Dubai may have to wait for its latest attraction.
A strategic review at DXB Entertainments PJSC, which on Tuesday posted its 20th consecutive quarterly loss, may lead to a delay in the opening of Six Flags Dubai.
The review is to “determine scope, timeline and potential alternatives in light of existing customer demand,” the company said a the statement to the Dubai stock exchange. The results will be presented to the board before the end of the year and “may have an impact on the target opening date of Six Flags Dubai.”
Chief Executive Officer Mohamed Almulla told Bloomberg in March that the company expects the Six Flags theme park to be operational at the end of 2019.
DXB Entertainments’s third-quarter loss was 271.4 million dirhams ($73.9 million), wider than the 256.5 million-dirham median estimate of two analysts compiled by Bloomberg. The shares lost 2.8 percent to 35 fils, bringing the slump for the year to 45 percent.
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Originally known as Dubai Parks & Resorts, DXB Entertainments’ attractions, including parks based on Bollywood and Hollywood films such as The Hunger Games, saw an about 5 percent increase in visitors to more than 500,000 in the third quarter.
Higher footfall from international tourists, who now account for 40 percent of total visits, is a key growth driver and a priority for the company, it said.
DXB Entertainments, which counts Qatar Investment Authority as its second-biggest shareholder, said the business continued to focus on reaching a break-even point as measured by earnings before interest, tax, depreciation and amortization. The ebitda loss was 81 million dirhams in the third quarter versus 105 million dirhams in the year-earlier period.
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