Disney Takes $2.6 Billion Theme Parks Hit Due to Current Closures
The Disneyland Resort has been closed for nearly a year and the Walt Disney Company is still seeing massive financial losses because of it.
On Thursday, the company reported that it took a $2.6 billion hit this quarter due to the pandemic’s impact on theme parks across the world.
Other parks around the globe have reopened, including Walt Disney World in Florida, but several have had to close and open again amid novel coronavirus case spikes in their respective countries, including Disneyland Paris, which shut the gates a couple of months back.
Per the Disney earnings disclosure released prior to the Thursday earnings call:
“Disney Parks, Experiences and Products revenues for the quarter decreased 53 percent to $3.6 billion, and segment operating results decreased $2.6 billion to a loss of $119 million. Lower operating results for the quarter were due to decreases at both the domestic and international parks and experiences businesses. read. We estimate the total net adverse impact of COVID-19 on segment operating income in the quarter was approximately $2.6 billion.”
Disney has been pushing for Disneyland to be allowed to reopen in Southern California for months now, with strict new health and safety measures in place, like their Florida counterpart. However, California Governor Gavin Newsom has not budged on his strict stance. However, the Downtown shopping and dining district is open along with a portion of California Adventure, Disneyland’s Main Street shopping and dining is expected to open next month. All attractions remain closed.
Continue Reading >>> Source link