Slide 1: Investor Presentation May 2022
Investor Presentation May 2022
Slide 2: Forward-Looking Statements
Some of the information in this presentation that is not historical in nature constitutes “forward‐looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including statements as to the Company's expectations, belief
Slide 3: FUN Overview
FUN Overview 3
Slide 4: Compelling Investment Rationale
Compelling Investment Rationale 1 2 Best‐in‐class parks and brands with loyal, high‐repeat customer base 3 High barriers to entry (with no successful regional park built since the 1970s) 4 Resilient operating performance through various economic cycles 6 Industry‐experienced management team with his
Slide 5: Industry Savvy Executive Team
5 Industry Savvy Executive Team Richard Zimmerman CEO Tim Fisher COO Brian Witherow CFO Kelley Ford CMO Craig Heckman CHRO Dave Hoffman CAO Brian Nurse CLO
Slide 6: COVID-19 impact note
Please note: The COVID‐19 pandemic and corresponding market disruption had a material impact on Cedar Fair’s results in 2020 and 2021. In May 2021, the Company opened all of its U.S. properties for the 2021 operating season on a staggered basis with capacity restrictions, guest reservations, and oth
Slide 7: Strong Long-Term Growth and Recession Resilient
Strong Long‐Term Growth and Recession Resilient Acquisitions: 1992 – Dorney Park 1995 – World of Fun 1997 – Knott’s Berry Farm 2001 – Michigan’s Adventure 2004 – Geauga Lake 2006 – Paramount Parks (five parks) 2019 – Schlitterbahn (two water parks) – Sawmill Creek Resort & Conference Center $0 $100
Slide 8: Record 2019 Followed by COVID-19 Disrupted 2020/2021
Record 2019 Followed by COVID‐19 Disrupted 2020/2021 2019 Results Record net revenues of $1.47 billion, up 9%; same park up 6% Record attendance of 27.9 million visits, up 8%; same park up 5% In‐park per capita spending of $48.32, up 1%; same park up 1% Record out‐of‐park revenues of $169 mi
Slide 9: 2022-Q1 vs. 2019-Q1 Results
3% 4% 2022‐Q1 vs. 2019‐Q1 Results 1% Net Revenues $99M(a) $67M Adjusted EBITDA(b) ($68M)($68M) Attendance 1.2M1.5M In‐Park Per Capita Spending $46.13$58.86 (a) Out‐of‐Park Revenues $15M$16M 9 2022‐Q1 (130 operating days) 2019‐Q1 (101 operating days) (a) Denotes record high (b) See appendix for recon
Slide 10: 2021-2H vs. 2019-2H Results
3% 4% 2021‐2H vs. 2019‐2H Results 1% Net Revenues $1.10B Adjusted EBITDA(b) $407M Attendance 16.1M(a) In‐Park Per Capita Spending $63.32 Out‐of‐Park Revenues $117M 10 2021 Second Half (a) (1,372 operating days) 2019 Second Half (1,397 operating days) $972M 18.3M $48.97 $105M $410M (a) Due to the pan
Slide 11: Powerful Economic Lifecycle
11 Powerful Economic Lifecycle Legendary outdoor entertainment landmarks of size and scale with high barriers to entry 1 Strong “House of Brands” portfolio reflects industry’s best‐in‐class regional parks 2 Growing percentage of attendance and revenues generated from sales of advanced purchase produ
Slide 12: Legendary outdoor entertainment landmarks with high barriers to entry
12 1 Legendary outdoor entertainment landmarks of size and scale with high barriers to entry 1 1 1
Slide 13: Our Purpose: To Make People Happy
13 Our Purpose “To Make People Happy” 13 1
Slide 14: Consumer Insights – Research Findings
Consumer Insights – Research Findings KEY FINDINGS: Rides and events remain the top reasons guests visit our parks, while family coasters and water parks/rides are strong motivators to visit among our most engaged guests Top Reasons to Visit Parks: • Family Rides • Thrill Coasters • Water Rides • Se
Slide 15: Consumer Insights – Research Findings
Consumer Insights – Research Findings What Else Motivates Guests to Visit? • Something for everyone – a menu of rides and activities that offer guests a wide range of entertainment choices • Wholesome, simple and fun entertainment that allows guests to foster connections and interactions with others
Slide 16: Long-Range Plan: Core Strategies
