,668 | ||||||||||||||
| Significant expense categories | ||||||||||||||||||||
| Cost of food, merchandise and games revenues | 268,018 | 231,894 | 159,830 | |||||||||||||||||
| Other revenue driven costs (1) | 92,990 | 76,998 | 52,897 | |||||||||||||||||
| Labor (2) | 1,040,743 | 878,222 | 645,476 | |||||||||||||||||
| Other segment expenses (3) | 906,528 | 646,521 | 412,793 | |||||||||||||||||
| Adjusted EBITDA | 792,010 | 875,291 | 527,672 | |||||||||||||||||
| Add: Net income attributable to non-controlling interests | 49,632 | 24,499 | — | |||||||||||||||||
| Subtract: | ||||||||||||||||||||
| Depreciation and amortization | 486,383 | 318,113 | 157,995 | |||||||||||||||||
| Loss on retirement of fixed assets, net | 40,670 | 18,064 | 18,067 | |||||||||||||||||
| Loss on impairment of goodwill and other intangibles | 1,518,099 | 42,462 | — | |||||||||||||||||
| Loss on other assets | 791 | — | — | |||||||||||||||||
| Interest expense, net | 359,958 | 234,770 | 138,952 | |||||||||||||||||
| Loss on early debt extinguishment | — | 7,974 | — | |||||||||||||||||
| Non-cash foreign currency (gain) loss | (22,583) | 30,557 | (5,594) | |||||||||||||||||
| Non-cash equity compensation expense | 64,157 | 63,809 | 22,611 | |||||||||||||||||
Costs related to the Mergers (4) | 48,911 | 118,336 | 22,287 | |||||||||||||||||
| Severance (5) | 44,564 | 1,397 | 750 | |||||||||||||||||
Self-insurance adjustment (6) | — | 14,865 | — | |||||||||||||||||
Other (7) | 14,138 | 15,265 | 2 | |||||||||||||||||
| (Loss) income before taxes | $ | (1,713,446) | $ | 34,178 | $ | 172,602 | ||||||||||||||
(1) Consists of credit card fees, royalties and other revenue processing costs driven by sales volume.
(2) Consists of wages, benefits and employer taxes on an Adjusted EBITDA basis.
(3) Consists of all other expenses on an Adjusted EBITDA basis, including the cost of operating and maintenance supplies, insurance, advertising, utilities and lease payments, as well as net income attributable to non-controlling interests.
(4) Consists of third-party legal and consulting transaction costs, as well as integration costs related to the Mergers. Integration costs include third-party consulting costs, costs to integrate information technology systems, integration team salaries and benefits, retention bonuses, maintenance costs to update Former Six Flags parks to Cedar Fair standards and certain legal costs (see Note 2 to the accompanying consolidated financial statements). These costs are added back to net (loss) income to calculate Adjusted EBITDA as defined in the Company's credit agreement.
(5) Consists of severance and related employer taxes and benefits. During 2025, certain employees, including certain executive level employees, were terminated as part of recent post-merger productivity and efficiency efforts.
(6) During the third quarter of 2024, an actuarial analysis of Former Cedar Fair's self-insurance reserves resulted in a change in estimate that increased IBNR reserves by $14.9 million. The increase was driven by an observed pattern of increasing litigation and settlement costs (see Note 1 to the accompanying consolidated financial statements).
(7) Consists of certain costs as defined in the Company's credit agreement. These costs are added back to net (loss) income to calculate Adjusted EBITDA and include certain legal and consulting expenses; enacted cost savings initiatives related to overhead and administrative costs incurred by Former Six Flags, specifically for insurance premiums, legal costs and information technology costs; certain costs at a combination amusement and water park located in Bowie, Maryland since its closure; repairs for unusual weather events; Mexican VAT taxes on intercompany activity; cost of goods sold recorded to align inventory standards following the Mergers; administrative payments related to the Partnership Parks; and contract termination costs. This balance also includes unrealized gains and losses on pension assets and short-term investments.
All of the Company's parks are located in the United States with the exception of two parks in Mexico and two parks in Canada. The Company also recognizes revenue and expense related to the development of Six Flags-branded parks outside of North America. These management fees are disclosed as "Domestic" within the below tables. Prior to the Mergers, Former Cedar Fair did not disclose geographic segment related information as it had only one foreign park, and management believed disclosure of a single park's results provided sensitive information to its competitors. As a result, the below information only includes results since the Closing Date.
As of December 31, 2025 and December 31, 2024, long-lived assets (which consists of property and equipment, goodwill, intangible assets and right-of-use assets) by domestic and foreign properties was as follows:
| (In thousands) | December 31, 2025 | December 31, 2024 | |||||||||
| Domestic | $ | 6,402,553 | $ | 7,827,604 | |||||||
| Foreign | 901,365 | 890,992 | |||||||||
| Total | $ | 7,303,918 | $ | 8,718,596 | |||||||
For the years ended December 31, 2025 and December 31, 2024, net revenues and (loss) income before taxes by domestic and foreign properties were as follows:
| For the years ended | |||||||||||
| (In thousands) | December 31, 2025 | December 31, 2024 | |||||||||
| Net revenues | |||||||||||
| Domestic | $ | 2,774,438 | $ | 2,450,354 | |||||||
| Foreign | 325,851 | 258,572 | |||||||||
| Total | $ | 3,100,289 | $ | 2,708,926 | |||||||
| (Loss) income before taxes | |||||||||||
| Domestic | $ | (1,665,762) | $ | 25,541 | |||||||
| Foreign | (47,684) | 8,637 | |||||||||
| Total | $ | (1,713,446) | $ | 34,178 | |||||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Feb 26, 2026 | Showing above |
| 2024 | Mar 3, 2025 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.