Shares of United Parks & Resorts (NYSE: PRKS) plummeted 19.88% in pre-market trading on Thursday following the release of its disappointing third-quarter 2025 financial results. The theme park operator reported earnings that fell significantly short of analyst expectations, triggering a sharp sell-off.

United Parks & Resorts reported Q3 earnings per share (EPS) of $1.61, well below the analyst consensus estimate of $2.27. Revenue for the quarter came in at $511.9 million, missing the expected $537.36 million. The company's performance was hampered by a 3.4% decrease in attendance, with approximately 240,000 fewer guests compared to the same period last year.

Several factors contributed to the underwhelming results. Marc Swanson, Chief Executive Officer of United Parks & Resorts, stated, "Performance during the quarter was negatively impacted by an unfavorable calendar shift, poor weather during peak holiday periods, a decline in international visitation and less than optimal execution." He added that the consumer environment in the U.S. appears to be inconsistent, as noted by other leisure and hospitality businesses.

The company's total revenue per capita decreased by 2.9% to $75.39, with admission per capita falling 6.3% to $39.57. However, in-park per capita spending showed a slight increase of 1.1% to $35.82. Despite the overall negative results, United Parks & Resorts reported growth in its Halloween events and encouraging forward-booking trends for its Discovery Cove property and group business.

As the company prepares to launch its annual Christmas events later this month, investors appear concerned about United Parks & Resorts' ability to reverse these negative trends in the upcoming holiday season. The significant stock drop reflects market disappointment and uncertainty about the company's near-term prospects in the face of various challenges affecting the theme park industry.