Walt Disney Company theme parks have reported strong growth in its first quarter fiscal year 2019 report.
The company has reported a revenue increase of 5% to $.8 billion for the three-month period in its division that includes Disney’s theme parks.
The growth in revenue is due to an uptake in attendance in its US resorts and price hikes, meaning guests are spending more when they visit the theme parks.
As the report, which Disney’s CEO Bob Iger shared in a conference call to investors, states:
“Operating income growth at our domestic theme parks and resorts was due to increased guest spending and higher occupied room nights. Guest spending growth was due to higher average ticket prices, an increase in food, beverage and merchandise spending and higher average hotel room rates.”
Income in Disney’s international parks was slightly lower compared to the level of the previous quarter. Revenue at Disneyland Paris was down, which has been attributed to increased costs, a trend echoed at Shanghai Disney Resort.
By contrast, Hong Kong Disneyland witnessed higher amounts of guest spending and increased levels of room occupation.
Speaking about the year ahead, Bob Iger said:
“We look forward to the transformative year ahead, including the successful completion of our 21st Century Fox acquisition and the launch of our Disney+ streaming service. Building a robust direct-to-consumer business is our top priority, and we continue to invest in exceptional content and innovative technology to drive our success in this space.”
