The Disney Parks have been greatly impacted by the current global pandemic.
In 2020, thousands of employees were laid off, and it took until April of 2021 for Disney Parks to report profitability again. But, things are looking up, because new predictions show that the Disney Parks are on the rebound!
Profits at Disney World and Disneyland are expected to rebound in 2022, spike in 2023, and jump higher in 2024, according to The Orange County Register. These predictions come from a new analyst report from research firm MoffettNathanson.
The report predicts that Disney’s U.S. theme parks will bounce back from pandemic closures that damaged the bottom line.“While there are clear headwinds in some of Disney’s legacy businesses, there are also strong tailwinds for the parks in both the near and long term,” says the report, according to The Orange County Register.
All of the Disney theme parks closed around the world at some point during the current pandemic. Disney World reopened in July of 2020, while Disneyland reopened in April of 2021.
“Despite the latest omicron uncertainties, it still seems as though fiscal year 2022 will bring a quick bounce back in parks profits,” according to the MoffettNathanson report. The report also says that Disney’s domestic theme parks have seen a strong rebound and are back to generating profits.
Disney World and Disneyland have come back from a loss of $1.6 billion in the third quarter of 2020. They broke even in the third quarter of 2021 and have a projected profit of $1.3 billion in the third quarter of 2022, according to the report.
The two U.S. Disney resorts are expected to generate $4 billion in earnings (before interest and taxes) in 2022, getting closer to 2019 levels of profitability. In 2023, those numbers are expected to go up to $5.2 billion, and in 2024, up to $6.3 billion — well above the $4.4 billion in 2019.
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Do you have a trip planned to Disney World or Disneyland this year? Let us know in the comments!