Disney park business grows amid rising costs

Americans, struggling with rising costs, have been looking for ways to cut back on nonessential spending. But Disney, so far at least, apparently does not count as a discretionary expense.

- BROOKS BARNES

The company, reporting results for its winter quarter Wednesday, said operating profit at its domestic theme park division had climbed 13% from a year earlier, to $1.82 billion. Revenue increased 9%, to $6.5 billion. Park attendance was up. Hotel room bookings were up. And spending on merchandise and food was up.

Disney also reaffirmed that its experiences division as a whole (including overseas parks, cruises, and games and other consumer products) was still on course to increase its operating profit as much as 8% for the year, compared with 4% in 2024. The division contributes roughly 60% of Disney’s annual profit.

The vibrancy of that business helped push Disney's adjusted per-share income for the quarter up 20%, to $1.45, handily beating analyst expectations. Separately on Wednesday, Disney announced that it would team with the Miral Group to open its seventh theme park resort: Disneyland Abu Dhabi.

Speaking to analysts on a conference call, Bob Iger, the company’s CEO, called the Abu Dhabi decision “a huge endorsement of that location,” noting the tourism growth expected for the United Arab Emirates capital.