Disney Parks sets an ‘all-time revenue and income record’ in first fiscal quarter

The Walt Disney Company reported its earnings for its first fiscal quarter ended January 1, 2022, and blew away expectations. Earnings per share were 68% better than expected, largely due to the Disney Parks and merchandise.

Disney Parks, Experiences and Products revenues for the past quarter increased to $7.2 billion compared to $3.6 billion in the prior-year quarter. An income of $2.5 billion compared to a loss of $0.1 billion the previous year.

“Our domestic parks and resorts achieved all-time revenue and operating income record despite the omicron surge,” Chapek said during the quarterly earnings report.

Guest spending growth was due to an increase in average per capita ticket revenue, higher average daily hotel room rates and an increase in food, beverage and merchandise spending.

The increase in average per capita ticket revenue was due to the attendance mix and the introduction of Genie+ and Lightning Lane, according to Disney.

The Disney Parks, Experiences and Products posted the second-best quarter of all time. “Over the last several years, we’ve transformed the guest experience by investing in new storytelling and ground-breaking technology, and records at domestic parks are the direct result of this investment.”

In the quarter, more than a third of domestic park guests purchased either Genie Plus, Lighting Lane or both, Chapek said. Those numbers rose more than 50% during the holiday period.

“While demand was strong throughout the quarter at both domestic sites our reservation system enabled us to strategically manage attendance. In fact, their stellar performance was achieved at lower attendance levels than 2019,” he said.

Chapek said he is looking forward to more fully capitalizing on the “extraordinary demand for our parks along with realized benefits that took shape this quarter.” He said he is also looking forward to Star Wars Galactic Cruiser opening. “We are pleased with demand for this premium ground-breaking experience which will welcome guests starting March 1,” he said.

He also went on to thank “our 195,000 employees for bringing Disney magic to audiences and guests around the world, especially in times like these when the world needs it most. The company is truly extraordinary, and I am honored to work with the most talented team in the industry to create the next generation of Disney stories and experiences through our focus on storytelling excellence, innovation and our audience.