Could Theme Parks Carry Disney, Comcast and Other Major Entertainment Companies Amid Recession?

Photo by Brandi Alexandra via Unsplash

Could Theme Parks Carry Disney, Comcast and Other Major Entertainment Companies Amid Recession?

By Movieguide® Staff

While streaming helped keep Disney and other entertainment companies alive during the pandemic, new data shows that theme parks are doing the same amid today’s recession.

According to Variety, the most famous theme parks posted positive revenue numbers for Q2 and mirrored pre-pandemic earnings from 2019.

While there was an influx of consumers due to lifted COVID-19 regulations, Variety reported that parks are successful due to in-park spending.

Variety writes:

But the real winning strategy for theme parks has been getting attendees to spend more per visit than ever before. Park operators refer to guest spending as per capita spending. It quantifies the amount of money a guest spends at the theme park, including food, merchandise, line-skipping passes and park-provided photos. Some companies include admission and parking fees in their reported figures.

Disney was able to deliver record profits within its parks business last quarter even as the company continued to limit capacity. According to Disney CFO Christine McCarthy, per capita spend at the company’s domestic parks in fiscal Q3 rose 10% from the same period last year and 40% from 2019.

Disney and Comcast, the parent company of Universal, posted higher Q2 earnings than in 2019.

“For companies like Disney and Comcast, theme parks are the biggest free cash flow generator, and strength in that segment helps offset any temporary declines in other business segments,” Variety reported. “Maintaining a solid war chest is the only way to stay somewhat shielded from the external macro pressures building.”

While the uncertain economy and inflation are concerns for major parks, they could help major companies stem the tide of financial uncertainty heading into 2023.

Movieguide® previously reported:

Despite the calls for boycotts over The Walt Disney Co’s recent push for including immoral content in their programs, the company reported an increase in revenue for the third quarter.

“Boycotts seldom work,” said Movieguide® Founder and Publisher Dr. Ted Baehr. “Instead, Christians can make much more of an impact by showing studios that we are the largest audience in the country, and if they appeal to our values, we will show up en masse.

“As Christians, we want to watch entertainment that focuses on the Good, the True, the Pure, and the Lovely,” the media expert continued. “Disney has unfortunately shifted away from including many of these values in their programs. Because many people do not stand for the Truth, Hollywood thinks that we huff and puff, but have no clout. If the 125 million church goers actually stood for their values, woke Walt Disney Company would have to change in a second.”

Movieguide® has long advocated for change in the industry by showing studios that if they include positive, uplifting, inspirational content in their movies, they will increase their box office revenue.

Disney’s third quarter earnings are not from the box office, where they have had many flops this summer such as LIGHTYEAR, but instead stem from park revenue where they increased ticket and food prices and eased many protocols established during the COVID-19 pandemic.

Now more than ever we’re bombarded by darkness in media, movies, and TV. Movieguide® has fought back for almost 40 years, working within Hollywood to propel uplifting and positive content. We’re proud to say we’ve collaborated with some of the top industry players to influence and redeem entertainment for Jesus. Still, the most influential person in Hollywood is you. The viewer.

What you listen to, watch, and read has power. Movieguide® wants to give you the resources to empower the good and the beautiful. But we can’t do it alone. We need your support.

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