Long‐Range Plan: Core Strategies • Broaden the Guest Experience • Expanded use of limited‐duration events and more immersive experiences – “Seasons of FUN” model that drives urgency to visit • Aimed at driving more visits from existing guests and incremental visits from new, unique guests • Traditio
Slide 17: Seasons of FUN Model: Creates Urgency to Visit
17 “Seasons of FUN” Model: Creates Urgency to Visit 1
Slide 18: Offer Guests Immersive Experiences
Offer Guests Immersive Experiences 18 1
Slide 19: Popular Events Extend Calendar, Drive Growth
Popular Events Extend Calendar, Drive Growth • 2016 – Introduction of first WinterFest event with approximately 141K guests in attendance • 2021 – Five WinterFest park events and Knott’s Merry Farm entertained a combined 1.8 million guests • Additional opportunities for expanding WinterFest, or a co
Slide 20: Strong House of Brands portfolio
20 • Strong “House of Brands” portfolio reflects the industry’s best‐in‐class regional parks • Known by guests as “the park of locals” and treasured for their cultural authenticity and generational heritage 2 Strong Successful Business Model 1 2 3 4 5 6 High Distribution Yield High‐Quality Assets wi
Slide 21: Key Statistics and Parks Portfolio
KEY STATISTICS Entertained 28M visitors in 2019 841 rides and attractions 124 roller coasters 2,300+ hotel rooms PARKS PORTFOLIO Own and operate 11 amusement parks 9 outdoor water parks (in‐park) 4 outdoor water parks (unique gates) 1 indoor water park resort 21 2
Slide 22: Reliable Recurring Attendance Stream
22 1 Growing percent of attendance and revenues generated through sales of advanced‐ purchase products, such as season pass and other all‐season products 3 3 Reliable Recurring Attendance Stream 3
Slide 23: Season Pass Channel Growth Strong
Season Pass Channel Growth Strong • Through the end of April 2022, season pass sales were up $59 million compared to sales in the comparable timeframe in 2019. o Average 2022 season pass price up 10% over the same period • Season pass visitation comprised 55% of 2021 attendance, compared with 52% fo
Slide 24: PassPerks Loyalty Program – Mutually Beneficial
PASSPERKS Loyalty Program – Mutually Beneficial Good for the Passholder Surprise our most highly engaged guests with unexpected discounts, offers and chances for exclusive prizes and experiences • Earn rewards with each park visit • Create anticipation among passholders to expect the unexpected • In
Slide 25: SP Payment Plan + Loyalty Program Meet Objectives
SP Payment Plan + Loyalty Program Meet Objectives CEDAR FAIR SEASON PASS PROGRAM Key Objectives Payment Plan Loyalty Program Subscription Model Affordability YES NO YES Retention NO YES YES Visitation NO YES NO Pricing Power YES YES NO Purchase Urgency YES NO NO + 25 3
Slide 26: Consistent Record of Per Capita Growth
26 1 Consistent growth in per cap spending from millions of guests drives robust levels of revenues 4 4 4 Consistent Record of Per Capita Growth
Slide 27: 48-Year Growth of In-Park Per Capita Spending
27 48‐Year Growth of In‐Park Per Capita Spending $45.54 $46.20 $46.90 $47.30 $47.69 $48.32 $46.38 $62.03 $30.00 $35.00 $40.00 $45.00 $50.00 $55.00 $60.00 $65.00 10,000,000 12,000,000 14,000,000 16,000,000 18,000,000 20,000,000 22,000,000 24,000,000 26,000,000 28,000,000 30,000,000 2014 2015 2016 201
Slide 28: Food & Beverage Playing A Key Role
Food & Beverage Playing A Key Role • Our research confirms food and beverage today play a critical role in the guest experience • Consumers want unique experiences, offerings they can’t get at home • We have enhanced existing F&B facilities and added more immersive dining experiences • Executive che
Slide 29: The Changing Landscape of In-Park Food & Beverage
The Changing Landscape of In‐Park Food & Beverage 29 4
Slide 30: Growing adjacent development base
30 Ongoing development of adjacent offerings at our properties expands market draw, extends length of stay, and supplements revenue growth at the parks 5 5Growing adjacent development base 5
Slide 31: Focus on Growing Additional Revenue Streams Beyond the Parks
