DXB Entertainments’ management conducted a call to discuss its 3Q16 results and give an update on the latest developments. The main highlights from the call are below:   Guidance for 2017 costs raised. Management has reiterated its original guidance for 2017 at 6.7mn for visits, AED2.4bn for revenue, but raised its guidance for costs, on an unforeseen increase in staff and facilities management costs. For 4Q16, guidance provided following the 2Q16 results is no longer valid, given the decision taken weeks later to phase-out the opening of the parks. There is no change in the guidance for Six Flags.   Bollywood and motiongate to open as scheduled. Bollywood is scheduled to open this week and LEGOLAND Water Park shortly after. The launch date for motiongate is unchanged, at 16 December. DXB has signed an agreement with Gulf Islamic Investments to develop and invest in a parking management system for the park. Parking fees will range from AED50-80 for full day parking and AED120-150 for VIP and valet parking services. Moreover, management indicated that rehearsals for the shows are underway with some completed.   84% of Riverland space is now leased-out. Majority of outlets are already open, rest are set to be open in the short term. 51 lease proposals have been signed, covering 84% of the leasable space in Riverland.      Focus on sales efforts continue. Agreements have been signed with 125 DMC resellers and 70 international tour operations and with five sponsorship partners, namely: Dubai First, McDonald’s, Etisalat, Pepsi, and Master Card. International sales are expected to generate c70% of visitors. Sales of tickets for Bollywood Parks were launched on 15 October, while those for motiongate are set to be launched soon.   Detailed designs are underway for Six Flags. The project consultants design team is on site for Six Flags. The ride procurement plan is in place for all rides, with five rides procurement in the final stages. Earthwork on site is mostly completed, with construction on the site set to start in 1Q17, with its planned opening in 4Q19.     Tourism industry prospects remain strong. Dubai’s international visitors reached 9.58mn through August. Visitors from Saudi Arabia topped the list, with 1.12mn visitors during the period (+5% Y-o-Y), followed by India with 1.09mn visitors (+10% Y-o-Y) and the UK with 0.8mn.  (company, Mai Attia, Sara Boutros)   DXBE Entertainments (DU): AED1.50 as of 13 Nov, Rating: Neutral, FV: AED1.51/share, MCap: USD3,270mn, DXBE UH / DXBE.DU