The parks business remains a strong one for The Walt Disney Co., which sees it as a “key growth driver.”


What You Need To Know

  • Disney Parks, Experiences and Products division reported $7.8 billion in revenue in the second quarter

  • Executives say the parks business is a "key growth driver" for the company and it will continue to improve the guest experience

  • The results come as The Walt Disney Company undergoes a major restructuring to reduce $5.5 billion in costs

  • RELATED: Disney World making more changes to 'improve guest experience'

The company on Wednesday reported that its Parks, Experiences and Products division generated $7.8 billion in revenue in the second quarter, a $17% increase compared to the same quarter in 2022. Operating income was also up 22% to $2.2 billion.

Disney attributed the boost to its international parks like Shanghai Disney which have continued to recover from the pandemic with higher attendance and guest spending.

For its domestic parks, Disney said attendance grew at both Disney World in Florida and Disneyland in California. But profits dipped at Disney World due to higher costs related to new offerings.

In an earnings call Wednesday, Disney executives said the company will continue to focus on improving the guest experience at the parks.

CEO Bob Iger, in his second earnings call since returning to the company in November, mentioned the pricing changes at Disneyland and the recent announcement of changes planned for Disney World in 2024, including allowing passholders to visit the parks on certain days without reservations and removing the reservation requirement for date-based tickets.

“This is just another example of how we’re continuously listening to our guests and finding ways to improve their experiences,” Iger said.

The company is also closely looking at how it will make future investments in the parks.

“We have a number of other growth and expansion opportunities at our parks and we’re closely evaluating where it makes the most sense to direct future investments,” Iger said.

Overall, Disney reported $21.8 billion in revenue in the second quarter. The results come as the company undergoes a major restructuring to cut $5.5 billion in costs—a target executives said Wednesday it expects to meet. As part of the cost-cutting strategy, the company is eliminating 7,000 jobs.

Disney is also engaged in an ongoing fight with Florida Gov. Ron DeSantis. After filing a federal lawsuit against the governor in April, the company expanded the lawsuit earlier this week to include more examples of what it  calls a “retribution campaign” against the company.

Iger addressed the situation in Florida during the earnings call.

“The case that we filed last month made our position and facts very clear,” Iger said. “And that’s really that this is about one thing and one thing only and that’s retaliating against us for taking a position about pending legislation.”

Iger wrapped the discussion with a question: “Does the state want us to invest more, employ more people and pay more taxes or not?”

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