Disney’s theme parks and cruise line provided the bulk of profits for the parent company in the final quarter of 2023.
The operating profit for the Walt Disney Company’s experiences division rose by 8% year-on-year to $3.1 billion, with revenue up by 7% to $9.1 billion.
The arm generated “all-time records in revenue, operating income and operating margin” in the three months.
Overall revenue came in flat at £23.5 billion, resulting in operating income for the three months to December 30 of more than $3.8 billion.
Disney said it was on track to meet or exceed a $7.5 billion annual savings target by the end of the 2024 financial year, “while we continue to look for further efficiency opportunities”.
A fall in attendances at the entertainment and media giant’s US theme parks after 50th anniversary celebrations at the same time in 2022 was largely offset by higher results at Disney Cruise Line.
The cruise arm achieved increases in average ticket prices and passenger cruise days, although this was partially offset by higher costs.
Results at Disneyland Paris were comparable to the the same quarter in 2022, partly due to lower attendance compared with 30th anniversary celebrations a year earlier.
Shanghai Disney Resort saw increases in attendance as it was open for all of the quarter compared to just 58 days in there final three months of 2022 as a result of Covid-19 related closures.
Hong Kong Disneyland Resort also saw higher attendances as the park was open for more days together with increased ticket prices.
Disney also recently celebrated the “well-received” openings of World of Frozen at Hong Kong Disneyland Resort and Zootopia at Shanghai Disney Resort.
Chief executive Robert Iger said: “Looking at the renewed strength of all of our businesses this quarter – from sports, to entertainment, to experiences – we believe the stage is now set for significant growth and success, including ample opportunity to increase shareholder returns as our earnings and free cash flow continue to grow.”