Brisbane lockdown deals blow to Ardent Leisure (ASX:ALG)

Company News

by Michael Luu

The recent lockdown in Greater Brisbane has taken a heavy toll on Ardent Leisure Group (ASX:ALG)’s revenue from theme parks, according to the latest update from Dreamworld Gold Coast's owner.

COVID-19 infections prompted the Queensland authorities to abruptly impose social restrictions just a few days before Autumn break, dealing a heavy blow to the theme park operator's income stream for the period.

The abolishment of JobKeeper support packages at the end of March is expected to have a negative impact on the company’s EBITDA for the next three quarters.

The company’s US subsidiary Main Event also recorded a decline in revenue by 21.5 per cent for February. The chain of entertainment facilities however reported a 23 per cent increase in revenue for March fiscal period. Business experts have attributed this surge to increased leisure activity bolstered by the spring school holidays in the world’s biggest economy. The latest data is pointing to another strong rally in the coming months, reporting a 44 per cent increase in the first half of the current fiscal period. 

Shares in Ardent Leisure Group (ASX:ALG) last traded at 92 cents

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