Disney has released their 2024 Q3 earnings report, citing revenue of more than $8.3 billion for its Experiences segment, which includes the Disney Parks, despite having what CEO Bob Iger calls a “softer” quarter.
Disney Parks Revenue for Q3 2024
Q3 Experiences revenue increased by 2% in the quarter to $8.386 billion, with segment operating income decreasing by 3% to $2.222 billion. Disney reports that segment revenue growth was “impacted by moderation of consumer demand toward the end of Q3 that exceeded our previous expectations.”
Even so, Disney says that other aspects of Experiences delivered improved results versus 2023, including Disney Cruise Line, Consumer Products, and some of the international parks. Attendance was also comparable year over year and per capita spending was slightly up at the domestic parks, though their results decreased modestly during the quarter.
For context, Experiences reported revenue of $8.393 billion in Q2 2024.
In the earnings report, Disney says that the decrease in operating income at the domestic parks and experiences was due to “higher costs driven by inflation, increased technology spending and new guest offerings, partially offset by the comparison to depreciation in the prior-year quarter related to the closure of Star Wars: Galactic Starcruiser and cost saving initiatives.”
Disney says that “guest spending growth [is] attributable to increases in per capita guest spending at [Disney] Cruise Line and theme parks and higher per-room spending at our resorts.”
For the international parks, operating results for Q3 2024 were comparable to the prior-year quarter due to “higher volumes attributable to increases in attendance and occupied room nights,” “guest spending growth due to higher per room spending at our resorts,” and “an increase in costs due to new guest offerings, inflation and increased depreciation.”
Our performance in Q3 demonstrates the progress we’ve made against our four strategic priorities across our creative studios, streaming, sports, and Experiences businesses.
This was a strong quarter for Disney, driven by excellent results in our Entertainment segment both at the box office and in DTC, as we achieved profitability across our combined streaming businesses for the first time and a quarter ahead of our previous guidance.
Despite softer third quarter performance in our Experiences segment, agjusted EPS for the company was up 35%, and with our complementary and balanced portfolio of businesses, we are confident in our ability to continue driving earnings growth through our collection of unique and powerful assets.
Bob Iger, CEO of The Walt Disney Company
In the commentary released for this quarter, Disney highlights their plans to increase capacity with “new experiences and attractions,” both at the parks and on the Disney Cruise Line.
Disney’s industry-leading Experiences segment is continuing to make progress on new strategic initiatives to deepend the company’s relationship with fans, create innovative and immersive experiences and turbocharge long-term growth.
The Q&A segment of today’s Q3 2024 earings report will take place later this morning. Stay tuned for more coverage and updates.
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