Disney reported an 82% decline in quarterly operating income, the result of steep losses at its coronavirus-devastated theme park division and the postponement of major movie releases.
The theme park and consumer products division saw operating profit down by $2.5 billion, resulting in a loss of $1.1 billion. Walt Disney World in Florida reopened in July with limited capacity, but other major properties, including Disney Cruise Line, remain closed because of the coronavirus.
CEO Bob Chapek said that Disney World, which had reopened at 25 percent capacity, recently lifted restrictions to 35 percent “while still adhering to the guidelines that are stipulated by the C.D.C. for six-foot social distancing.” Reservations for Thanksgiving week are “almost at capacity,” Christine M. McCarthy, Disney’s chief financial officer, said on the conference call.
But Wall Street had already decided that Disney’s overall results for the quarter.
Investors are confident that Disney’s theme park empire will come roaring back when a vaccine is deployed — and all they really care about, at least for the moment, is streaming.
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