USA: The Walt Disney Company’s Quarterly Results Show Losses & Growth

The Walt Disney Company recently presented the report for the first quarter of the 2021 fiscal year, which shows a total revenue of 16.249 billion US Dollars (approx. 13.405 billion Euros) – a decrease of 22 percent in comparison to the revenue of 20.877 billion US Dollars (17.222 billion Euros) generated in Q1 2020. These results are mainly related to the impact of the global Covid-19 pandemic on the “Disney Parks, Experiences and Products” division. Many theme parks and resorts had to remain closed for a long period of time or are currently only allowed to operate with a lower visitor capacity. The revenue loss in this business unit amounts to some 3.6 billion US Dollars (approx. 2.97 billion Euros). For the Consumer Products division, Disney generated a two percent increase in supplemental revenue. For the complete 2020 fiscal year, Disney registers a drop in turnover of 37 percent in its theme park segment.

However, in the Direct-To-Consumer (DTC) division, which includes the Disney+ streaming service that was launched last year and the ESPN sports channel (amongst others), Disney generated further growing results. A total revenue of 3.5 billion US Dollars (approx. 2.887 billion Euros) was recorded, an increase of 73 percent compared to the previous fiscal year. “We believe the strategic actions we’re taking to transform our Company will fuel our growth and enhance shareholder value, as demonstrated by the incredible strides we’ve made in our DTC business, […]. We’re confident that, with our robust pipeline of exceptional, high-quality content and the upcoming launch of our new ‘Star’-branded international general entertainment offering, we are well-positioned to achieve even greater success going forward,” said Bob Chapek, Chief Executive Officer, The Walt Disney Company. (eap)