Focus on Growing Additional Revenue Streams Beyond the Parks $0.0 $200.0 $400.0 $600.0 $800.0 $1,000.0 $1,200.0 $1,400.0 $1,600.0 2012 2013 2014 2015 2016 2017 2018 2019 2020 (c) 2021 (c) Park Revenues (b) Out-of-Park Revenues 31 While we continue to drive revenue growth from our parks, revenues fro
Slide 32: Evolution of the Accommodations Channel
Evolution of the Accommodations Channel • Substantial growth of accommodations portfolio over the last 8 years: o Total hotel rooms have grown to more than 2,300 from 1,900 o Total luxury RV sites have increased to more than 600 • Accommodations (Out‐of‐Park) Revenues: o More than $80 million in 201
Slide 33: Adjacent Development – Accommodations
• Newly renovated waterfront property at Cedar Point entrance • 237 rooms and suites with tropically themed indoor waterpark paradise • Resort property minutes from Cedar Point • 236‐room hotel and conference center, restaurants, 18‐hole Tom Fazio‐designed golf course • Renovations nearly completed
Slide 34: Cedar Point Sports Center
34 Cedar Point Sports Center Indoor Center • Opened January 2020 • 145,000 square feet • Court space accommodates 10 basketball courts and 20 volleyball courts • AAU basketball, JO volleyball, wrestling, cheer, gymnastics Outdoor Facility • Opened March 2017 • 10 multi‐use fields with clubhouse • Ba
Slide 35: Compelling free-cash-flow generation
35 1 Steadily growing top‐line revenues and disciplined cost management results in meaningful free‐cash‐flow generation 6 6 Compelling free‐cash‐ flow generation 6 • Prior to the disruption of the pandemic, Cedar Fair has demonstrated the ability to pay a compelling, sustainable, and growing quarter
Slide 36: Attractive Distribution Yield in a Relatively Low-Rate Environment
Attractive Distribution Yield in a Relatively Low‐Rate Environment $1.60 $2.58 $2.85 $3.08 $3.33 $3.46 $3.60 $3.71 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% 8.0% 9.0% $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $3.50 $4.00 2012 2013 2014 2015 2016 2017 2018 2019 Annual Distribution Per Unit (left scale)
Slide 37: 2022 Outlook
37 2022 Outlook Strong Successful Business Model 1 2 3 4 5 6 High‐Quality Assets with Strong Regional Brands Consistent Record of Per Capita Growth Reliable Recurring Attendance Stream Compelling free‐cash‐ flow generation Growing adjacent development base
Slide 38: Strategies for 2022
Invest in the core business Invest $160‐175 million to support growth initiatives at our parks and further enhance the guest experience Invest an additional $40 million to finish renovations at two Cedar Point resort properties, projects that were suspended in 2020 due to the pandemic Pay do
Slide 39: Business Optimization Gains Offsetting Inflationary Pressures
Business Optimization Gains Offsetting Inflationary Pressures • Enterprise‐wide initiative designed to drive growth in the business, improve profitability, rationalize cost structure and produce a better guest experience • Targeting $50 million in annual run‐rate benefit to Adjusted EBITDA once the
Slide 40: Balance Sheet and Liquidity Well Positioned for 2022
Balance Sheet and Liquidity Well Positioned for 2022 • Deferred revenues totaled $234 million as of March 27, 2022 • Represents an increase of $36 million, or 18%, when compared to deferred revenues at Dec. 31, 2021 • Through the end of April 2022, season pass sales were up $59 million compared to s
Slide 41: Debt Maturities – Capital Structure Strengthened in 2021
Debt Maturities – Capital Structure Strengthened in 2021 Amounts in Millions Total debt outstanding of ~$2.6B at 3/27/22 after early redemption of $450 million of 2024 bonds in December 2021 Cash on hand totaled $50M at 3/27/22 with $234 million available under the revolver, net of $125 million
Slide 42: Appendix
42 Appendix Strong Successful Business Model 1 2 3 4 5 6 High‐Quality Assets with Strong Regional Brands Consistent Record of Per Capita Growth Reliable Recurring Attendance Stream Compelling free‐cash‐ flow generation Growing adjacent development base
Slide 43: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation 43