Dubai theme-park operator DXB Entertainments sees drop in visitors

DXB Entertainments said its attractions saw 760,000 visitors in the first quarter of 2019, an 11% decline on the year-ago period. (Supplied)
Updated 14 May 2019
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Dubai theme-park operator DXB Entertainments sees drop in visitors

LONDON: Dubai theme-park operator DXB Entertainments saw an 11 percent drop in visitors in the first quarter of 2019 — but says it is looking for growth in international guests as it aims to break even next year.
The the first phase of the company’s main asset — where attractions include Bollywood Parks and Legoland — opened in 2016.
DXB Entertainments said in a statement Tuesday that its attractions saw 760,000 visitors in the first quarter of 2019, an 11 percent decline on the year-ago period. 
Revenues for the quarter stood at 142 million dirhams ($38.7 million), an 18 percent decline on last year, while the company’s net loss grew by 3 percent to 216 million dirhams. 

 

Despite the drop in top-line figures, the company said its average hotel occupancy rose to 72 percent from 62 percent, while a growth in international guests means that the latter group now represents 45 percent of visitors.
“Not unexpectedly we have seen a reduction in this quarter’s visitor numbers compared to last year, a typical pattern for a theme park in its second year as the domestic target market consolidates to a core of repeat visitors. Our job now is to maximize the revenue potential of our established domestic base whilst growing our international visitor numbers,” said Mohamed Almulla, CEO and managing director of DXB Entertainments.
“Building our international visitation, which delivers higher yields, will play an important role in delivering our target of EBITDA (earnings before interest, tax, depreciation and amortization) breakeven during the second half of 2020. Our target is to achieve upwards of 60 percent international visitation.”
This will be achieved through the group’s hotel strategy, strategic partnerships and the expansion of its Motiongate Dubai and Bollywood Parks, Almulla added.

FASTFACTS

60%

Proportion of international visitors targeted by DXB Entertainments


Saudi Aramco signs US LNG deal with Sempra

Aramco, the Saudi state oil giant plans to become a major global gas player while the US market is undergoing a shale boom. (File/AP)
Updated 21 min 39 sec ago
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Saudi Aramco signs US LNG deal with Sempra

  • Aramco has been developing its own gas resources
  • The proposed Port Arthur LNG Phase 1 project is expected to include two liquefaction trains

DUBAI: Saudi Aramco has entered into a 20-year agreement with US-based Sempra Energy to purchase liquefied natural gas (LNG) from its subsidiary Sempra LNG, the two companies said on Wednesday.
The Saudi state oil giant plans to become a major global gas player while the US market is undergoing a shale boom.
Aramco has been developing its own gas resources and eyeing gas assets in the United States, Russia, Australia and Africa.
The two companies are also finalizing a 25 percent equity investment in the phase 1 of Port Arthur LNG, they said in a joint statement.
The sale-and-purchase agreement is for 5 million tons per annum (mtpa) of LNG from phase 1 of the Port Arthur LNG export project under development, the firms said.
The proposed Port Arthur LNG Phase 1 project is expected to include two liquefaction trains, up to three LNG storage tanks and associated facilities which should enable the export of about 11 mtpa on a long-term basis.
“Port Arthur LNG could be one of the largest LNG export projects in North America, with potential expansion capabilities of up to eight liquefaction trains or approximately 45 mtpa of capacity,” the statement said.
Aramco’s trading arm sold its first LNG cargo on the spot market in late March to an Indian buyer, according to sources familiar with the matter.
Aramco plans to boost its gas production to 23 billion standard cubic feet (scf) a day from about 14 billion scf now.