Coast Entertainment FY26 slides: EBITDA doubles, land approval unlocks value

Coast Entertainment reported its FY26 results on August 21, 2026, indicating a notable operational recovery in its Theme Parks & Attractions segment, alongside the revelation of substantial hidden asset value. The company's stock dropped by 3.7% to $0.52, showing investor wariness due to an unfavorable consumer landscape and upcoming execution challenges.

Coast Entertainment manages Dreamworld, WhiteWater World, and SkyPoint in Queensland's Gold Coast, catering to a Southeast Queensland population that swelled to over 3.5 million people. Despite facing obstacles from high-interest rates, inflation, and dwindling consumer confidence (the lowest since 1973), Coast Entertainment managed its fourth consecutive year of EBITDA growth.

The Theme Parks & Attractions EBITDA, excluding Specific Items, surged to $18.8 million, more than doubling the $8.8 million from the previous year, representing a remarkable 113.6% increase. On a like-for-like basis, the improvement was even sharper at 118.1%. Operating revenue surged by 20.8% to $116.5 million, with like-for-like growth of 19.0%.

Total visitation hit 2.0 million guests, a 29.3% year-over-year increase and the highest attendance since FY16. Ticket sales boosted by 33.0% reported and 24.0% on a like-for-like basis, surpassing FY16 figures despite total visitation being 17% below the benchmark year. EBITDA margin excluding Specific Items grew to 16.1%, up 7.3 percentage points on a like-for-like basis, marking the highest since FY16.

The company's segment results underscore the strength of Theme Parks & Attractions: Cash flow from operations doubled to $19.7 million, financing capital expenditures and share buybacks. Ending the year with $35.0 million in cash and a debt-free balance sheet, Coast Entertainment retained its $20 million undrawn bank facility. Deferred revenue climbed by 58.7% to $20.2 million, reflecting the expanding annual pass base and enhancing revenue visibility.

Coast Entertainment introduced three significant attractions during FY26, all opening on schedule and within budget despite construction challenges. The WILD with Australian Geographic precinct, opened in September 2025, boosted wildlife education and engagement. The Big Brother Experience, launched in November 2025, gained 5.5 million viewers and amplified brand awareness.

King Claw, unveiled in December 2025, attracted positive guest feedback and increased attendance. The company also rolled out innovative revenue initiatives, such as the Australia's first theme park Annual Dining Pass and Dreamworld +Plus, a loyalty program to convert customers into high-value, long-tenure members. Strong event formats, like the Christmas in July after-dark event, contributed to incremental revenue.

Through technology and innovation, Coast Entertainment aimed to boost guest spend and efficiency, deploying AI, robotics, and automation for better decision-making and cost optimization.