Disney to invest billions of dollars to expand theme parks

Disney plans to invest billions of dollars to expand capacity at its theme parks and cruise line, executives said on a first-quarter earnings conference Wednesday.

“We can almost conclude that [the investments] This means that all of our locations will benefit from increased investment and associated increased production capacity. [Halloween] We have three more ships under construction on the high seas,” Disney CEO Bob Iger said.

Disney plans to invest $60 billion in its parks and experiences sector over the next 10 years. Approximately 70% of that investment will be allocated to incremental capacity expansion investments. All Disney theme parks and cruise lines will receive a portion of the investment.

Iger expanded on comments he made last November when he said he wanted Disney to focus on “rapid growth” in its parks and experiences division.

Iger said Disney Parks & Experiences' operating income and revenue reached “all-time highs” in the first quarter. The segment's revenue was $9.1 billion, an increase of 4% from the previous year.

Domestic segment operating income totaled $2.1 billion, down 2% from the previous year. Disney executives cited lower attendance and fewer overnight stays at Walt Disney World Resort as the main reasons for this decline.

International operating income was $328 million, up from $79 million a year ago. Increases in attendance and average ticket prices at Shanghai Disney Resort and Hong Kong Disneyland Resort contributed significantly to the increase in operating profit.