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The Walt Disney Company reported that the revenue of its business segment of theme parks and resorts increased 10% to $12.9 billion (approx €9.97 billion) during its fiscal year 2012 ended this September 29th. The segment operating income is up 22% to $1.9 million (approx €1.46 billion).
The company, the world’s first attractions operator with more than 121.4 million visitors in 2011*, explained that these results reflect increases of operating income at its domestic theme parks and resorts (including Walt Disney World Resort, Disneyland Resort and Aulani), Tokyo Disney Resort, Hong Kong Disneyland Resort and the Disney Cruise Line. However, the performance is partially offset by a decrease at Disneyland Paris.
The higher operating income at the theme parks and resorts in North America was driven by increased guest spending (reflected higher average ticket prices, food and beverage spending and daily hotel room rates) and attendance (strong growth at Disneyland Resort which benefited from the opening of Cars Land at Disney California Adventure), partially offset by higher costs (driven by resort expansion and new guest offerings, including investments in supporting systems infrastructure, labor cost inflation and higher employee benefits costs). Operating income growth at Disney Cruise Line was due to increased passenger cruise days driven by the Disney Fantasy and the Disney Dream, partially offset by the related operating costs.
The increase at Tokyo Disney Resort reflected the loss of income in the prior year due to the March 2011 earthquake and tsunami in Japan, which resulted in a temporary suspension of operations and a reduction in volume after reopening, and the collection of related business interruption insurance proceeds in the current year.
Operating income growth at Hong Kong Disneyland Resort was primarily due to guest spending, which was driven by higher average ticket prices and daily hotel room rates, and increased attendance, partially offset by higher costs related to resort expansion.
At Disneyland Paris, increased guest spending, driven by higher daily hotel room rates, and higher attendance were more than offset by labor cost inflation and lower hotel occupancy.
Globally, The Walt Disney Company announced for its fiscal year 2012 revenues of $42.3 billion, segment operating income of $9.9 billion and net income of $5.68 billion. “Fiscal 2012 was a great year creatively, financially and strategically, resulting in record revenue, net income, and earnings per share,” said Disney Chairman and CEO Robert A. Iger. “The addition of Lucasfilm will further fuel Disney’s creative engine across our company to create additional value for our shareholders and we’re confident the Company is well positioned to continue our strong performance and growth.“
*: According to the Global Attractions Attendance Report Theme Index 2011 co-published by AECOM and the Themed Entertainment Association. See our related articles section below for more details.
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