Six Flags Entertainment Corporation (NYSE: SIX), the largest regional amusement park operator in North America posts fourth-quarter net revenues of $650 million, down 5% year-over-year. Management prioritizes balance sheet strengthening and capital allocation to reduce leverage following 2025 results that fell short of internal expectations.
The company recorded a net loss of $92 million for the quarter, compared to a $264 million loss in the prior-year period. Full-year results were impacted by a $1.5 billion non-cash impairment charge on goodwill and other intangibles.
Key Development
The company is currently undergoing an operational refinement following its 2025 performance. Significant infrastructure investments and technology system upgrades were completed over the past year. In January 2026, the company successfully refinanced its 2027 notes, which management describes as a first step toward strengthening the balance sheet.
Financial Performance
The company reported the following verified metrics for the fourth quarter and full year 2025:
- Revenue: Fourth-quarter net revenues were $650 million, a 5% decrease from $687 million in Q4 2024. Full-year net revenues totaled $3.10 billion.
- Attendance: Quarterly attendance fell 13% to 9.3 million guests. For the full year, attendance reached 47.4 million.
- Per Capita Spending: Guest spending rose 8% to $66.41 in the fourth quarter. The full-year per capita spending was $61.90.
- Net Loss: The full-year net loss attributable to the company was $1.60 billion, primarily due to the non-cash impairment charge.
- Adjusted EBITDA: The company reported $165 million for the fourth quarter and $792 million for the full year.
- Expenses: SG&A expenses rose by $18 million in the quarter, driven by a $20 million increase in wage costs, including $12 million in equity compensation.
Product Highlights
Six Flags is pursuing a strategy focused on enhancing guest experiences through new attractions and food and beverage facility upgrades.
- New Attractions: The company plans to invest heavily in family-oriented attractions and record-breaking roller coasters in 2026.
- Premium Experiences: Higher demand exists for premium offerings such as Fast Lane and Flash Pass.
- Technology Upgrades: Recent initiatives include sunsetting older website and mobile app assets related to legacy Six Flags in favor of upgraded systems.
Investment Thesis (Bull vs Bear)
Bull Case (Growth Potential)
- Rising Per Capita Spend: Per capita spending increased 8% in Q4, driven by successful pricing changes and premium product demand.
- Balance Sheet Refinancing: Successful refinancing of 2027 notes in early 2026 improves the near-term debt profile.
- Infrastructure Investment: Heavy capital expenditure in 2025 and 2026 aims to drive long-term demand through new “record-breaking” attractions.
Bear Case (Risk Factors)
- Attendance Decline: Q4 attendance dropped 13% (1.4 million visits), partly due to fewer operating days and a smaller active season pass base.
- High Leverage: The company carries $5.11 billion in net debt, necessitating a disciplined capital approach.
- Weather Sensitivity: Significant variance in results was driven by weather-related closures (15 days vs. 3 days year-over-year).
Business Outlook and Strategy
Management is refining its approach to revenue management and marketing while implementing clearer lines of accountability. The stated goal is to restore sustainable, profitable growth. Capital allocation is currently focused on paying down debt and reducing leverage to restore financial flexibility. Total liquidity as of Dec. 31, 2025, was $623 million, with net debt standing at $5.11 billion.
Sector and Macro Context
Six Flags operates 26 amusement parks, 15 water parks, and nine resort properties across the U.S., Canada, and Mexico. Performance in the fourth quarter was negatively impacted by weather, which caused 15 closed days compared to three in the previous year. The broader leisure sector continues to see competition for consumer discretionary spending and shifts in consumer behavior.
Stock Technical Analysis
Short-Term: The stock is navigating a period of operational transition following the merger of legacy Six Flags and Cedar Fair. Near-term volatility may be influenced by the 13% year-over-year decline in quarterly attendance and a 5% drop in total quarterly revenue.
Long-Term: Long-term valuation depends on the company’s ability to realize anticipated cost savings and operating synergies from the recent merger. The $1.5 billion non-cash impairment charge recorded in 2025 reflects a significant revaluation of goodwill and intangibles on the balance sheet.