Walt Disney World saw fewer people visit the resort from January through March compared to last year, according to the latest earnings report from Disney.
- Disney reports Walt Disney World attendance was down between January and March
- Park revenue is up due to higher ticket prices, higher food and beverage spending and higher room rates
- Film division revenue up 22 percent for the quarter
Disney said parks revenue is up four percent for the quarter compared to last year, but that is due to guest spending growth, all caused by higher ticket prices, higher food and merchandise spending and higher room rates.
Attendance at Walt Disney World had a “modest decrease” according to the Walt Disney Company. Attendance at Disneyland in California was up. So domestic theme park attendance was essentially flat.
Disney also listed higher labor costs and higher depreciation because of new attractions.
Disney also suffered from lower operating income at the international parks, partly due to pre-opening expenses for Shanghai Disney Resort in China.
Disney also saw a slight uptick in revenue from ESPN, but less revenue from other networks.
The mega-company’s film division continues to boom, with revenue for the quarter up 22 percent to $2.1 billion. The big contributors were “Star Wars: The Force Awakens” and “Zootopia.”
The lackluster report slightly missed analyst expectations. Shares for the company dropped about 6 percent in after-hours trading.
Disney Infinity discontinued
Disney reported Consumer Products and Interactive Media revenue was down two percent for the quarter, and while that was primarily due to foreign currency issues as the U.S. dollar continues to strengthen, Disney also mentioned lower results for the video game series Disney Infinity.
On Tuesday Disney Interactive announced that Infinity would be discontinued.
"Our goal for Disney Infinity was to bring the best of Disney storytelling to life in homes around the world, and with your support we accomplished that," wrote Disney Infinity GM John Blackburn on the Disney Interactive website. "We hope you had as much fun playing the game as we had making it."
Disney Infinity combines a video game console with collectible figures that give the gamer access to a wide array of characters.
Disney says it will continue with plans to release characters from "Alice Through the Looking Glass" and "Finding Dory" over the next two months.