Hall of Fame Resort & Entertainment Company (NASDAQ:HOFV) Q4 2023 Earnings Call Transcript

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Michael Diana: And it sounds just based on everything you’ve said today, once the water parks out, Tapestry hotels out technologies, it sounds like 2025 is a year where you can really capitalize on the synergies. Is that right?

Michael Crawford : I think that’s right. But I will say that even now, we’re showing, in some cases, manually, that by giving guests exposure, by giving them advanced notification of all the things that we’re doing, it gives them a chance and us a chance, we do a document that many companies do know before you go, right? It gives them a chance to link to reservations for dining or link to hotel reservations or playing in top golf or riding rides, whatever the case may be, we don’t want to wait for the hotel. We want to start training that muscle to create that synergy and that integrated model of revenue growth today. And guests want that. They want the ease and efficiency of booking these different experiences. It’s why you come to a destination like this.

The number of guests I interact with that say, it’s incredible now, I can get a Starbucks, my kids can go on a ride. I can go have a nice dinner, I can play games, and I can do things other than just coming for a soccer tournament. I don’t have to leave. I can stay here and have an all-encompassing experience, that’s really gratifying because that was our goal always, and we’re starting to see that come to life. Adding a water park, adding an on-site hotel, it’s just going to enhance that, and it’s going to give them more to do and more reasons to — for new visitors to come to engage at that entry point with the water park experience and then go the other way and have dining and hotels and et cetera. So very strategic, what we’re trying to accomplish, and I think we’re already seeing some of the benefits of that today.

Operator: At this time, I’d like to turn the call back over to Michael Crawford for closing remarks.

Michael Crawford : Thank you. I’ll close very simply. Our goals have been the same: make sure we’re creating the best experiences for our guests, ever. If you create great content, if you create great experiences for them to have fun in one-of-a-kind entertainment, people will come back and people enjoy what we do. Our team is doing that today. I think we have to stay focused on making sure that financially, the structure of our company is right for long-term success. And we’ve done that, and we will continue to do that. We’ve done that through very difficult times. And we’re hopeful that as time start to ease over the course of this year and into next year, we will have the chance to restructure some of our debt and also attract new investors into our company because they’re going to start to see the growth and the opportunity for this company long term.

And then lastly, I would just say that our synergistic model is unique to our company. The more we can build great media and have events around that media here, the more we have events like NFL flag or corn hole or state high school football championships or black college football, hall of fame kickoff classic, you can’t — I mean that the amount of marketing that, that provides for our destination and our company is astronomical. The value of that, the earned media value of that is not replaceable. And so I think that separates us from many other destinations like us that are starting to grow. And that all comes from access to unique IP and our ability to leverage that IP in our experiences and in our storytelling and in our gaming environments.

So we’ll continue to focus on how do we expand those. We’ll continue to manage the cost as we do, matching revenue with costs and this company is narrowing the gap. And I’m really, as I said before, proud of the team. And I think everybody else who has stuck by us continues to understand the vision here. And hopefully, it’s seeing it come to life. We always say we do what we say we’re going to do. And I believe that, and we continue to do that. There’s not been a false promise we’ve made that hasn’t come to fruition. Timing-wise, sometimes, just like every other company, you see big projects being delayed, you see others being canceled, we haven’t gotten to that point because of the support we have in our community at the state level, the county and the city level and through several other community leaders that are incredible and support us on an ongoing basis.

So we’re very appreciative of that. And we look forward to a great 2024. Even though we’ve had some delays, I think 2024 is going to be an exceptional year for us. As I said, I think attendance growth will be there. I think like the stay will be there, repeat visitation will be there. And I think overall spend per caps will grow as well. And that’s our goal. So I just want to thank everybody and wish everybody a great day.

Operator: This will conclude today’s conference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day.

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