Dubai – Mubasher: DXB Entertainments’ adjusted earnings before interest, tax, depreciation, and amortisation (adjusted EBITDA) grew by 103% to AED 2 million during the fourth quarter of 2019, according to the group’s preliminary unaudited financial results for 2019.
This performance, driven by the group’s efficiency and cost optimisation programme, is ahead of the previously communicated target of achieving EBITDA breakeven during the second half of 2020.
The adjusted EBITDA loss reached AED 149 million, down 38% year-on-year or AED 90 million during 2019 from AED 239 million in 2018.
Meanwhile, the group’s revenues retreated by 9% to AED 491 million in 2019, compared to AED 541 million in the prior year.
In Q4-19, the revenues of the theme park decreased by 11% or AED 11 million to AED 91 million, compared to the same period in 2018 due to lower visits and per capita spend.
The CEO and managing director of DXB Entertainments, Mohamed Almulla, said: “This marks the first quarter of profitability in the history of our company and is an encouraging result as we progress with the implementation of our strategy, focused on driving business growth and operational efficiency.”
Almulla added: “Our focus is now on delivering EBITDA profitability on a full year basis by achieving revenue growth, specifically through initiatives to drive visitation from our core international markets and through our hotel strategy.”
As for this year’s outlook, he said: “The outlook for 2020 is good, with our park enhancement plan and hotel strategy progressing well.”
It is noteworthy to mention that during the third quarter of 2019, the group posted a net loss of AED 268 million, 2% lower than AED 275 million in the corresponding quarter in 2018.