Merlin Entertainments Plc - Interim Management Statement
Merlin Entertainments plc - Interim Management Statement Continued execution on strategy Strong start to the year, benefiting from soft 2013 comparatives Full year expectations remain unchanged Merlin Entertainments today reports its trading performance for the 18 weeks to 3rd May 2014. Key trading highlights Like for like1 revenue growth for the first 18 weeks of the year of 12.0% Constant currency2, total Group revenue growth of 16.5% Reported currency, total Group revenue growth of 10.8% 2014 has started well with strong like for like growth of 12.0%, supported by more favourable weather in Northern Europe and successful promotional activity around the release of ‘The LEGO Movie’, the latter having a particularly positive impact on the two US LEGOLAND parks and LEGOLAND Discovery Centres. This period of outperformance should, however, be seen in the context of the suppressed performance in the 2013 comparative period, where results were adversely impacted by an earlier Easter holiday period and extremely cold weather in Northern Europe. As a consequence, underlying trading is consistent with the long term growth trajectory of the business and full-year expectations remain unchanged. Total revenue growth, at constant currency, of 16.5% reflects the full period impact of the midway attractions opened throughout 2013 and the LEGOLAND California hotel which opened in April 2013. The strengthening of Sterling has reduced total revenue growth, based on actual foreign exchange rates, by 5.7 percentage points. The financial position of the business remains strong, with net debt increasing marginally reflecting the seasonality of cashflows. Delivering on the strategy The Group has made further good progress against its six strategic growth drivers: Growing the existing estate through planned investment cycles ‘Flight of the Demons’ winged roller coaster at Heide Park opened on time and has received a positive, early reception.
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