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Growing quarterly results for theme parks and

resorts of The Walt Disney Company

Update : 09/08/13 - 11h01 Published by François Mayné the 17 February 2013, Corporate.

The Walt Disney Company (TWDC) published earlier this month its financial results for the first quarter of fiscal year 2013 ended December 31, 2012.

The theme parks and resorts of the largest operator of attractions in the world - more than 121.4 million visitors welcome in 2011* - have achieved a global turnover of 3.39 billion U.S. dollars (about 2.5 billion euros), up 7% compared to the first quarter of the previous year. Operating income increased 4% reaching $577 million (about €431.4 million).

Growing quarterly results for theme parks andresorts of The Walt Disney Company

TWDC explains that the growth in sales was driven by the strong performance of its domestic activities in the United States (Walt Disney World Resort, Disneyland Resort and Disney Cruise Line) while the incomes related to overseas activities were in slight decrease due to the contrasting results of Disneyland Paris (down in turnover and attendance) and the increased costs associated with the development of Shanghai Disney Resort in China. It should be noted however that the activity of Hong Kong Disneyland Resort offsets this decline with an increase in average spending per guest during this period.

The increase in the operating incomes of U.S. operations is mainly due to the increase in average spending per guest at both Walt Disney World Resort and Disneyland Resort, the addition of a new cruise ship to the fleet of Disney Cruise line (the Disney Fantasy, which sailed first in March 2012), the increase in attendance of the two theme parks of Disneyland Resort and the better occupancy rate of Walt Disney World Resort hotels.

TWDC explains that the growth in sales was driven by the strong performance of its domestic activities in the United States including the Disney Cruise Line

The Group launched the second part of the New Fantasyland at Magic Kingdom during the first quarter of FY13.

These results were partially offset by more important operating costs - particularly due to the opening of the New Fantasyland at Magic Kingdom, the deployment of MyMagic+ initiative at Walt Disney World as well as higher labor costs and charges - and a lower average cruise ship ticket prices driven by a cruise itinerary out of a new port location.

TWDC - which runs five main business activities - continued to grow during the first quarter with total sales up of 5% to $11.34 billion (about €8.4 billion). The operating income, however, decreased by 3% to $2.3 billion (about €1.72 billion) as a result of a sharp drop of 43% in operating income of the studio entertainment segment (films and theatrical productions). “After delivering another record year of growth in 2012, we're off to a solid start in Fiscal 2013,” said Robert A. Iger, Chairman and Chief Executive Officer, The Walt Disney Company. “Our ongoing success is driven by our long-term strategy, the strength of our brands and businesses, and our high quality family entertainment.”

Click-here to see the full report of the first quarter of The Walt Disney Company.

*: According to the annual "Theme Index 2011 Global Attractions Attendance Report" co-edited by AECOM and Themed Entertainment Association.

Walt Disney Parks & Resorts - Walt Disney World Resort - Disneyland Resort - Euro Disney S.C.A. - Hong Kong Disneyland Resort - Attendance - Financial Information - - - -

Written by François Mayné

François Mayné Publishing Director » Contact Us
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