15 Mar 2009

Disney: Significant Decline in Profits


The Disney Corporation (amusement parks, TV station and film studios) suffered a massive collapse in profits over the last quarter due to the global financial crisis. Compared to the previous quarter, profits dropped by around one-third to 845 million US dollars. A drop in turnover was also noted: a roughly eight percent decline down to 9.6 billion dollars. Analysts had expected better figures in the forefront of the quarter. In the amusement park segment, the business volume only dropped by four percent, while profits in this area fell by 24 percent.  Interestingly enough though, visitor figures at Disneyland Paris grew during this very same period! On the whole, Disney’s minus in the park segment was much lower than the average losses of the entire corporation. (eap)