Disney parks buck travel slowdown
CNBC • • business
Key Points:
- Disney's experiences division, encompassing theme parks, cruise lines, resorts, and consumer products, posted a record nearly $10 billion in revenue for the fiscal third quarter, marking a 10% increase year-over-year and the sixth consecutive quarter of record revenue.
- Operating income for the division rose 20% to over $3 billion, with Disney's CEO highlighting the company's strong performance amid macroeconomic uncertainty and outperforming competitors like Comcast, which reported attendance declines.
- Despite a 6% drop in international travel to the U.S., Disney's domestic park attendance increased by 3%, with guest spending up 4%, supported by promotions such as the Cool Kids Summer campaign and refreshed park attractions.
- Disney's cruise segment expanded with two new ships, Disney Destiny and Disney Adventure, boosting stateroom capacity by about 50% and contributing to a 17% revenue increase in the resorts and vacations category to $2.77 billion.
- Targeted marketing and discount campaigns aimed at families and local residents helped maintain strong attendance at both East and West Coast parks, deepening Disney's connection with modern audiences despite competition and travel headwinds.
