Disney's first-quarter profit was $1.1 billion, doubling its theme park and product revenue

On February 9, local time in the United States, The Walt Disney Company (NYSE:DIS) released its first quarter of fiscal 2022 as of January 1, 2022. According to the financial report data, disney's total revenue for the three months ended January 1, 2022 was $21.819 billion, an increase of 34.28% year-on-year; net profit was $1.104 billion, compared with a net profit of $17 million in the same period of the previous fiscal year.

Walt Disney's diluted earnings per share were $1.06 in the first quarter of fiscal 2022, compared to just $0.32 in the same period last fiscal year.

"We had a very strong start to the fiscal year with significant growth in earnings per share, with record revenue and operating income from our (U.S.) domestic parks and resorts, and a streaming portfolio of 196 million subscribers, including 11.8 million new Disney+subscribers in the first quarter." Bob Chapek, CEO of Walt Disney, said, "In the last year of the first century of the Walt Disney Company, this performance coupled with our unparalleled set of assets and platforms, creative capabilities, and unique position in our culture gives me confidence that we will continue to define entertainment for the next 100 years." ”

In terms of revenue, during the reporting period, Disney's media and entertainment distribution revenue was $14.585 billion, an increase of 15.2% year-on-year; Disneyland, experience and product revenue was $7.234 billion, an increase of 101.62% year-on-year.

In terms of parks, experiences and product segments, Disney's revenue from domestic parks and experiences in the United States was $4.8 billion, up 222.36% year-on-year; revenue from international parks and experiences was $861 million, up 127.78% year-on-year; and consumer product revenue was $1.573 billion, down 8.6% year-on-year.

Disney's performance report shows that the increase in revenue from Disney's U.S. domestic parks and experiences was due to an increase in volume; an increase in transaction volume due to an increase in the number of visitors, room nights stayed, and cruise voyages; and an increase in spending on visitor ticket revenue, an increase in average daily hotel rates, and an increase in food, beverage, and merchandise consumption.

For Disney's international parks and resorts, the increase in revenue was mainly due to growth in Disneyland Paris and Hong Kong Disneyland Resort. Among them, the performance of Disneyland Paris is mainly due to the increase in the number of visitors and the number of nights, and the performance growth of Hong Kong Disneyland Resort is driven by the higher number of visitors.

Disneyland Paris was only open for 26 days compared to the same period last year (fiscal first quarter 2021), while fully opened throughout the first fiscal quarter of 2022; Hong Kong Disney Resort opened 68 days during the reporting period and 42 days in the same period last year.

Disney's 8.6% year-over-year decline in consumer product revenue was due to the closure of a large number of Disney-branded retail stores in North America and Europe in the second half of fiscal 2021.

Disney noted that the COVID-19 pandemic since the beginning of 2020 has affected its market segments in a number of ways, most notably Disneyland, experiences and product segments, including the closure of theme parks and resorts, the suspension of cruise sailing and guided tours. In fiscal year 2022, Disney's domestic parks and experiences typically operate without significant pandemic-related restrictions, and some of Disney's international operations continue to be affected by pandemic-related mandatory restrictions. However, in Disney's media and entertainment segment, Disney's film and television production has generally recovered, and movies are usually released in theaters this quarter.

Source: The Paper