Overall revenues rose by 5.3% to $38.1bn, while operating income improved by 13.7% to $7.6bn.
Revenues from Disney’s Parks and Resorts group increased by 0.9% to $10.8bn, however operating profit fell 7.1% to $1.3bn.
Disney have stated that the decrease is attributed to a decline in the U.S. market, but was actually added by improved results at its international parks.
Disney attributed this loss to the following
- 1 less business week compared to last year.
- Lower hotel occupancy.
- Decrease at Disney Cruise Line.
- Lower Disney World Attendance
- increased operating costs
These reasons were partly offset by higher visitor spending, primarily due to higher average ticket prices and increased attendance at Disneyland Resort (Anaheim).
Meanwhile, the growth in international operations reflected improvement at Hong Kong Disneyland Resort, driven by increased attendance, guest spending and hotel occupancy, and an increase at Disneyland Paris, due to higher guest spending and a real estate sale, partly offset by lower attendance.
Higher guest spending at both resorts resulted from higher average ticket prices and average daily hotel room rates.
For the fourth quarter alone, the group saw net profit slip by 6.7% to $835m, on revenues down 1.3% at $9.74bn. Operating profit fell 7.3% to $1.7bn.